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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: Jim McMannis who wrote (562285)	4/22/2010 10:52:21 AM
From: i-node	Read Replies (1) \| Respond to of 1575544

Investors will look at the relatively clean balance sheet and go, "Oh, crap, this looks great". What they won't give due consideration is the fact that the dead weight which ended in a Ch.11 is still with them -- the unions. Closing dealerships and eliminating product lines may have helped the problem. I say "may" because it isn't clear at all -- eliminating product lines, maybe, but it is hard to see how closing dealerships really relieves the company of much overhead). At the end of the day, you still have a company that is both capital and labor intensive in which the labor runs the company. If one looks at other, similar businesses (e.g., the airline industry, which deals with huge capex AND the union struggle), they just aren't able to consistently make money. The only auto manufacturer I own right now is NISSAN as I think they have a great future with the plug-in electrics as well as the best vehicles around.