Government Motors

[phil]

Though in the book it was CO2 cartridges.

 

[James48843]

Chinese car market overtakes that of United States

Chinese car market overtakes US; shift could affect vehicle designs, energy, pollution

• By Elaine Kurtenbach and Dee-Ann Durbin, AP Business Writers
• On 5:10 pm EST, Thursday December 10, 2009

SHANGHAI (AP) -- China has overtaken the U.S. as the world's biggest market for automobiles, the first time any other country has bought more vehicles than the nation that produced Henry Ford, the Cadillac and the minivan.

Now that the Chinese buy more cars and trucks than Americans, the shift could produce ripples for the environment, gas prices and even the kinds of cars automakers design.

More than 12.7 million cars and trucks will be sold in China this year, up 44 percent from the previous year and surpassing the 10.3 million forecast in the U.S., according to J.D. Power and Associates.

China has long been expected to overtake the U.S. since its population of 1.3 billion is more than quadruple that of the United States. But the increase in sales happened much faster than anyone expected because of China's tax cuts, its stimulus program and a depressed American market.

Two years ago, J.D. Power predicted China would pass the U.S. in 2025. Earlier this year, it forecast 2009 sales of just 9 million vehicles for China.

After a sharp slowdown in auto sales late last year, the Chinese government cut taxes on small cars and spent $730 million on subsidies to encourage sales of SUVs, pickups and minivans. A big stimulus program also boosted truck sales by pumping money into construction.

More: http://finance.yahoo.com/news/Chinese-car-market-overtakes-apf-3774294944.html

 

[James48843]

Visteon Can End Most Health Insurance for Retirees (Update1)

By Steven Church

Dec. 10 (Bloomberg) -- Visteon Corp., the bankrupt auto- parts maker once owned by Ford Motor Co., won court permission to quit paying health and life insurance costs for most of its retired workers.

U.S. Bankruptcy Judge Christopher Sontchi in Wilmington, Delaware, today overruled objections from union workers, agreeing with Visteon’s claim that it couldn’t afford the program, which may cost about $31 million this year.

The company said previously that the measures would affect about 7,000 current workers and retirees. Sontchi ruled that only about 110 current workers are entitled to the benefits because of a contract.

More: http://www.bloomberg.com/apps/news?pid=20601103&sid=a4UHfExux5X0


(Visteon was the parts supplier division of the Ford Motor company before being spun off in 2000. More than 70,000 Ford Employees took major pay cuts in the spinoff in 2000, and two previous rounds of pay cuts before their bankruptcy in May of this year. By 2007, the number of employees had fallen to below 50,000, as 16 parts plants were cut back to six. Visteon declared bankruptcy earlier this year, and now employees just over 11,000 salary and 22,000 hourly workers. This ruling today cuts off the health care insurance and life insurance policies for more than 7,000 former Ford/Visteon retirees. Visteon continues to be Ford Motor Company's biggest single supplier)

 

[James48843]

The New GM increases sales in December, and increases market share:

​

 

[Warrenlm]

Announced this morning: Ed Whitacre is named permanent, not interim, CEO.

 

[James48843]

Chevrolet, Buick, GMC and Cadillac Retail Sales Up 3 Percent
– Total Sales for These Brands Up 30 Percent

GM Total Sales Increase 14 Percent
Fourth Consecutive Month of Retail Sales Gains for GM’s Four Brands
Chevy Equinox, GMC Terrain and Cadillac SRX Retail Sales Up 161 Percent
Fleet Sales Comprise 29 Percent of Total Sales

DETROIT – U.S. dealers for GM’s brands – Chevrolet, Buick, GMC and Cadillac – reported retail sales of 102,420, up 3 percent compared to January 2009, and 145,098 total sales (up 30 percent). These results were driven by the continued strong growth of new GM crossovers and passenger cars. For the month, GM dealers reported 146,825 total sales (including other brands), representing a total sales increase of 14 percent from the previous year.
“This is the fourth month in a row that Chevrolet, Buick, GMC and Cadillac have shown a collective year-over-year retail sales increase,” said Susan Docherty, GM vice president, Sales, Service and Marketing. “Our long-term plan to continue to focus and strengthen our brands is delivering results.”

Chevrolet, Buick, GMC and Cadillac comprised 98 percent of the company’s retail sales in January, compared to 85 percent a year earlier. Retail sales, including other brands, in the U.S. were 104,122 during the month. This represents a 10 percent decline from a year ago, driven by other brand sales – Pontiac, Saturn, Saab and HUMMER – that were 90 percent lower. GM dealers delivered 42,703 fleet vehicles, comprising 29 percent of total deliveries for the month.


