BMW M3 Forum (E90 E92)

BMW Garage BMW Meets Register Search Today's Posts Mark Forums Read


Go Back   M3Post - BMW M3 Forum > BIMMERPOST Universal Forums > General BMW News and Cars Discussion
 
Post Reply
 
Thread Tools Search this Thread
      01-20-2009, 08:21 PM   #1
Mark
Administrator
Mark's Avatar
United_States
1891
Rep
4,012
Posts

 
Drives: 1M
Join Date: Mar 2005
Location: USA

iTrader: (1)

Garage List
BMW may apply for aid from the German government

American carmakers recently secured a multi-billion dollar loan guarantee from the federal government but their counterparts across the pond haven’t been so lucky. Late last year the European Commission approved plans to provide up to $6 billion to its automotive industry, far short of the $55 billion in loans Europe’s carmakers had been hoping for, and since then no aid package has been finalized.

According to a new report, BMW is now considering applying to the German government for a state guarantee to back up its borrowings. The news was first reported by Bild Zeitung, which claims BMW Group – which includes the sales of BMW, Mini and Rolls-Royce - is reeling after its sales worldwide dropped 4.3% for 2008. Late last year, Volkswagen also approached the German government seeking guarantees for its financial divisions to cover refinancing of car loans in December.

Incidentally, BMW was one of the most vocal carmakers to criticize the aid package being offered to the Detroit 3. The German carmaker said the aid package would only serve to “distort competition” in the industry and that it should be offered to more companies.

Other countries around the world to start offering state aid to their local automotive industries include Australia, Canada, Spain, and the UK.

Meanwhile, BMW announced today that it would reduce the working hours for more than 26,000 German employees as part of efforts to slow production. The cuts will be limited to facilities in Dingolfing, Regensburg, Landshut and Berlin.

Source: http://www.motorauthority.com
__________________
I'll take one please. BMW M3.
Appreciate 0
      01-20-2009, 08:26 PM   #2
e92phreak
General
e92phreak's Avatar
United_States
245
Rep
21,745
Posts

 
Drives: E92 335i TiAg/E46 323i TiAg
Join Date: Mar 2007
Location: CA

iTrader: (1)

Garage List
2007 E92 335i  [4.50]
2000 E46 323i  [0.00]
Wow, they would be hypocrites if they went thru with it.

Well, if a financial giant like BofA is going thru the pains, not surprising that BMW is not immune.
__________________
07 E92 335i | TiAg | Step | Padl | Cmft | Alum Trm | PDC | Nav | Assist | Sat | Lthr | Prem | Sprt | Rear Splr | RDSport Quads | iPod | V1 | LT Refl | VS Clear Bra | OEM Lip | KWV2 | Mtec Sides | BBS LM-R
00 E46 323i | TiAg | 5sp | Sport | Roof | RDSport Cams | RDSport tune | RDSport Shift | Volk LE37 | M3 spoiler | PSS9 | SuperSprint | Brembo
Appreciate 0
      01-20-2009, 09:21 PM   #3
Bimmer Al
Lieutenant
Canada
8
Rep
597
Posts

 
Drives: 2010 335xi Coupe MSport, 6MT
Join Date: Aug 2007
Location: Ontario, Canada

iTrader: (0)

Quote:
Originally Posted by MarkE90M3 View Post
American carmakers recently secured a multi-billion dollar loan guarantee from the federal government but their counterparts across the pond haven’t been so lucky. Late last year the European Commission approved plans to provide up to $6 billion to its automotive industry, far short of the $55 billion in loans Europe’s carmakers had been hoping for, and since then no aid package has been finalized.

According to a new report, BMW is now considering applying to the German government for a state guarantee to back up its borrowings. The news was first reported by Bild Zeitung, which claims BMW Group – which includes the sales of BMW, Mini and Rolls-Royce - is reeling after its sales worldwide dropped 4.3% for 2008. Late last year, Volkswagen also approached the German government seeking guarantees for its financial divisions to cover refinancing of car loans in December.

