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GM, Ford retiree trusts' shortfalls expanded in 2011
Topic Started: Oct 19 2012, 09:04 AM (216 Views)
LTC8K6
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Assistant to The Devil Himself
That trick deal sure did work out well...

http://news.yahoo.com/gm-ford-retiree-trusts-shortfalls-expanded-2011-filings-165818919--sector.html
Quote:
 

DETROIT (Reuters) - A fund that covers medical costs for General Motors Co's unionized retirees said its funding shortfall widened last year partly as a result of the declining value of its investments in GM, government documents show.

The trust has a 10.2 percent stake in GM, making it the automaker's second-largest shareholder behind the U.S. Treasury. It was 40 percent underfunded at the end of 2011, up from a 26 percent shortfall in 2010, according a financial filing with the U.S. Department of Labor this month.

A similar trust that oversees benefits for Ford Motor Co unionized retirees reported a 37 percent shortfall, up from about 26 percent last year, as its obligation grew due in part to rising cost projections, the Ford filings show.

...


Quote:
 
The overall VEBA was underfunded by roughly $20 billion in 2010, during its first full year of operations.

A detailed 2011 report for Chrysler's fund was not yet available. The VEBA has a 41.5 percent stake in Chrysler, the smallest U.S. automaker, which is majority-owned by Italy's Fiat SpA .


Quote:
 

Last year, the value of the GM fund's assets fell 14 percent to $28.5 billion and obligations rose 6 percent to $47.4 billion. That led to a nearly $19 billion funding shortfall in 2011, up from an $11.4 billion gap in 2010.


Quote:
 
The VEBA fared worse than the automaker's pension plan, which was 13 percent underfunded and saw a 4 percent increase in assets in 2011.
Edited by LTC8K6, Oct 19 2012, 09:05 AM.
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kbp

LTC8K6
Oct 19 2012, 09:04 AM
That trick deal sure did work out well...

http://news.yahoo.com/gm-ford-retiree-trusts-shortfalls-expanded-2011-filings-165818919--sector.html
Quote:
 

DETROIT (Reuters) - A fund that covers medical costs for General Motors Co's unionized retirees said its funding shortfall widened last year partly as a result of the declining value of its investments in GM, government documents show.

The trust has a 10.2 percent stake in GM, making it the automaker's second-largest shareholder behind the U.S. Treasury. It was 40 percent underfunded at the end of 2011, up from a 26 percent shortfall in 2010, according a financial filing with the U.S. Department of Labor this month.

A similar trust that oversees benefits for Ford Motor Co unionized retirees reported a 37 percent shortfall, up from about 26 percent last year, as its obligation grew due in part to rising cost projections, the Ford filings show.

...


Quote:
 
The overall VEBA was underfunded by roughly $20 billion in 2010, during its first full year of operations.

A detailed 2011 report for Chrysler's fund was not yet available. The VEBA has a 41.5 percent stake in Chrysler, the smallest U.S. automaker, which is majority-owned by Italy's Fiat SpA .


Quote:
 

Last year, the value of the GM fund's assets fell 14 percent to $28.5 billion and obligations rose 6 percent to $47.4 billion. That led to a nearly $19 billion funding shortfall in 2011, up from an $11.4 billion gap in 2010.


Quote:
 
The VEBA fared worse than the automaker's pension plan, which was 13 percent underfunded and saw a 4 percent increase in assets in 2011.
The trust has a 10.2 percent stake in GM...



Barry has already showed us what the simple solution is; just devalue the holdings of the other 89.8% and the problem is solved.

Hussein's never-ending temporary fix!
Edited by kbp, Oct 19 2012, 09:29 AM.
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Baldo
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back on 15 April 2010 we had this discussion

The Bankruptcy took place under Obama whose Car Czar cherry-picked the Judge. That judge rammed the Bankruptcy through without fully putting GM on a path to solvency. It was a horrible bankruptcy but Obama needed the solution quickly as the economy was tanking.

The cost of the Pensions & Healthcare never really was confronted. Although the Judge & Govt destroyed the right of the bond holders they protected the UAW pension and health-care benefits. Billions of institutional & private investors equity was wiped out while the UAW was promised protection. That simply was thugism. The Veba payments were delayed for Ford, Chrysler, and GM

http://s1.zetaboards.com/Liestoppers_meeting/single/?p=343034&t=3198637.


from the Thread - GM's Pension: A Ticking Time Bomb for Taxpayers?

Tick-Tick-Tick
Edited by Baldo, Oct 19 2012, 09:46 AM.
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kbp

My previous post should have noted REDISTRIBUTING equity from the "the other 89.8%"
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