GM: Substantial doubt over ability to be going concern

There is an old saying: "As goes GM so goes America", hopefully that won't be the case. We are witnessing the collapse of some of America's stalwarts of finance and industry. General Motors, General Electric, Lehman Brothers, Merrill Lynch, Citigroup, AIG, Bear Stearns, Fannie Mae, Wachovia and Washington Mutual are all dead or on government life support. We are living in historic times my friends.-Lou

GM: Substantial doubt over ability to be going concern

LONDON (MarketWatch) -- General Motors said in a 10-K filing that there's substantial doubt over its ability to continue as a going concern.

Its auditor, Deloitte & Touche, also expressed those doubts. GM had previously flagged that a review of whether it was viable would come in the 10-K filing. "Our independent public accounting firm has issued an opinion on our consolidated financial statements that states that the consolidated financial statements were prepared assuming we will continue as a going concern and further states that our recurring losses from operations, stockholders' deficit and inability to generate sufficient cash flow to meet our obligations and sustain our operations raise substantial doubt about our ability to continue as a going concern," GM said.

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If we fail to [execute the Viability Plan successfully], we would not be able to continue as a going concern and could potentially be forced to seek relief through a filing under the U.S. Bankruptcy Code." The plan is contingent that vehicle sales will decline further in 2009 but begin to recover in 2010.