The Wall Street Journal, CNN and many other news outlets are reporting today that GM plans to idle most of its plants this summer for two months.  This announcement follows yesterday’s notification that GM will skip its June 1st debt payment of $1B.  The automaker continues to be burdened with excessive inventories; 113 day supply of  cars and 123 day inventory of trucks.

Sadly the impact to the Automotive Supply base will be deep and hurtful. As more and more Auto Suppliers seek bankruptcy protection daily- this is surely bad news for those suppliers already on their heels.  Surely all participants in the supply chain will want to review their raw & finished good inventories now- then monitor going forward. As suppliers act to minimize their risk, be aware that ABC Metals is here to assist.  Call ABC Metals regarding inventory conversion and lower your exposure to market pressures. See also http://online.wsj.com/article/SB124041946006244177.html