KERKORIAN "SCRAMBLING" TO "BEAT THE . . . REAPER?"

Normally reliable Edward Lapham, Executive Editor of Automotive News, has apparently joined the "circle-the-wagon[er]s" reflexive jihad against Kirk Kerkoian's proposed "Renault Alliance" and partnership between GM, Renault and Nissan.

In a 10 Jul 06 editorial entitled "Kerkorian Hears the Clock Ticking," Lapham observes that Kerkorian's 9.9% stake in GM has sunk approximately $50 million Dollars and suggests that:

"Kerkorian doesn't have the patience to be a passive investor. He's an 89-year-old gambler who made a bad bet and is scrambling to win as many blue chips as possible before the Grim Reaper cashes him out."

Lapham discounts money as a motivation for Kerkorian, though, suggesting that the proposed "Renault Alliance" is all about ego

(and we all thought that Carlos Ghosn was "Mr. Ego" in this little drama . . . Lapham may have misread the Detroit insider talking points on that point . . . or maybe it was the Auto Extremist Peter DeLorenzo who got it wrong, infra (see also www.autoextremist.com))

Lapham's win/win solution for "beating the . . . reaper" is for Kirk to pony up another billion or so for new product investment and technology at GM.

"Imagine what GM could do with another billion dollars. That could fund two new vehicle programs."

Of course, not if GM spends it as poorly as Ford Motor Company (tm) often has (see Jaguar; $6 billion Mondeo/Contour "world car" . . . .)