andy82471

GM market share hits new low

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:( oh dear.
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:( oh dear.

[post="36387"]<{POST_SNAPBACK}>[/post]


Same old stuff. My trust in Wagoner is about the same as my trust in the President right now. All I can say is that Wagoner better have something good up his sleeve or else it will be inevitable that GM replace him.
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I just don't get it. GM is making some of the best, most compelling products they've ever produced, and they just can't get the sales back on track without steep discounts.
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Could someone tell me if that is some strange looking type. Or is my computor suffering from substance abuse ? Barely legible almost Japanese symbol looking. Then the red fine print is so fine its work to figure out the words. I went to the Pontiac web site a few times weeks back and found the same crap, but didnt find it on other sites. I can read it but its so frustration I feel its not be worth the effort. I was not aware that reading was supposed to require major effort. Whats up ?
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Could someone tell me if that is some strange looking type. Or is my computor suffering from substance abuse ? Barely legible almost Japanese symbol looking. Then the red fine print is so fine its work to figure out the words.

I went to the Pontiac web site a few times weeks back and found the same crap, but didnt find it on other sites. I can read it but its so frustration I feel its not be worth the effort. I was not aware that reading was supposed to require major effort.

Whats up ?

[post="36487"]<{POST_SNAPBACK}>[/post]


Here is the article:

GENERAL Motors will this week reveal that sales collapsed in October, taking its US market share to a 25-year low and fuelling fresh fears that the world’s largest carmaker is heading towards bankruptcy. Its US sales dropped 26% compared with the same month last year, according to early estimates, putting its monthly US market share at 20.5% – the lowest since at least 1980.

The figures were compiled by Deutsche Bank analyst Rod Lache. Goldman Sachs also believes October will be the worst month for US car and truck sales in years. GM – whose brands include Cadillac, Pontiac and Hummer – is confronting its biggest financial crisis for 13 years. A bankruptcy filing by the Detroit carmaker would spell the end of an era for US industry and change global car manufacturing for ever.

Last week, it emerged that Toyota is poised to unseat GM as the world’s biggest carmaker measured by units produced. The Japanese giant, which already dwarfs the US carmaker in profitability and value, intends to ramp up production next year.

The GM sales slump – blamed on high fuel prices, unease about the US economy and the end of special summer offers for its staff -– is the latest in a stream of bad news to hit GM, all sparking market fears that the carmaker could go bankrupt. General Motors has denied it is drawing up any plans to declare Chapter 11 bankruptcy. Last week, America’s Securities and Exchange Commission (SEC) intensified an inquiry into how GM accounts for its pensions and employee benefits.

So far this year, GM has posted record losses of $3.8bn (£2.1bn, E3.2bn) and its crucial credit ratings have been reduced to junk by the main rating agencies. The company is burdened by $90bn in pension obligations and a $77bn healthcare plan. Two weeks ago, it was forced to renegotiate the terms of its healthcare plan with the United Autoworkers Union. It managed to agree a deal that will cut $3bn a year from costs.

On Friday, General Motors recalled 106,000 sports utility vehicles (SUVs) to fix a door latch. Sales of the SUVs have been falling faster than those of other vehicles as fuel prices remain high.

The spectre of bankruptcy at GM loomed again last week as the markets digested the news that the SEC had issued subpoenas related to GM’s financial reporting for pension and other post-employment benefits, and to transactions and obligations between the company and auto-parts supplier Delphi, which itself entered Chapter 11 earlier this month.

Until now, the SEC inquiry, which is also looking at other companies including rival carmaker Ford, has been informal. GM is Delphi’s former parent and its biggest customer. The carmaker may be responsible for $12bn in benefits at Delphi because of guarantees it offered when it spun off its former parts arm in 1999.

Analysts have warned that Delphi’s Chapter 11 filing under the weight of high wage, healthcare and pension costs, may foreshadow a similar drastic move by the world’s largest auto maker, whose labour woes could be compounded by the crisis at its supplier.

Bank of America analyst Ron Tadross said earlier this month: “It is our view that bankruptcy protection for GM is increasingly looking like a reasonable way to properly address the company’s retirement liabilities and job security benefits.” Steve Miller, chairman and chief executive of Delphi, said last week that unless Delphi’s bankruptcy process goes smoothly, it could “fatally wound” GM.

GM’s North American operations have been in crisis for some time, with commentators accusing it of spotting consumer trends too late. It has lagged Toyota in developing fashionable petrol-electric hybrids and launched the retro Chevrolet HHR after sales for retro vehicles peaked at other carmakers.

