THE CHALLENGE - AT 7:46 A.M. ET:  We now have a new car industry.  The New York Times states very well the situation that industry is in, particularly its former leader:

DETROIT — Fiat will set a new direction at Chrysler, which finished its tour through bankruptcy court Wednesday, completing its deal to join forces with the Italian automaker.

At Ford, a chief executive brought in from the aircraft industry is helping to shake up the company.

But it will be up to the federal government, which will own a majority of General Motors when it emerges from bankruptcy, to tackle what is perhaps the most difficult challenge in Detroit: transforming G.M.’s insular culture — at times as bureaucratic as the government’s — to make the company more competitive.

If the effort fails, the Treasury may never recoup the $50 billion it has provided G.M.

COMMENT:  The GM culture has been legendary for generations - a culture isolated from the world, incapable of change, and almost uninterested in the very cars it was producing.  The idea of the government running a car company that is overly bureaucratic is almost laughable, but I can't deny that it's one of the most fascinating stories around today.

Let's hope the GM execs can get in touch with their inner Buick and make things work.  I wonder how many of them have driver's licenses.

June 11, 2009