I guess it boils down to GM getting bailed out so often.
I am only aware of GM going down during 2009. Are there prior ones?
Ford and BRK have never used the taxpayer’s purse during recessions.
You are conflating a grant as bail-out. Government subsidies are availed by all companies including Tesla. Tesla’s very existence was made possible by government subsidies. So why you are singling out GM?
Unless a company is AAA in credit rating they cannot issue dividend is untenable and unrealistic.
The bankers and those who extended credit to a company should be concerned whether issuing dividend will result in a weaker financial position. For now, GM is in a better financial position. The dividend is not going to be meaningful to reduce their debt. View debt as part of the permanent capital.
Ford and BRK have never used the taxpayer’s purse during recessions.
GM and Chrysler got the “bailouts”, but Ford was hardly unscathed. It started with a $6 billion loan from the government in 2009 (which it had not paid back even a decade later), so holding them up as a model of propriety rather distorts what actually happened.
Fun fact: Ford supported the bailouts of the other two manufacturers because without them their own supply chain would have collapsed. Another fun fact: the bailouts were suggested, approved, and administered by the Bush administration before it left office.
In fact by this chart, Ford got more government money than any of the others:
Just a quibble. IIRC Tesla as a company regretted taking the loan from the Department of Energy, because some of the brnchmarks in the loan were awkward or did not make sense.
The company paid it of ASAP and paid a penalty for doing so, again IIRC).
Tesla customers did avail themselves of the $7500.00 EV tax credit. But in our case, we would have purchased the care without the tax credit. From our participation in Tesla Owners’ clubs, it might be ok to summarize that based on the people we have met who were early adopters of electric vehicles, while they took the tax credit, they likely would have purchased theirs cars without it.
Tesla does owe its existence to other companies like Toyota and Mercedes for business deals in the begining and for those companies buying shares.
IIRC …
BTW: Am getting solar panels in FL. Will take the tax credit. But was planning for solar panels anyway and eoild have gone forward without the new tax credit.
We do have debt on our balance sheet, but it is a teeny tiny amount compared to assets. So, I guess I had forgotten to look for the moat in my own eye first.
ugh…
Thanks again to all.
If my memory has failed me about any information, your corrections are always welcome.