The news made my jaw drop a bit: "Toyota Motor Corp. lost 765.8 billion yen ($7.74 billion) in its fiscal fourth quarter, leading the world's largest auto maker by car sales to its first full-year loss in 59 years and setting the stage for even worse results in the current fiscal year." (from
the Wall Street Journal) The first full-year loss in 59 years! That's astounding... It seems like the auto industry doesn't quite know which end is up...
General Motors (GM:NYSE) just posted a
$6 billion loss in its first quarter, but is seeing some interest in the
potential sale of its Opel division from some European buyers - including
Fiat SpA (F:Milan), who has already entered a deal with Chrysler, and has said it would be
interested in GM's Latin America, Russia and China operations.
Porsche (PAH3:XETRA) and
Volkwagon (VOW:XETRA) are going to merge... Russia's
OAO GAZ Group (GAZA:Russia) is
selling its LDV brand (a U.K. van maker) to Malaysian-based Weststar - and also showed interest in GM's Opel division. And
Ford (F:NYSE) wants to convert one of its SUV manufacturing plants to an
electric vehicle production line. It's like a giant game of 52-card pick up, where the cards raining down magically turn into cash... GM gets leaner, losses debt and gains potential government investments... European car makers find synergy and savings in merged operations... And everyone goes home happy, right? Only when people start buying cars again.