Other Key Facts:

• Chevrolet Equinox retail sales increased 67 percent; estimated retail share of the compact crossover segment is up 5 points (Jan. 2009 vs. Jan. 2010)
• GMC Terrain retail sales were up 162 percent (compared to the vehicle it replaces, Pontiac Torrent); estimated retail share of the compact crossover segment is up more than 3 points (Jan. 2009 vs. Jan. 2010)
• Cadillac SRX retail sales were up 218 percent vs. last year, the fifth consecutive month it has gained more than 100 percent year-over-year; SRX gained approximately 15 points of retail share in the Mid-lux SUV crossover segment (Jan. 2009 vs. Jan. 2010)
• In their first year on sale, GM Compact Crossovers – Chevrolet Equinox and GMC Terrain – have become the second best selling crossovers in the industry
• GM sells more crossovers than any other automaker, representing approximately 20 percent of industry crossovers sold
• Buick LaCrosse retail sales were up 142 percent, the fourth consecutive month it has gained more than 100 percent year-over-year; LaCrosse gained an estimated 12 points of retail segment share, making it number one in its segment (Jan. 2009 vs. Jan. 2010)
• Chevrolet dealers sold 5,371 Camaros – the eighth straight month it has outsold Mustang

“Our launch vehicles such as the Chevrolet Equinox and Camaro, Buick LaCrosse, GMC Terrain, and Cadillac SRX continue to attract new customers to our brands,” Docherty said. “In addition to styling and fuel efficiency, customers have told us they want safe, high quality vehicles. They can have peace of mind knowing that our vehicles come standard with our 5-year, 100,000 mile powertrain warranty and OnStar.”


Management Discussion of January Sales Results

“Global economic recovery is picking up pace,” said Mike DiGiovanni, executive director, global market and industry analysis. “In the U.S., we are seeing a strong rebound in manufacturing and stabilization of consumer confidence, which will support a slow but steady improvement in the vehicle market.”
U.S. Economy

• Leading economic indicators point to a continuing recovery in 2010, although risks remain
• Job losses continue to decline, but initial claims of unemployment remain high, indicating continuing reduction in the labor force. Unemployment is likely to stay near 10 percent
• Consumer confidence stabilized at the December level. Consumer vehicle buying attitude is improving, but consumers don’t anticipate a strong recovery in jobs and income
• Home prices have stabilized in large parts of the country. Housing starts dropped 4 percent in December, but rising housing permits indicate construction will pick up in coming months
• The manufacturing sector continues to expand. Corporate profit reports show the corporate sector is positioned to expand as the economy improves

U. S. Auto Industry

• The U.S. January 2010 SAAR is estimated to be approximately 11.0 to 11.3 million (total industry estimate) – largely on par with Q4 2009 sales
• Based on the strengthening U.S. economy, we are increasing our 2010 CY sales outlook to 11.5 to 12.0 million (total vehicle)

GM North America Production is increasing:

​

View attachment 8376​

While DEALER INVENTORIES ARE ABOUT 60% OF WHAT THEY WERE THIS TIME LAST YEAR:

View attachment 8375​

More: http://www.gm.com/corporate/investor_information/sales_prod/

 

[James48843]

Complete sales figures:

http://phx.corporate-ir.net/External.File?item=UGFyZW50SUQ9Mjg4NDN8Q2hpbGRJRD0tMXxUeXBlPTM=&t=1

 

[Bullitt]

What would they do without gov't... err I mean fleet sales?

Chevrolet, Buick, GMC and Cadillac comprised 98 percent of the company’s retail sales in January, compared to 85 percent a year earlier...GM dealers delivered 42,703 fleet vehicles, comprising 29 percent of total deliveries for the month.

What will they think of next, the 30 year auto loan?

Home prices have stabilized in large parts of the country. Housing starts dropped 4 percent in December, but rising housing permits indicate construction will pick up in coming months

Has anyone ever seen a car dealer or home Realtor come out and say, "Save your money, now is not a good time to buy. Prices will be lower in a few months." I haven't, yet this would be the best advice any of these people could give. Buy more, buy more now.

 

[James48843]

What would they do without gov't... err I mean fleet sales?
.

A good number of those "fleet sales" are both Government police cars, and Rent-a-car sales.

Both are valid segments of the market.

 

[James48843]

GM Feb 2010 total sales up 11%,
Chevy up 32%
Buick up 47%
from Feb 2009.
View attachment 8541​

Full report, by model, here:​

http://phx.corporate-ir.net/External.File?item=UGFyZW50SUQ9MzQ0ODl8Q2hpbGRJRD0tMXxUeXBlPTM=&t=1​

 

[James48843]

Note:

I was at my local Chevy dealer this past weekend.

They are OUT OF MALIBU's.

Sold out now. Also shortages of Equinox.

Today GM said they won't reopen any plants, even though they are sold out of cars at some locations at the present time.


From: http://www.mercurynews.com/business/ci_14498617
------------------------------------------------------------------

GM won't reopen any factories despite vehicle shortages


Associated Press

Posted: 03/02/2010 11:53:26 AM PST

DETROIT — General Motors Co. will not reopen any factories, even though it has shortages of several new models, the company's top sales executive said Tuesday.
Vice President of Sales Susan Docherty told reporters on a conference call that GM needs to use its current factories to the maximum rather than taking the expensive step of reopening a closed plant.

