GM To Schmooze The Fed For $5 Billion More To Stay Afloat

Cash strapped General Motors whose sahres fell dramatically last week to an almost 60-year low, appears likely to seek a loan from the Federal Reserve's discount window. The Fed already is buying shorter-term commercial paper from corporations. Discount-window loans would have a longer maturity.

Barron's has learned of the auto maker's expected request from two persons with first-hand knowledge of the situation. GM wouldn't discuss what it termed "a rumor." The Fed also wouldn't comment. But the central bank would be under tremendous pressure to accede to such a request from a centerpiece of Industrial America, after having aided bankers, insurers and investment bankers, even though a "yes" would open the door to similar entreaties from other corporations.

91z4me - 10/13/2008 1:58:41 PM

+1 Boost

This contradicts an Autoblog article I just read stating that GM wasn't actively pursuing the bail out but was open to all options.

inspirion7 - 10/13/2008 2:31:13 PM

+1 Boost

I believe the article stated that GM isn't open to Bankruptcy.

randy33 - 10/13/2008 10:14:40 PM

0 Boost

GM employees:

Your managers FAILED you.

Who are your managers? These people:

http://blogs.thecarconnection.com/blogs/marty_blog/2011/2010-chevrolet-volt-first-production-photos/


The idiots in those photos have SUNK your company.

Type707 - 10/14/2008 1:32:44 PM

+2 Boost

Leadership is ALWAYS to blame..believe that. CEO's, board of directors and the rest of the big wigs out there.