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GM Brands Head To The Chopping Block

Manufacturing.Net - July 06, 2009

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DETROIT (AP) -- A summary of what brand General Motors is shedding as it exits Chapter 11 bankruptcy protection:

WHICH BRANDS ARE SLATED TO GO?: Pontiac, Hummer, Saab and Saturn.

WHERE DO THEY STAND?: GM said it would stop making Pontiac brand cars. GM is selling Hummer, Saab and its Saturn dealer network.

WHAT'S NEXT?: Pontiac production is scheduled to wind down by the end of the year as the company discontinues the brand.

Auto racing magnate Roger Penske has signed a memorandum of understanding that would give his dealership chain, Penske Automotive Group, control of Saturn's 350 dealerships. GM plants that make Saturns -- along with other cars -- will either be closed or manufacture other GM vehicles.

GM has a memorandum of understanding to sell Saab to Koenigsegg Automotive AB, a Swedish custom sports car maker. Saab is in bankruptcy protection in Sweden.

GM has a tentative agreement to sell its Hummer line to Sichuan Tengzhong Heavy Industrial Machinery of China, but the deal may fall apart. Chinese regulators may block Tengzhong's bid to purchase the vehicle line because the maker of construction machinery may lack the expertise to run Hummer.


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Military vehicles from China  7/6/2009 4:21:00 PM
Maybe next we can start buying our submarines from the Taliban.
GM Brand Sell Off  7/6/2009 4:24:00 PM
It is a shame that GM will not hold onto one of the few reliable cars under their umbrella. The SAAB is an excellent car, good gas mileage and economy with still plenty of power. I don't understand why GM (or any other American car manufacturer can't seem to build a 4 cylinder engine that performs as well as the 9-3 SAAB 2.0t.
Sad Day  7/6/2009 4:39:00 PM
It's sad to see an American Icon like Pontiac who brought us the GTO, Tempest, Catalina, Bonneville, firebird, trans am and recently the G6, G8, Vibe and Solstice vanish. I wish that GM would have kept the core brands up and running, letting the other ones go. It really is a sad day for American Auto. I would much rather see a G6 on the road than a hummer anyday!
Re:GM Brand Sell Off  7/6/2009 4:51:00 PM
The 2.0T engine in the current Saab 9-3 is a turbo version of the GM Ecotec engine. Probably not unlike the Cobalt SS engine.
HUMMER to China  7/6/2009 4:55:00 PM
How about if "Government Motors" just stops selling the Hummer "Guzzler" to the public and keeps selling it to the military? OR maybe Boeing will sell me a warplane for day to day commuting. That would be "COOL". Rather that than have a potential future foe know the weaknesses of our military equipment before we even get them or deploy them in the field. Yeah, yeah....I know....we are buddy, buddy with the Chinese now. BLAH, BLAH, BLAH! As long as it serves their and BHO's purpose.
Sssoooo..  7/6/2009 5:12:00 PM
Again...how's that hopey-changey thing working for ya?
Military Version of Hummer NOT Going to China  7/6/2009 5:26:00 PM
The military version of the Hummer is made by American General. That arrangement does not change. The civilian version is mostly alike in name only. The military Hummer still comes from the United States.
Don't confuse GM's Hummer with AMG's Humvee  7/6/2009 5:27:00 PM
The military vehicles are made my AM General. The typical Hummer you see on the road is simply a rebadged GM product. For example, the Hummer H1 is just a Chevy Suburban with agressive sheetmetal and upscale interior. While GM did resell some AM General's military spec vehicles under the Hummer name, GM does not manufacture them. Thus GM cannot sell to China military technology they do not manufacture. China buying Hummer is really no different than if China chose to buy the Pontiac brand.
Hummer vs. Humvee  7/6/2009 5:28:00 PM
The Humvee for the military is made by AM General not GM. http://www.amgeneral.com/vehicles/
Hummers  7/6/2009 5:44:00 PM
The original military HMMWV was being built by AM General, not GM. Production ended in 2006. The civilian H2 and H3 Hummers were built by GM.
Humvee still made in America  7/6/2009 5:54:00 PM
Fortunately GM is NOT the manufacturer of the military vehicle. http://www.army.mil/-news/2009/06/03/22042-humvee-still-made-in-america/
HUMMER Bummer  7/6/2009 10:00:00 PM
GM never sold their line of Hummers to the military in any shape or form. The "civillian" Hummers are no where even close to the much larger and heavier Hummer the military buys from AM General, last I knew. The H2 is based on a Suburban or pickup, and the H3 is basically a Blazer. Easy to tell the difference: The real Hummer ius a full 8 feet wide, and has fully independent suspension with a great amount of vertical travel, and the ones GM can't seem to sell enough of have the conventional axle setup. As for the gas guzzler, I really have no idea, but would guess it is somewhere near the vehicles on which the H2 and H3 are based. At any rate, I personally wouldn't own one of the ugly ducklings if it got 40 MPG. Too many compromises, and 'way too much money. Second thought...it might not be bad for the Chinamen to think those are the capabilities of our military vehicles! I don't think they would even be able to make them that well, anyhow. And, did any of you on this blog ever know what happened to the 4 wheel steer pickup GM cam,e out with and was talking up a couple of years ago? Seems Subaru has that on one of their mini-SUVs?
Back to the way it was brfore General Motors.  7/6/2009 10:07:00 PM
