GM's headquarters could be up for grabs. Why not Jax? Another Fortune 500 company, albeit a bankrupt one. But, Winn Dixie and Charter have given Jax lots of experience with bankrupt Fortune 500 companies!QuoteReuters | 11 May 2009 | 01:55 PM ET
General Motors is open to considering moving its headquarters from Detroit, selling off U.S. plants and even renegotiating parts of its restructuring plan with its major union, the new chief executive said Monday.
CEO Fritz Henderson, on a conference call with reporters, said it was more probable that GM was headed for bankruptcy by June 1â€"the U.S. government-imposed deadline for the automaker to restructure or face bankruptcy.
"It's more probable that we would need to accomplish our goals in a bankruptcy," Henderson said. "There's still a chance for it to be done outside a court proceeding."
A move by GM to leave Detroit would represent another blow for the economy of a region already reeling from the bankruptcy of Chrysler and the sharp downturn in auto manufacturing. (Update: GM Execs Dump Stock As Trading Window Opens)
GM purchased its glass-towered headquarter building known as Detroit's Renaissance Center last year for $625 million.
The 100-year-old automaker has been based there since 1996.
"As we look at the structure, look at the business, we're looking at everything, particularly as we slim," Henderson said. "At this point, I don't have anything to report. We don't have any such plans, but if we did it would be motivated by business rationale, which would be cost-efficiency and speed."
GM has until June 1 to reach deals that would slash debt owed to bondholders and the United Auto Workers union and to win concessions from the union that would cut operating costs for its remaining U.S. plants under terms set by the Obama administration's autos task force.
It has already told bondholders that it would miss a June 1 debt payment of $1 billion.
The automaker has also restarted talks with the Canadian Auto Workers union, which just agreed to a set of sweeping concessions for Chrysler, Henderson said.
The UAW, which is crucial to GM's turnaround plans since it is also a major creditor, has raised strong objections to GM plans to increase vehicle imports from plants in Mexico and Korea, saying that runs against the job-saving intent of the U.S. government's support for the automaker.
GM's current restructuring plan, which is supported by the U.S. autos task force headed by former investment banker Steve Rattner, would cut about 21,000 more U.S. factory jobs.
But Henderson said GM was ready to negotiate everything with the UAW in talks now underway.
"This is something that we would want to have a dialogue with them," he said.
I came across this in the Detroit paper the other day. Most likely they won't be going anywhere. However, if they did, it would probably be right across city limits to Warren, MI. That's the location of GM's Tech Center. The Tech Center has a workforce of 16,000 designers, engineers, etc. and has been the center of GM's engineering efforts for over 50 years.
GM Tech Center
(http://www.corvettecleveland.org/Images/photos/2007-0811-GmTech.jpg)
Here is another story on it today.
http://www.freep.com/apps/pbcs.dll/article?AID=2009905120380
I cannot imagine that they would be allowed to leave Michigan.
The Imeson area... :o
Quote from: copperfiend on May 12, 2009, 03:08:12 PM
I cannot imagine that they would be allowed to leave Michigan.
Tell that to Chicago who stole Boeing from Seattle, Washington, or Dallas who stole American Airlines from New York, etc. Nothing is impossible or beyond the pale. The GM CEO says in the article he will do whatever rationally makes sense in terms of efficiencies. Had GM had this attitude for the last 50 years maybe they wouldn't be in this boat (or, is that car? :) ). Better late than never.
It'd be out on JTB somewhere anyways, no thanks.
Trail Ridge is all this dead bird deserves.