GM and Ford Get Greedy

Remember a few weeks ago, when GM said it would need $12 billion from the federal government to stay afloat? Turns out that was fuzzy math. Today the embattled auto giant upped the ante, asking for $18 billion. As if requesting $6 billion more wasn’t enough, GM added that it will need an immediate $4 billion infusion to stay afloat until the end of the year. The urgent request has some wondering whether GM’s best option may be bankruptcy. President Frederick “Fritz” Henderson is not among them: “There is not a Plan B,” he said, adding that the company is solely focusing on securing help from Washington. Ford, meanwhile, doesn’t need any money immediately but asked for a $9 billion credit line should the recession last longer than expected. All this comes amid more bad news—GM sales fell by 41.3 percent in November, to 154,877 cars and trucks, while Ford’s declined 30.6 percent, to 123,222.