Quoting Reuters
After GM angered the UAW negotiators last week by appealing directly to workers and revealing details of the No. 1 U.S. automaker’s latest offer, the sides have continued talking. The UAW made a counter offer to GM on Friday.
Morgan Stanley analyst Adam Jonas said in a research note on Monday that investors with whom he has spoken are “comfortable” with an extended strike and potential upfront multibillion-dollar impact as long as GM preserves its long-term financial and strategic flexibility.
While a prolonged strike could trigger a credit rating agency downgrade on the company’s debt, Jonas said most investors he has spoken with would accept that if the company retained an investment-grade rating.
Buckle up guys, this will go on for a while.