General Motors (GM) 01 (Jun 08 - Jul 10 )

[winston]

General Motors lost a towering $15.5bn in the second quarter as it was hammered by falling sales in its core North American market and a dramatic shift from big pick-up trucks and sport-utility vehicles to more fuel-efficient but less profitable cars.

Together with mounting evidence that the Detroit carmaker will lose its crown to Toyota this year as the world's biggest vehicle manufacturer, the loss casts a long shadow over celebrations in coming weeks to mark GM’s 100th anniversary.

– Financial Times

[millionairemind]

Over 33,000 buyers signed up for GM electric car
Thu Aug 14, 2008 4:21am EDT

DETROIT (Reuters) - In a bid to show the demand for the upcoming all-electric Chevrolet Volt, a proponent of the car has released details of an unofficial waiting list for the vehicle with over 33,000 prospective buyers.

Lyle Dennis, a New York neurologist who has emerged as a prominent enthusiast for the battery-powered car from General Motors Corp (GM.N: Quote, Profile, Research, Stock Buzz), has been assembling a list of prospective Volt buyers for over a year through his Web site GM-Volt.com.

On Tuesday, Dennis released details gleaned from the list showing that 33,411 people had signed up to show their intent to buy a Volt when the rechargeable car is released in 2010.

The list shows the highest number of potential Volt buyers in California, Texas, Florida and Michigan. It also includes potential buyers from 46 countries outside the United States.

The average price buyers were willing to pay for the car was $31,261 -- substantially less than the $40,000 GM has said it will cost to build the first-generation of the car equipped with a massive lithium-ion battery pack.

GM has been racing to finish development of the Volt in time for the planned launch as the centerpiece of its effort to break a costly association with gas-guzzling vehicles at a time when truck sales are tumbling and gas prices remain high.
full story
http://www.reuters.com/article/technolo ... 1520080814

[iam802]

GM/Chrysler ask gov't for $10 bln to aid merger-sources

http://www.reuters.com/article/privateE ... 7620081028


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I really like this. No money to merge...ask govt. for help so that merger can be 'successful'.

More like paper play and giving golden parachutes to selective few.

[millionairemind]

GM and Cerberus race to finalise Chrysler deal
By Bernard Simon in Toronto, Julie MacIntosh in New York James Politi in Washington, John Reed in London.

Published: October 28 2008 18:36 | Last updated: October 29 2008 00:18

General Motors and Cerberus Capital Management are racing to finalise a deal for the carmaker to acquire the private equity group’s stake in Chrysler before next week’s US election.

While many motor industry experts question the benefits of a tie-up between Detroit’s number one and number three carmakers, they increasingly recognise that the companies have few other options. Both are bleeding cash and in danger of running out of liquidity some time next year as sales fall in their core US market.

[kennynah]

note that asia and middle east sales are up....only US and europe numbers dragged them down..

*****************

GM Q3 global vehicle sales drop 11.4% - Update
10/29/2008 12:24 PM ET

(RTTNews) - Automaker General Motors Corp. (GM: News ) said Wednesday its third-quarter global vehicle sales declined 11.4% amid weakening demand in U.S and Europe.

The Detroit, Michigan-based GM sold more than 2.1 million vehicles during the third quarter of 2008, down from about 2.39 vehicles sold in the same quarter last year.

The results dragged GM further behind Toyota Motor Corp. (TM: News ), which last week reported third-quarter global sales of nearly 2.24 million vehicles, which also is a drop of 4.3% from 2.34 million vehicles sold in the prior year quarter.

GM attributed the decline in sales to continuing economic pressures in the U.S. market and growing pressure in Europe. GM's North American sales were down 18.9% to 977,804 vehicles, while sales in Europe fell 12.3% to 459,219 vehicles. The results are an indication that the growth in overseas has stopped offsetting sales declines in U.S.

On the other hand, sales from Latin America, Africa and Middle East increased 3.4% and sales from Asia Pacific region advanced 2.6%.

