GM CEO on HUMMER: Should It Go or Should It Go?

gm ceo on hummer should it go or should it go

It's always good to know the boss has your six. Yesterday we reported HUMMER's general manager said all the talk about GM selling eco-unfriendly-brand was "just speculation." According to the Wall Street Journal, Rick Wagoner announced that his employer is "preparing data and other materials to open formal talks" with "potential buyers." So much for "speculation." The usual "people familiar with the matter" told WSJ that GM is no longer "seriously considering" revamping HUMMER. Basically, GM can't afford to do it because of "a potential liquidity crunch" (to put it mildly). Of course as WSJ points out, selling HUMMER would be only "a minor part of GM's plan to raise the $15 billion in additional liquidity by the end of 2009 that it needs to remain viable." The only real hurdle they'll have in shutting down HUMMER and shuffling it off to India, China or Russia will be dealing with approximately 170 HUMMER dealers who have state franchise laws on their side. No doubt the [s]vultures[/s] lawyers are already circling.

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  • SupaMan SupaMan on Aug 22, 2008

    So now I'm reading via our good friends at Motor Trend that Hummer is indeed up for sale, citing that trying to make thr brand more fuel efficient would be too expensive giving GM's current financial status (Death Watch anyone?) href="http://wot.motortrend.com/6290358/industry-news/gm-makes-up-its-mind-hummer-now-officially-for-sale/index.html" rel="nofollow"> Oh well, it had to happen sooner or later. Wonder who in their right mind (maybe Arabs?) would buy the brand.

  • Monkeyboy Monkeyboy on Aug 22, 2008

    Where does it state that "it's definitely going to India?" That's quite the leap. Kourkorian might make a Capt. Kirk Model for sale here in the good ol U.S.A. Maybe Am General wants it back with three new models and the foreign branding and dealers too. It's not just a U.S. thang ya know.

  • Areitu Areitu on Aug 22, 2008

    If anything, Hummers are a niche/prestige vehicle outside of the US. Even in China, they're hilariously impractical. Why not sell it to Cerebus? :)

  • Monkeyboy Monkeyboy on Aug 24, 2008

    Apparently not that much a niche vehicle in the rest of the world. They planned to build a new H3 plant in Brazil and South Africa. The H3 is actually a viable contender with Land Rover worldwide. GM isn't just laying in the fetal position and sucking their collective thumbs. Yup, the Ricky Bobby show ain't playing well . Here. NA sucks for everyone that makes cars. Some are just not losing as much as others. But there are some making greater gains elsewhere than those doing well here.

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