Incidentally, BMW was one of the most vocal carmakers to criticize the aid package being offered to the Detroit 3. The German carmaker said the aid package would only serve to “distort competition” in the industry and that it should be offered to more companies.

Other countries around the world to start offering state aid to their local automotive industries include Australia, Canada, Spain, and the UK.

Meanwhile, BMW announced today that it would reduce the working hours for more than 26,000 German employees as part of efforts to slow production. The cuts will be limited to facilities in Dingolfing, Regensburg, Landshut and Berlin.

Source: http://www.motorauthority.com
Is this some kind od joke? Sales decrease 4% and you need a bailout. Sickening! Perhaps every company whose sales decreased a whopping 4% should get a bail out. This is beyond disgusting.
__________________
2010 335i xDrive Coupe, Titanium Silver, MSport 6MT
2006 325i Sparkling Graphite Sport Package 6MT Retired
1999 323i Titanium Silver, Sport Package, 5MT Retired
Appreciate 0
      01-20-2009, 10:13 PM   #4
02black330ci
Private
0
Rep
96
Posts

 
Drives: 996 TT
Join Date: Jul 2008
Location: Everywhere

iTrader: (0)

WTF is going on!!! We heard all kinds of good stuff, including the sales of M3's, though they aren't the bread and butter, but who the hell isn't hurting right now. Cut the extra fat and slim down through the tough times, don't ask for a lending hand when you know you truly don't need it.
Appreciate 0
      01-20-2009, 10:32 PM   #5
pmeloche
Lieutenant Colonel
pmeloche's Avatar
Canada
17
Rep
1,612
Posts

 
Drives: 2013 F25 X3 xDrive35i
Join Date: Feb 2008
Location: Montréal, Canada

iTrader: (0)

Reeling from a decline of 4.3% in their sales.
__________________

Patrice
2013 F25 X3 xDrive35i Vermillion Red
Appreciate 0
      01-20-2009, 10:38 PM   #6
CMJETC
New Member
CMJETC's Avatar
0
Rep
5
Posts

 
Drives: '06 330Ci ZHP, '02 525i
Join Date: Jan 2009
Location: KCMO

iTrader: (0)

lln does say that december sales were off 40.2%

http://www.leftlanenews.com/bmw-slow...g-workers.html
Appreciate 0
      01-20-2009, 10:45 PM   #7
e46e92love
Brigadier General
e46e92love's Avatar
United_States
37
Rep
3,059
Posts

 
Drives: e92 ///M3; X3 (wife's)
Join Date: Nov 2007
Location: The East Side of Things

iTrader: (0)

Send a message via AIM to e46e92love
This is all due to going from NA to FI on the //Ms. Word got out, everyone knows BMW is selling out, so no one is buying BMWs anymore


Cheers,
e46e92
__________________

"...it's not about the money and not about the brand of the car, it's about handling,performance and passion......And that, no other car has all together like an M3........when you talk about the most complete car the M is invincible." --Tony Kanaan.
Appreciate 0
      01-20-2009, 10:51 PM   #8
Holden_Caulfield04
Pro Detailer
Holden_Caulfield04's Avatar
Canada
0
Rep
75
Posts

 
Drives: e46 BMW
Join Date: Nov 2008
Location: Toronto, ON

iTrader: (0)

Dang...uh...um...yeah...so my sales dropped 300% and I'm uh, needing some moneyz...





