GM Debt Default: Who Did Not See This Coming?

The Wall Street Journal is reporting that General Motor’s (GM) CFO Ray Young is saying that the company will not be able to make its debt payments of $1 billion for June 1.

“This GM problem was showing up, and we criticized Standard & Poors and Moody’s for missing the financials. They did not miss on GM and Ford. For a long time they’ve had them rated very poorly. There was major risk, if you were gonna put GM bonds in your portfolio.” Fox Business Network 4/22/2009.

[via Ockham Research]

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