While the Obama adm has told GM to prepare a bankruptsy plan (something that should've happened before the tax payers were compelled to pick up the tab) ; it now appears that the Chrylser merger with Fiat that Obama decreed is about to collapse.

Fiat chief executive Sergio Marchionne said that the partnership had only a 50-50 chance of succeeding because of lack of progress in talks with union leaders.

He said the union position during negotiations would make the deal too expensive . What is he asking for ? He wants them to agree to match the costs of plants run by Japanese and German carmakers in the United States and Canada. But the unions are not budging.

Obama wants the deal .Fiat wants the deal if it is under the right conditions .The deal would save the company and many of the jobs .

Do you think Obama will use his influence with the labor unions to compel them to accept the deal in the same manner that he is handling GM ;the other auto company beholden to tax payer largess ?

Would not be surprised in the least if GM goes belly up. This would definitely make Warren Buffett very very happy as he's putting all his eggs into his China basket making autos over in China. I'll bet Ford and Chrysler will be next on the chopping block to go belly up. Warren has to make his dough back somehow you know. Obama does not dictate anything - his puppetmasters do all the deciding - he just mouths empty phrases and empty words.

I'm following this story too, the Canadian Auto Workers union is refusing to make any more concessions despite the threat from Fiat. I'm worried about this situation. I hope that if the deal collapses and Chrysler, GM and Ford go bankrupt it won't affect the stock market too much, but I have a sinking feeling that it will.