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Bonus! Delphi Loses $2 Billion In Third Quarter

This image was lost some time after publication.
This image was lost some time after publication.

Obvs this is pending any restatements, but earlier this morning the General's biggest supplier saw a net loss of $2 billion in the third fiscal quarter. That's over $1.2 billion more than they lost during the same quarter last year. So even if you "take away" the $1 billion of the loss related to employee attrition programs, the beleaguered, broke and bankrupt company still did $200 million worse than they did during the same period last year. How much were they thinking of spending on bonuses again? But hey, you've got to pay competitively if you want to keep your good people. Maybe that's the problem — maybe they just aren't paying their execs enough. Yeah, that's it.

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Delphi posts $2 billion loss in third quarter [Detroit News]

Related:
Breaking! Bankruptcy Judge Rewards Delphi Execs For Being Bankrupt [internal]

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DISCUSSION

Quote from an article I found via Yahoo! from Reuters. The name of the article is entitled "Delphi loss widens on buyouts"

By David Bailey Tue Feb 13, 11:09 AM ET

http://news.yahoo.com/s/nm/20070213/…

Quote: "Delphi said it continues to face pressure from GM light vehicle production cuts in North America, price reductions on its parts, commodity costs, and high union wages and benefits, and inflexible union contracts."

OK solution:

Delphi needs to cheapen their production costs even further by mass producing parts without quality control. This will offset the cost of cheapening prices of its parts. This new lower cost that Delphi passes onto GM can be passed along to the consumer. The consumers will purchase the final product because it's competitively priced and knowing the parts were made in America. Then when the workers, not just the unionized ones, demand more money Delphi will be able to support them for years to come.

Finally,

Oh, wait...crap, never mind.