Dealers have reported shortages of some new models, such as the Chevrolet Equinox and GMC Terrain midsize crossover vehicles, and some GM executives have been pushing to reopen a factory to boost production while the models are still hot.

"We don't need to do that," Docherty said. "We need to leverage our existing footprint."

At the Detroit auto show in January, GM North American President Mark Reuss raised the possibility of reopening a factory, and Vice Chairman Bob Lutz said that was how Chrysler gained market share in the 1990s when it had hot-selling products.

But Docherty said GM is just now seeing the benefits of adding third shifts at the factory in Ontario where the Terrain and Equinox are made, as well as the Fairfax plant at Kansas City, Kan., that makes the Chevrolet Malibu midsize sedan, she said.

 

[James48843]

Prius with stuck accelerator glides to safe stop

EL CAJON, Calif. – A California Highway Patrol officer helped slow a runaway Toyota Prius from 94 mph to a safe stop on Monday after the car's accelerator became stuck on a San Diego County freeway, the CHP said.

Prius driver James Sikes said that the incident Monday occurred just two weeks after he had taken the vehicle in to an El Cajon dealership for repairs after receiving a recall notice, but he was turned away.

"I gave them my recall notice and they handed it back and said I'm not on the recall list," Sikes said.
In a statement, Toyota said it has dispatched a field technical specialist to San Diego to investigate the incident.


More: http://news.yahoo.com/s/ap/us_runaway_prius

 

[James48843]

Note: My GM dealer got a dozen Malibus in last Thursday. All but one were gone yesterday.

 

[Fivetears]

Ed Whitacre is now paying big for TV airtime to boast to the taxpayer how GM has paid back its debt (+ interest) in full. When is he going go public and restore the collateral financial damages caused to all the public stockholders? Ya know... it's just the American way of doing things; doing business; forgive and forget; forget and bury; Ed Whitacre is counting on it. Hurry John Q. Public, go grab a Malibu.

 

[James48843]

The new GM will have it's stock offering before the end of the year. They aren't quite ready to do it now. Wait until after the Cruze and the Volt are launched before they sell stock.

Sometime between August and October. Mark it down. More likely October than August. And the taxpayer will be big winners when they do.

 

[Warrenlm]

I was looking for this thread. Why does everyone forget the billions loaned to GM and then written off, and now focus on this current talk about having paid off the money given to the company? Kinda like the taxpayer funded write down of home mortgage principal. Oh yeah, that's ok with everyone too.

 

[James48843]

I was looking for this thread. Why does everyone forget the billions loaned to GM and then written off, and now focus on this current talk about having paid off the money given to the company?

All those billions get repaid when the company stock goes public. The government now owns 61% of GM, and those which you refer to are what purchased that portion of the company. When the USA sells that stock on the open market, it will be repaid and then some.

GM got a total of $52 billion from the U.S. government and $9.5 billion from the Canadian and Ontario governments as it went through bankruptcy protection last year. At first the entire amount of U.S. aid was considered a loan as the government tried to keep GM from going under and pulling the fragile economy into a depression.
But during bankruptcy, the U.S. government reduced the loan portion to $6.7 billion and converted the rest to company stock, while the Canadian government held $1.4 billion in loans. Those loans were repaid Tuesday, five years ahead of schedule.
The automaker hopes to begin repaying the remaining $45.3 billion to the U.S. government and $8.1 billion to Canada via a public stock offering, perhaps later this year. The U.S. government now owns 61 percent of the company and Canada owns roughly 12 percent.​

http://abcnews.go.com/Business/wireStory?id=10431659​

 

[James48843]

Through March 31 of this year, GM sales overall up 15.6%, even though several brands have now been discontinued, and multiple plants closed and 23,000 workers terminated.

View attachment 9088

Three major U.S. assembly plants were closed permanently,
(Orion, Wilmington, and Spring Hill, TN). Shreveport has discontinued all Hummer production, and is slated for closure as well.

and nine production lines closed down.

http://phx.corporate-ir.net/External.File?item=UGFyZW50SUQ9NDIxMzJ8Q2hpbGRJRD0tMXxUeXBlPTM=&t=1
​

​

 

[Fivetears]

I think James got caught holding GM stock. I was a sworn GM fan before the bailout. After the watching the automaker's Congressional side show performance and all the rest of GM's sob-a$$ed story... I've reached the conclusion Ed Whitacre and his clan are no better than the thiefs running AIG. GM can stuff that Volt electrical plug... Buy FORD.

 

[Bullitt]

Subsidize more, sell more fleet sales (government Malibu's), get those folks who bought 5 months ago to trade up at their 6 month anniversary to a brand new car, open an IPO, throw the 'new GM' stock into the S&P 500 or maybe back into the DJIA and then flood the market with shares to unsuspecting blue hairs along with pension and index funds who will be forced to buy shares as it will be included in it's indexed benchmark.

After that, Mission Accomplished.