Pretty please?
Appreciate 0
      01-21-2009, 03:52 AM   #9
Saebb
Private First Class
1
Rep
121
Posts

 
Drives: Unfortunately none
Join Date: Oct 2006
Location: Bimmertown, Germany

iTrader: (0)

Interesting news... But if you look on reputable news paper sites like (in my case) spiegel-online, faz.net, financial times germany there are no such news. But super reliable Bild has it? Are you kidding me? Wait for serious news published in a reliable newspaper and then we can start complaining.
Appreciate 0
      01-21-2009, 05:00 AM   #10
maro bobby
Enlisted Member
Croatia
1
Rep
32
Posts

 
Drives: 2008 e90 320d
Join Date: May 2007
Location: Croatia

iTrader: (0)

Does anyone knows how many of those F01 have been sold so far??
I find that very interesting information.
Appreciate 0
      01-21-2009, 06:16 AM   #11
Deda
Major General
Deda's Avatar
Croatia
74
Rep
6,520
Posts

 
Drives: BMW X6 35d
Join Date: Apr 2008
Location: Croatia

iTrader: (0)

interesting info...
Appreciate 0
      01-21-2009, 12:20 PM   #12
fijigabe0
Private First Class
fijigabe0's Avatar
United_States
1
Rep
171
Posts

 
Drives: 2012 X3 XDrive 35i; 2013 335i
Join Date: Feb 2007
Location: Texas

iTrader: (0)

Send a message via AIM to fijigabe0
when you read it carefully, they're not asking the German gov't for a loan, but "for a state guarantee to back up its borrowings."

what the "Big 3" asked for was a loan, because they didn't have enough cash on hand to support themselves, and were unable to secure a loan from any other lender (their credit is piss-poor).

sounds to me like BMW is being (a) cautious, in not having to beg for a bailout if things really go south, and (b) latching onto the bailout bandwagon, in order to get some share of the pie, before it's all gone!
__________________
Gabe
'12 X3 XDrive 35i
'13 335i MSport

Past - '06 330xi, '07 X3 3.0si, '09 328i
Appreciate 0
      01-21-2009, 04:22 PM   #13
lyndon_h
Lieutenant Colonel
lyndon_h's Avatar
20
Rep
1,920
Posts

 
Drives: e90
Join Date: Jan 2007
Location: Madagascar

iTrader: (2)

If BMW's sales are only down 4% then they are doing better than everyone else. Somehow, i think 4% is wrong.
Appreciate 0
      01-21-2009, 04:42 PM   #14
brokemywallet
Slaveaholic
United_States
7
Rep
669
Posts

 
Drives: 2006 330I
Join Date: Nov 2006
Location: So. Cal

iTrader: (6)

Quote:
Originally Posted by lyndon_h View Post
If BMW's sales are only down 4% then they are doing better than everyone else. Somehow, i think 4% is wrong.
yeah, if sales are only down 4% and now they are asking for gov't backed loan guarantee.....then they're doing something wrong!!!!
Appreciate 0
      01-21-2009, 04:45 PM   #15
phrozen06
NA V8
phrozen06's Avatar
28
Rep
1,554
Posts

 
Drives: 01 330ci, 08 M3 DCT, 08 VW R32
Join Date: Jan 2006
Location: 39°27'33"N 77°58'04"W W. Virgina, Kansas

iTrader: (2)

Isn't Europe where half of the 700 billion went to anyway?
__________________
Appreciate 0
      01-21-2009, 04:50 PM   #16
!Xoible
Banned
United_States
555
Rep
46,037
Posts

 
Drives: ....
Join Date: Nov 2006
Location: .

iTrader: (4)

Garage List
2008 M3  [3.50]
2007 335i  [4.50]
2008 528i  [4.00]
2006 Infiniti - G35 ...  [4.00]
the reason for them wanting the aid is not the drop in sales. it's the fact that no borrowers will give them money. the credit market is fucked up, and if they are not backed by government to guarantee the borrowing, then they cannot borrow and they cannot function. that would still be the case even if their sales went up 50%
Appreciate 0
      01-21-2009, 06:23 PM   #17
juicymoose
juicymoose
juicymoose's Avatar
Canada
0
Rep
49
Posts

 
Drives: 2006 330i Prem/Sport/Blk/Blk
Join Date: Jan 2008
Location: Alberta

iTrader: (0)

