GM Posts a Staggering Loss of $9.6 Billion in the 4th Quarter of 2008.

GM World Headquarters





General Motors burned through $6.2 billion in cash during the fourth quarter in posting this massive loss and is even now in talks with the Obama administration requesting more money.

The nation's biggest domestic automaker lost $30.9 billion for all of 2008 as it struggled against a U.S. sales slump and a global recession.

For the fourth quarter, GM says it lost $15.71 per share, compared with a loss of $722 million, or $1.28 per share, in the year-ago period.

Excluding special items, The Detroit company's loss was $9.65 per share. On that basis, analysts surveyed by Thomson Reuters predicted a loss of $7.40 per share.

Since December, GM has received $13.4 billion in US Government loans and is now asking for an additional $30 billion. One has to wonder if they even have a chance of recovering sufficiently to ever repay the loans. Auto sales are still down for 2009 with no relief in sight and GM has no real plan for a comeback, in my opinion. Will anyone step up and buy the Hummer brand or will Saturn be able to spin itself off from the parent? What is GM going to do short-term to staunch the flow of cash? Another quarter like this past one would have them on life support.