Last week the Detroit car company revealed plans to launch several crossover models – vehicles that have the interior space of SUVs but are built on the car rather than truck chassis. But the new models in the Buick, GMC and Saturn brands will have to compete with the crossover models that Toyota, Ford and DaimlerChrysler already have on the market.

In another desperate bid to get the ailing carmaker back on track, chief executive Richard Wagoner is seeking a buyer for all or part of the General Motors Acceptance Corporation, its finance arm. But there are fears the SEC investigation will hinder the sale. GM is hurting the most among the US carmakers but Ford and the Chrysler arm of DaimlerChrysler all experienced dismal sales performance last month.

* On Saturday, GM signed a memorandum of understanding with Chinese carmaker SAIC to explore opportunities for energy efficient and environmentally friendly hybrid cars in China.


http://www.thebusinessonline.com/Stories.a...2E-D07EB5AA1CEE

Those GMT 900 better do damn good in terms of sales.
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Yet earlier in the year, people slammed me for suggesting GM may have to consider Chapter 11 towards the end of '05. Boy, this is one of those times I'd really love to be wrong.
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Yet earlier in the year, people slammed me for suggesting GM may have to consider Chapter 11 towards the end of '05.

Boy, this is one of those times I'd really love to be wrong.

[post="36500"]<{POST_SNAPBACK}>[/post]


I would hate to be a GM stock holder right now. :( While Chapter 11 might not entirely be out of the question sometime in the future, IMO it is still too early to talk about it. I am sure GM still has a few weapons ( upcoming GMT 900, Saturn Aura, Crossover SUVs, etc) up its sleaves. But right now things do look really really bad. :unsure:
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Thanks Andy, but please tell me if its my computer or if that funny text ? Or ?????? Am I now legally blind ?
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GM will be little more than a page in history within our lifetimes. "Modern"Americans hate Americana, they want to crush it, there is so much history and grandness that it makes todays happenings dull and pointless. So what better way to show importance than to crush the greatness of those that came before. I guess if thats the only creativity one can conjure up ? If you have seen the Kia commercial of all the preppy yuppys on the beach, it pretty much sums up current American mentality. The country as we have known it is ending. Perhaps within a few more decades we all be talking Spanish and eating with chop sticks, that would be an important kind of thing. :P I only need to witness it for 20 more years. It seems like an eternity.
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Yet earlier in the year, people slammed me for suggesting GM may have to consider Chapter 11 towards the end of '05.

Boy, this is one of those times I'd really love to be wrong.

[post="36500"]<{POST_SNAPBACK}>[/post]


Man, I hope so. :(

I think GM is going to see some rough times these next few months..but if they
weather it well, and sales of the new products keep improving, they should be ok..
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Hasn't Wagoner & Co. been predicting this slide for the longest time? I think they knew that the fall would be rough, so this isn't a surprise. I think they're biding they're time until the beginning of the year when the new SUV's coming out. I really don't see GM filing bankruptcy this quickly. Besides, they got a lot of assets that could be sold, like GMAC and stuff, before they file Ch. 11. Edited by Lexcar14
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GM had double digit increases for the past 3 months with employee pricing. What did everyone expect to happen when it stopped?
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Boy, this is one of those times I'd really love to be wrong.


Heh....I (we all) wish you were wrong, too....

*sighs*


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Hasn't Wagoner & Co. been predicting this slide for the longest time?  I think they knew that the fall would be rough, so this isn't a surprise.  I think they're biding they're time until the beginning of the year when the new SUV's coming out.  I really don't see GM filing bankruptcy this quickly.  Besides, they got a lot of assets that could be sold, like GMAC and stuff, before they file Ch. 11.

[post="36600"]<{POST_SNAPBACK}>[/post]


