Ford and GM's Billion Dollar Debt Crisis! - Business Guide

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Hello everybody and welcome back to BUSINESS GUIDE!

Ford and GM have long been standing players in the automobile market. They have Revolutionized vehicles in the 1900s under powerful leaders like Henry Ford and Alfred Sloane Jr. Stylish annual model changes and cars themselves have all been invented under Ford and GM.

Billions of Dept that both Ford and GM have ~

Whether companies will go bankrupt and When?

Ford's Finances:

Before we get into the finances it's important to understand that this is actually a huge deal. Ford and GM have piled up so much Dept that their bankruptcies would shake the stock and bond market by a substantial amount.

Disaster Of GM:

GM recently struck a deal with the fraud that is Nicola Motors which truly shows How desperate the automaker is. Now it is not to be taken in a wrong way ,GM's side of the deal made sense Trevor Milton agreed to give away 2 billion dollars’ worth of stock just so that Nicola could get the right to buy GM's battery and hydrogen fuel cells ,yet to associate your company with the fraud shows How desperate the automaker and more specifically the GM's CEO Mary Barra is.

Ford and GM’s Debt Pile Is stacking up:

With the levels of Dept that Ford and GM have it's not a question of if Ford and GM will go bankrupt but rather it's a question of when? Both automakers are piling on Dept every single quarter and it's no secret that this Dept bubble will eventually have to pop. In the past six months ford has added 19 billion dollars of Dept and GM has added 23 billion dollars of Dept.

Ford and GM’s slow electrification~ the last straw

Ford and GM's reluctance to go all in all into the electric vehicles is leading to serious issues. Internal combustion engines are great, they’ve helped fuel the global economy and improve transportation All Around the World, however they have reached a point of slowing innovation.

Tesla cyber truck: the end of Ford and GM

Ultimately the turning point for both Ford and GM are when the Tesla's Cybertruck is officially in production. Ford's prized vehicle the f -150 is Ford's most profitable vehicle and if Tesla is able to secure just 5% of the market share this would hurt for its profitability substantially. This is no different for GM ,as in 2018 GM revealed that the automaker makes $17,000 in pre-tax profit for every full-size pickup trucks sold with over 750 thousand pre-orders.

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We already know the United States government won't let those two go out of business. Even though they should

bobholland