A day after GMAC announced that they would sell off $55B in loans, its chairman states that maybe their "junk" bond status is affecting things. More preciously and in his exact words, "you may not be able to run a $300 billion balance sheet as a below investment-grade." Hmm, I wonder if they teach that in all the business schools. Anyways, of GM's $284B in debt, $251B is tied up in GMAC loans (this of course includes its mortgage and commercial-lending divisions). If GMAC loses access to additional credit or finds an increase in borrowing costs while at the same time GM is seeing a burst in sales and thus lending activity (not to mention the housing market), then bad things start to happen for GM's most-reliable profit center. I think it's still too early to predict how this mess will play out, but things sure look to be pointing in the direction of a spin-off.