Detroit 3 On Path To Lose $4 Billion In Europe This Year Alone

Detroit's leading automakers are reaping near-record profits after cutting back their U.S. operations during the collapse in 2008-09 of the American auto market.

But now their recovery is threatened by a meltdown spreading across Europe that has plunged the regional operations of General Motors Co. and Ford Motor Co. and Chrysler Group's partner Fiat SpA into the red.

Fiat SpA, Ford of Europe, GM's German carmaker Adam Opel and its new partner PSA Peugeot Citroen are on track to lose a combined $4 billion this year as auto sales in the region tumble to their lowest level since the mid-1990s.

vdiv - 9/28/2012 2:06:34 PM

+1 Boost

I am sure there are plenty of Chinese car makers with big ambitions salivating on the sidelines and waiting for the fire sale.

PLAY - 9/28/2012 3:56:05 PM

+1 Boost

Brussels needs to address the regions overcapacity. Automakers need more flexibility if Europe wants auto manufacturing to continue in Europe.

Steve - 9/28/2012 11:21:45 PM

+3 Boost

No worries. The next round of bail-outs will cover those corporate losses. BOHICA!*

(*Bend Over, Here It Comes Again)

HughJass - 9/30/2012 6:08:01 PM

0 Boost

This wouldn't happen if the U.S. gov't just made it standard practice to cover all losses incurred so this way they wouldn't have to show red ink on the books. Works for our favourite Asian car manufacturers.