[Tom Line]

The reason for GM + Chrysler is twofold. First, GM still retains something like 49% of GMAC, and Cerberus has the other 51%. This well could be a swap - GM gives up the rest of GMAC and Cerberus hands over Chrysler + a good chuck of cash to keep GM afloat (something like 11 bil).

People don't think about it much, but GM is actually in serious trouble when it comes to paying the bills - they're using too much cash to run operations and not enough is coming back in from sales.

If this happens it's going to be incredibly bad for Michigan. GM will likely keep the product that fill holes in their line-up: namely Jeep and the minivan business. I'd guess the rest, including factories etc. get sold off to foriegn companies like Tata in India just for the Chrysler name (similar to the Land Rover and Jag sale).

The Chrysler Foundation (note - NOT Chrysler) is one of our sponsors as well. They already cut funding this year. With Ford being one of our other major sponsor, we could be in trouble as well.