Sales of 1.286 million vehicles outside the U.S. accounted for nearly 61% of GM's total global sales volume compared with just over 56% a year ago.

GM's Daewoo brand, based in South Korea, and China-based Wuling were the only brands to post gains across all regions. The Hummer, a sport-utility vehicle line that GM is considering selling, reported about 55% decline in sales and sales of Cadillac brand dropped 25%.

For the first nine months of 2008, GM sold about 6.66 million vehicles, down 5.8% from 7.06 million vehicles sold in the same period last year. Sales outside of North America grew by 164,000 vehicles during the same period. Peer, Toyota sold 7.05 million vehicles for the period.

Both GM and Toyota are fiercely competing for the coveted crown of the world's leading automaker by sales. In the last year's first quarter, Toyota surpassed GM for the first time. GM, however, recovered the sales lead later in the year, but only by a few thousand cars and trucks. But, with Toyota's lead now is almost 400,000 vehicles, the chances are dim that GM could retain the crown.

[iam802]

UPDATE 2-US Treasury not negotiating aid for GM merger

http://www.reuters.com/article/mergersN ... 2120081030

WASHINGTON, Oct 30 (Reuters) - The U.S. Treasury Department is not negotiating with General Motors Corp (GM.N: Quote, Profile, Research, Stock Buzz) and the owners of Chrysler LLC on a request to provide direct government aid to their proposed merger, a Bush administration official said on Thursday.

Instead, the administration is working to speed the distribution to automakers of $25 billion in factory retooling funds authorized by Congress last month, the official told Reuters.

......

[iam802]

GM Says It May Run Out of Operating Cash This Year (Update4)

http://www.bloomberg.com/apps/news?pid= ... refer=home


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The key issue here is GM has been 'dying' for so many years.

And whenever they need help, it has always been they are too large to fail and how it affects lots of people etc.

Yet, if govt. helped them, I do not see them being able to get it right down the road.

No money still want to talk about M&A etc.

[millionairemind]

Looks like GM might go under... if they do, the jobless rate will skyrocket due to interdependence of companies such as delphi... I don't think the US gahmen will allow that to happen..

G.M. Says U.S. Cash Is Its Best Hope

By BILL VLASIC and NICK BUNKLEY
Published: November 7, 2008
DETROIT — The rapidly deteriorating finances of General Motors are forcing the federal government to decide whether to bail out the largest American automaker or face the prospect that it might go bankrupt.

G.M. said Friday that its cash cushion had been dwindling by more than $2 billion a month recently and that it could run short of money by mid-2009 unless it got emergency federal assistance.

It also said it had suspended merger talks with Chrysler to focus on its own increasingly urgent problems, brought on by higher gas prices, a weakening economy and tight credit — a combination afflicting the entire auto industry, but hurting G.M. the most.

The government faces a difficult choice. If it provides G.M. with a bailout, there is no guarantee the company will not need more money later to stay out of bankruptcy, particularly with the economy weakening.

But a bankruptcy by G.M. or any other automaker would have far-reaching consequences, given the millions of people employed by supplier companies, dealers and other small businesses that are dependent on the industry.

A bankruptcy filing by G.M. would also probably scare off many consumers, hurting any chances for a revival. “You can’t sell cars to people under those circumstances,” said Rick Wagoner, G.M.’s chief executive, in an interview on CNBC Friday.

http://www.nytimes.com/2008/11/08/busin ... ref=slogin

[kennynah]

i os dont think their govt will allow GM to go bankrupt.... it's just as much a "face" issue

[fclim]

i think i read somewhere, the 3 biggies (GM, Ford & Chrysler) add up to be employing about 1million jobs... so, i'm betting that they will save these biggies, not that i agree they should, i think mr obama / mr bush may not have much of a choice...

3 biggies (to US garmen): "...give me yr money or u want more jobless ppl to claim money fm you...."

US garmen's reply: -.-

have fun,
fc