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Pontiac To Offer the Vibe (and Nothing Else) in 2010
Jun 10, 2009 - 8:41 AM - by Administrator

The 2010 model lineup for the soon-to-be-terminated Pontiac brand will consist of just one model - the Vibe.

Recently GM interim CEO Fritz Henderson reiterated the company's position that the G8 would not carry on as either a Buick, Chevy or Cadillac. The G3 and G5 will also cease production this year, while the G6 will only be made available to government, corporate and rental car fleets.

There has been no word lately on the Solstice model. GM had made it known that it would consider offers for the Solstice (as well as the Saturn Sky and Opel GT) as a separate entity, but with the sale of Saturn to Penske, that now seems unlikely.

In an effort to spice up sales of the final run of the Vibe, Pontiac will offer the car with air conditioning standard, and make it available in a new color - Ignition Orange.

GM's official line is that it wants to work with Toyota on a new vehicle to build at the joint GM-Toyota NUMI plant in California where sister cars the Vibe and Martix are produced, but our sources have indicated that GM wants out.

While the Vibe is a great car, we hope the sad irony of a vehicle built for utilitarian purposes being the last one offered by the company's performance brand is not lost on the folks at GM.

More: Pontiac To Offer the Vibe (and Nothing Else) in 2010 on AutoGuide.com
0 Replies | 108 Views
General Motors Bankruptcy Official
Jun 01, 2009 - 7:28 AM - by Administrator

While President Obama and General Motors CEO Fritz Henderson are both expected to hold press conferences today, officially GM has already filed for Chapter 11 Bankruptcy Protection.

Once the world's largest automaker and a symbol of the success of free market economics, GM is now a symbol of failure. In the 1950s it employed over 500,000 people and produced more than half of all the vehicles sold in the United States. Now it also holds the dubious title of the world's third-largest bankruptcy - and the largest bankruptcy for a manufacturing company.

General Motors, backed by yet another government loan from the U.S. Treasury is expected to get the same fast-tracked bankruptcy proceedings as the smaller U.S. automaker Chrysler - which filed for Chapter 11 just one month ago and which already appears to be emerging. Just yesterday a judge approved the sale of Chrysler's assets to a group comprised of Fiat, the U.S. government and the UAW. The Chrysler Chapter 11 proceedings were seen by many as a practice for the much larger General Motors corporation.

As a part of the Chapter 11 filing GM will receive $30 billion from the Obama administration, giving it a 60 percent stake in the once-great automaker. The Canadian government will take a 12 percent stake by providing an additonal $9.5 billion, while the UAW gets a 17.5 percent share and bondholders get 10 percent.

The Chapter 11 proceedings are expected to take anywhere from 60 to 90 days but the future of General Motors is anything but certain. In the short term the automaker will most likely push ahead, but the big question mark is if it can become financially viable and build cars that people want to buy - something which is further complicated by the government's involvement.

While the Obama Administration was reluctant to get involved it almost had no choice as without government help both General Motors and Chrysler were doomed to failure - at a time when the U.S. economy already has enough troubles. But now that the government is involved it doesn't appear to be willing to part with its economic engine. Even when GM and Chrysler emerge from bankruptcy, the government's Autos Task Force will continue to be involved in the future of both companies.
... [Read More]
0 Replies | 183 Views
General Motors to Reduce Dealership Network by 1,124
May 20, 2009 - 11:06 AM - by Administrator

General Motors will cut 1,124 dealerships loose by October of 2010. The struggling automaker on the verge of bankruptcy sent letters out to the dealerships last week as it searches for ways to reduce it's current dealer network of 5,969 to just 3,600.

GM says it will not renew dealership agreements with the 1,124 companies when their contract renewal comes up in October of next year.

The dealerships being cut are considered to be poor performers and accounted for just 7 percent of GM's U.S. sales last year.

Another 470 dealerships are also scheduled to be let go as GM parts with the Hummer, Saab and Saturn brands. An additional 35 stand-alone Pontiac dealerships will also be cut.

Those dealerships not already notified aren't necessarily safe, however, as the remaining 4,300 stores is still 700 over the 3,600 cap.

The news of GM's numerous dealership closings came just one day after Chrysler announced it would drop 789 U.S. dealerships.

More: General Motors to Reduce Dealership Network by 1,124 on AutoGuide.com
0 Replies | 238 Views
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