the dealership has been told to not worry about sales slumps and just make sure that we hold out until 06... but... i think we've got a few changes coming up next month... probably go away with value pricing...
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Let's see, dealers have no stock left, and there are much lower sales. Doesn't anyone see a connection? You can't sell what you don't have. This may look bad in terms of the sales decline but it has to happen. GM must keep inventories low in order to avoid profit-draining incentives. If they are too low now, then that will only add to volume growth in the next few years.
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Caddy and Griffon, You both make very good points. Makes sense to me. With what GM has coming out in the near future, this should be the low point. (I hope)
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And just to add fuel to the fire....Automotive News is reporting today that a clause in the DPH deal will substantially add to GM's reitiree costs by forcing GM to add 7 years to the calculated seniority of every DPH worker. Am I the only one who's starting to think that a Chapter 11 filing might save the company by giving GM's new products a chance to be cost competitive? I used to dread the thought--now, it's starting to sound like the lesser evil. Drowning under legacy costs is a no-win situation.
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GM isn't even near the disasterous state they where in the early 90s. Relax and enjoy the show, as many would love to see GM fail so they will continue to rip on them all they can. GM has more than enough cash, great new products making money, and more great new products on the way to prevent the need for bankruptcy.
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Well Chapter 11 is going to have to be an option in order to get out of this huge problem, or maybe get bought out by another auto maker, like the deal with daimlerchrysler. :huh:
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Could someone tell me if that is some strange looking type. Or is my computor suffering from substance abuse ? Barely legible almost Japanese symbol looking. Then the red fine print is so fine its work to figure out the words.

I went to the Pontiac web site a few times weeks back and found the same crap, but didnt find it on other sites. I can read it but its so frustration I feel its not be worth the effort. I was not aware that reading was supposed to require major effort.

Whats up ?

[post="36487"]<{POST_SNAPBACK}>[/post]


You are right. Business Online uses terrible fonts. Too small. Their web developer sucks.
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Unless the Board is comprised of total idiots (and I take the stand that they are not), they have already forseen most of this. Chapter 11 may not be necessary, but the threat of Chapter 11 can be very useful, like in negotiating with the UAW, for example. Low inventories are not automatically a bad thing. And am I the only person who gets pissed every time GM gets accused of "missing the boat" on the hybrid issue? First of all, Toyota and HOnda have totally missed the boat on the near-50% market share that the sale of trucks has enjoyed for the past several years. Only now are they starting to come out with truly competitive trucks - and the market for those same trucks is about to crash. Won't they look silly with their new $800 million truck facility as sales of trucks crash! Secondly, Hybrids were a total economic waste of time at $1.30 a gallon. Even at $3 a gallon, it can be argued they are expensive, unproven and a future mindfield for landfill site. GM may be slow coming to this party, but I think the jury is still out whether current hybrid technology is viable or not. In this case, Toyota is just damned lucky that oil prices have spiralled out of control in the past year.
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GM will be little more than a page in history within our lifetimes.

"Modern"Americans hate Americana, they want to crush it, there is so much history and grandness that it makes todays happenings dull and pointless. So what better way to show importance than to crush the greatness of those that came before. I guess if thats the only creativity one can conjure up ?

If you have seen the Kia commercial of all the preppy yuppys on the beach, it pretty much sums up current American mentality.

The country as we have known it is ending. Perhaps within a few more decades we all be talking Spanish and eating with chop sticks, that would be an important kind of thing.  :P 

I only need to witness it for 20 more years. It seems like an eternity.

[post="36526"]<{POST_SNAPBACK}>[/post]


Modern America has been on the slide for years starting with the 70's. The fuel crunches. The blandification of architecture like houses, bridges, barns and buildings, the technology craze where everything HAS to be at everybodys fingertips RIGHT NOW yesterday, peoples attitudes have gone in the gutter, jobs are getting fewer and farther between, the government seems to get worse every year, constant inflation and money troubles, never ending population increases, the great melting pot, industry all going overseas, endless old warehouses and buildings that are empty reminding us of a once long time forgotten society of hard work, care and support for out country. Many of the modern generation X,Y,Z just don't have a clue. It sickens me to see a once great company be disgraced like this!
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Modern America has been on the slide for years starting with the 70's. The fuel crunches. The blandification of architecture like houses, bridges, barns and buildings, the technology craze where everything HAS to be at everybodys fingertips RIGHT NOW yesterday, peoples attitudes have gone in the gutter, jobs are getting fewer and farther between, the government seems to get worse every year, constant inflation and money troubles, never ending population increases, the great melting pot, industry all going overseas, endless old warehouses and buildings that are empty reminding us of a once long time forgotten society of hard work, care and support for out country. Many of the modern generation X,Y,Z just don't have a clue. It sickens me to see a once great company be disgraced like this!



AUGGHGGGHHHHH...the end of the world is near!!! The sun is setting on the American Empire!!! AUGGGGGGHHHH!!! DOOM!!! GLOOM!!!

Aren't you being a little overly melodramatic about things?
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My #1 daughter's husband drives a car hauler for a living. He told me yeserday that his comapny is buying new trucks and hiring new drivers becase of thte volume of work they are getting from Alamo car rentals. Apparently they are changing out their GM stock of rental cars. Perhaps next months figures will look a little rosier.
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