Now is the time for someone to create a NEW Pontiac. If GM was broken into Baby Motors, it would be a leaner, better auto industry.
Hummer to China ?  7/7/2009 5:28:00 AM
GM never made the military version of the Hummer. The stripped down H2 rights were purchased from Hummer for GM to sell as a specialty truck, followed by the H3. Hummer still exist as a stand alone company.
Hummer  7/7/2009 7:44:00 AM
From what I understand GM only owns the rights to the civilian Hummer name. Meaning the H2, H3 and the H3T. The original H1 and all military contracts are still owned by its original manufacturer. In fact, I do believe I read somewhere the H1 was up for military replacement. Thanks.
HMMWV versus HUMMER  7/7/2009 8:23:00 AM
GM don't make the HMMWV, which is the real military vehicle, AM General do and they are not part of GM. GM make the HUMMER, a truck chassis with terrible bodywork, so you need not be worried about humvees from Commie China nor subs from the Taliban.
WHAT'S NEXT?: Pontiac production .  7/7/2009 9:38:00 AM
GM statement WHAT'S NEXT?: Pontiac production is scheduled to wind down by the end of the year as the company discontinues the brand. Since the brand will be discontinued why not just stop production today!
Re: sssooo......  7/7/2009 9:42:00 AM
Dear Hopeee changeee, In the corporate world it is prudent to shed unprofitable product lines (and people), not keep them around for the sake of tradition. It is all about performance. You mock the Obama/Democratic environment of today, so I assume that you are a Republican. It is so out of character for a republican to value motherhood and apple pie over financial performance. You are very confusing.
REE: Sssooo...  7/7/2009 10:57:00 AM
Did this country change overnight??? Last time I checked, we had a surplus when Clinton left office and possibly the best "for your wallet" President ever. Then BUSH happened. Here we are 9 years and Trillions in debt later, and Obama's supposed to fix this country in months and weeks? Wake up man!
Obama & the Dems are the problem.  7/7/2009 12:05:00 PM
To the people who think Clinton was so great when he left office he had destroyed the banks buy forcing them through his justice department to make loans to people who could not pay them back and just recently he said in hind sight that may have been a mistake (that we are all paying for now). Enron was also on his watch and Bush had to deal with that mistake of Clintons lack of oversight. How about the Dems who for years blocked over sight over freddie and fannie like Barney Franks, Shumer and Pelosi what a bunch of socialist losers. I would like to make a bet with all these loadmouths who think Obama is the answer. You can't tax and legislate your way out of a recession. He has made one mistake after another and unemployment will be the highest it has ever been unless this fools socialist agenda is stopped cold. People there are no free lunches and remember socialism and liberialism only work until you run out of other peoples money. We need the JFK Dems back who knew that people needed to prosper thru hard work of their own and not the work of others.
Dems lack of reason and understanding  7/7/2009 12:53:00 PM
You all seem to forget Billy left us in a recession, the dotcom bust happened during his watch, and the continual attacks on the US during his tenure. For the record; since you Libs were quick to blame Bush for the 9/11 attacks which were 9 months into his term, by rightful calculations, your "chosen one" has two more months to fix this mess! And a lot of folks agree that taxin' and spendin' ain't gonna do it.
Obama & Dems  7/8/2009 1:48:00 PM
As far as "prospering through hard work of their own and not others," that would be GREAT!!! Only problem is I can't find work because no one seems to notice all the jobs keep getting shipped to Mexico and China. But that's OK, we'll just allow more tax credits to those companies. Maybe that, and no more Unions will fix all our problems! Give me a break.
GM and Obama  7/10/2009 12:01:00 PM
I'm not a fan of this administration but they did a good job on this one. Had GM collapsed in an uncontrolled bankrupcy, it would have been liquidated in parts and that would have been very bad for our economy. It would have significanly impacted consumer behavior for years and sent us into a much deeper and longer recession. Wagner was not personnally capabably of radical changes and needed to go and that required an overwhelming outside force. This is not what I expected. I expected Obama and the dems to just prop it up, a la Italy, to keep the unions happy. I'll bet my eye teeth the unions are privately fuming abou how this has shaken out. But these radical changes were the only way the company could survive without becoming a permanent government ward. The changes being made keep a significant and, now significantly better structured, company operating on our continent. If it collapsed, the high start up costs and risks would keep GM from ever coming back, even in parts and we would be both poorer and more vulnerable. The stimulus is a joke and health care reform very poorly thought out but this was done with brutal effectiveness - something Wagoner and the board should have done years ago.
Sssoooo..   7/13/2009 4:37:00 PM
I guess the BUSH ERA sell-off of the US economy to CHINA worked out really good for you. You worry about China owning the Hummer/Tahoe product but you seem oblivious to the fact that Bush sold them the whole USofA with his historic-level of TYPICAL GOP DEFICIT SPENDING.
WRONG ARGUMENTS AGAIN  7/13/2009 4:47:00 PM
BOTH BUSH AND CHAIRMAN-MAOBAMA


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