Quote:
Originally Posted by 02black330ci View Post
WTF is going on!!! We heard all kinds of good stuff, including the sales of M3's, though they aren't the bread and butter, but who the hell isn't hurting right now. Cut the extra fat and slim down through the tough times, don't ask for a lending hand when you know you truly don't need it.
+1 Start with the over paid executives of the company.
Appreciate 0
      01-21-2009, 06:31 PM   #18
VGR00
Major
VGR00's Avatar
Australia
22
Rep
1,497
Posts

 
Drives: 125I Edition Sport Carbon Blk
Join Date: Feb 2007
Location: Brisbane - Australia

iTrader: (1)

I think we need to put this in perspective. BMW are only asking for a "state guarantee to back up its borrowings". The Big 3 american car makers got a hand out. Two totally different things. I heard the 3 american car makers all arrived to the hand out meeting in private jets. Maybe they should sell the private jets and limit travel to domestic airlines traveling economy class.
Appreciate 0
      01-21-2009, 07:00 PM   #19
TheAcAvenger
Brigadier General
TheAcAvenger's Avatar
United_States
45
Rep
3,099
Posts

 
Drives: 2007 E92 335i
Join Date: Apr 2006
Location: 757, VA

iTrader: (1)

Quote:
Originally Posted by vgr02 View Post
I think we need to put this in perspective. BMW are only asking for a "state guarantee to back up its borrowings". The Big 3 american car makers got a hand out. Two totally different things. I heard the 3 american car makers all arrived to the hand out meeting in private jets. Maybe they should sell the private jets and limit travel to domestic airlines traveling economy class.
They did sell them... after word got out that they'd done it, the heads of GM and Chrysler both gave up theirs. Ford? Not so much
__________________
2007 E92 335i - TC Kline DA Coilovers, HPA M3 Suspension Retrofit, Quaife LSD, Stoptech 6/4 BBK, Volk TE-37s, AR Downpipes, RDSport Quads, Forge DVs, Stett OC, RB Turbos, Procede V5, PWM Meth, Helix IC, EAS DCI, Rixster VEI, M-Tech Sides, OEM Aero Lip, Rieger Spoiler, Vorsteiner V-35 Hood, Performance Steering Wheel, Anthracite Headliner, OSS Headlights
Appreciate 0
      01-22-2009, 12:47 AM   #20
ihyln
Banned
United_States
44
Rep
3,385
Posts

 
Drives: M3post sucks
Join Date: Apr 2008
Location: M3post sucks

iTrader: (1)

Garage List
2008 M3  [0.00]
2002 530i  [0.00]
Send a message via AIM to ihyln
Quote:
Originally Posted by Bimmer Al View Post
Is this some kind od joke? Sales decrease 4% and you need a bailout. Sickening! Perhaps every company whose sales decreased a whopping 4% should get a bail out. This is beyond disgusting.
No it's not a joke sadly. Shareholders must be kept happy. There are some companies who will absorb the blow and keep employees but there are far more who will not.
Appreciate 0
      01-22-2009, 12:53 AM   #21
FStop7
I like cars
FStop7's Avatar
Vatican City State
98
Rep
5,059
Posts

 
Drives: M6
Join Date: Oct 2008
Location: Newbury Park, CA

iTrader: (3)

Quote:
Originally Posted by ihyln View Post
No it's not a joke sadly. Shareholders must be kept happy. There are some companies who will absorb the blow and keep employees but there are far more who will not.
that makes it worse, because isn't BMW privately owned? no shareholders.

insulting is what it is.
Appreciate 0
      01-22-2009, 04:16 AM   #22
Saebb
Private First Class
1
Rep
121
Posts

 
Drives: Unfortunately none
Join Date: Oct 2006
Location: Bimmertown, Germany

iTrader: (0)

Quote:
Originally Posted by FStop7 View Post
that makes it worse, because isn't BMW privately owned? no shareholders.

insulting is what it is.
It is a stock-exchange listed AG (Aktiengesellschaft=corporatin) where most of the stocks are in property of family Quandt and their holdings. Which means on that anybody is able to buy stocks of BMW and those shareholders want to be satisfied (family Quandt for sure too).

