Europe’s debt fix plan falters rattling markets worldwide
European leaders face a faltering austerity push as heavy selling hits markets across Europe and the United States. Germany’s index troughs, Spain and Italy move to grow, while EU and ECB actions fail to reassure investors amid rising debt shares and layoffs. The Dow dips below 13 000 as fear resurges.
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American Airlines moves to void union contracts amid bankruptcy
More than 300 workers and flight attendants protested outside Judge Sean Lane as AMR seeks to erase labor contracts under the 1113 process. U S Airways reportedly considered a takeover bid while unions vow to challenge wage and benefit cuts totaling about 1.25 billion dollars annually. The judge set a timeline with arguments this week and a ruling by June 6.
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GM to Double China Production and Expand Dealerships
GM chairman Dan Akerson said the company will add 600 Chinese dealerships this year and nearly double production capacity to 5 million cars annually by 2016. The plan includes Cadillacs growing from 30,000 to 100,000 yearly sales by 2016 and a potential dedicated Cadillac factory in China. GM aims to restructure its venture with SAIC to restore a 50 50 balance in the near term.
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