Oil Falls On Rejected Restructuring Plans For GM

[Slayer]

http://money.cnn.com/2009/03/30/markets ... 2009033011

[Yoon]

Not surprising. The financial problems that GM and Chrysler both have are so incredibly deep that it will not be alleviated by maintaining their current company structure. Sure, they can just keep demanding bailout money from the U.S. government, but without real concrete changes, they will end up in the same position months/years later.

[Tarquin]

Isn't there a limit to how much bail out money one can get?

[Yoon]

Yes, there's a limit, but GM and Chrysler still continue to beg for money. The Obama administration recently said that they would provide extra bailout money to GM, but only if they follow the Obama admistration's "restructuring recommendations" to the letter, such as ousting the current CEO of GM Rick Wagoner.