Webasto e.g. is a privately owned corporation, where all stocks are in the hands of the Baier family. Those stocks are not traded on the stock exchange.

Quote:
Well, I am still wondering because none of the other newspapers wrote anything about this.
Not correct, found one article on spiegel-online. Here is via babelfish translated version of the original german text. It states that only the financial part of BMW is asking for a loan.

Quote:
BMW examines request for national endorsement

The German automobile industry hopes for national assistance for its financial sections: Now also BMW states interest in an endorsement. Thus that would not be Munich manufacturer first, that takes national warranties up.
ANZEIGE

Munich - a speaker of the enterprise confirmed a message the “picture” - newspaper that the admission of a state endorsement is examined. “It concerns however only the financial section”, stressed it opposite Spiegel online. For the automotive manufacture give it no such intentions. With the endorsement BMW can secure loans, in order to take up at the capital market new money for the refinancing of business.

Beside BMW numerous further enterprises of the automobile industry have interest in national warranties. “The German automobile industry has to examine the federation of the automobile industry (VDA) in the autumn 2008 assigned, to what extent national endorsements are possible and sense said devoted”, the BMW speaker Spiegel online. A goal of this common procedure is to be prevented it been, that the impression develops, an automaker has it “particularly necessarily”.

The federation of the automobile industry (VDA) sees a high need of national endorsements in the industry because of the difficult situation. Thus the assignment of bank credits can be facilitated to medium-size enterprises, said a VDA speaker the “picture” - newspaper. Before the VW group had already requested national assistance from the rescue package of the Federal Government in December for its internal bank.

Meanwhile the Italian car maker Fiat and the fastened US manufacturer Chrysler press reports negotiate according to over a strategic partnership. In the context of the alliance Fiat could take part in Chrysler, reports “Wall Street Journal” (WSJ) and the technical periodical “automotive news” on Monday agreeing with reference to insiders.

Assumption of the Chrysler majority?

Fiatcould be opened over co-operation the US market particularly for its small cars and cars in the medium range, it was said. The Italians look already since longer for a possibility for the economical expansion in the USA. Go it among other things around the Fiat 500 as well as around the traditional brand Alfa Romeo. It is considered that Fiat sells its cars over the Chrysler net, so “Wall Street Journal”. According to the report Fiat to center of the yearly up to 35 per cent of the Chrysler shares can take over and increase the portion in the medium term to 55 per cent.

Chrysler would use according to the plans in response the platforms and the technology of Fiats. With smaller cars the US car manufacturer has to offer hardly something. The Americans set long time particularly on large and little economical cars. The sales figures broke in with Chrysler last year around approximately 30 per cent.

The third biggest US car manufacturer behind GM and FordCharts showare at present only survivable owing to emergency credits of the US Government and look for urgently partners. Discussions with the Japanese manufacturer Nissan ran lastCharts show. Chrysler belonged to well 80 per cent the US financial investor Cerberus, the remaining scarcely 20 per cent holds still the German Daimler company. DaimlerCharts showwants to sell the portion as fast as possible, argues however with Cerberus over the price.

kaz/DPA AFX/DPA/Reuters
Appreciate 0
Post Reply

Bookmarks

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Forum Jump


All times are GMT -5. The time now is 11:13 AM.




m3post
Powered by vBulletin® Version 3.7.0
Copyright ©2000 - 2014, Jelsoft Enterprises Ltd.
1Addicts.com, BIMMERPOST.com, E90Post.com, F30Post.com, M3Post.com, ZPost.com, 5Post.com, 6Post.com, 7Post.com, XBimmers.com logo and trademark are properties of BIMMERPOST