GM Blows HUMMER Deal

Bertel Schmitt
by Bertel Schmitt
gm blows hummer deal

GM had promised to have a decision by the end of March on whether it would sell or fold HUMMER. They missed that deadline along with other key targets set by the White House-appointed Presidential Task Force on Automobiles (PTFOA). Not that there wasn’t interest in the aptly named pornography-on-wheels. GM simply, well, blew it.

The HUMMER brand could have been sold by in March, Reuters reports. According to their latest report, an industrialist from Kentucky offered GM $100 mil in cash for the brand, along with an investment commitment of another $100 mil. Most importantly, the obviously nutty or filthy rich Kentuckian offered to assume GM’s franchise agreement liabilities, estimated at about $350M. The bidder, owner of several companies that supply parts to the auto and aerospace industries, put together plans for new powertrain options for HUMMER, including a hybrid H3 that would have doubled the Hummer’s “fuel economy.”

Did GM sing hallelujah, jump at the offer and go on to solving more pressing matters? Of course not. GM wanted another $100M in cash. After not receiving it, they walked away from the deal.

As reported by RF, HUMMER is still for sale. Reuters says three bidders are still in the running; the deals under discussion have less sugar content than the one from Kentucky. Offers range from $100M to $200M in cash, “in addition to other commitments.”

GM’s plant in Shreveport, Louisiana, which makes the Hummer H3 and the H3T pickup, will not be part of the deal. GM wants us the factory to make HUMMERs and supply them to the new owner. GM’s PTFOA sugar daddies may not like this, as they are putting GM “under pressure to simplify its vehicle line-up and streamline its engineering efforts.” Good luck with that.

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  • ZoomZoom ZoomZoom on Apr 09, 2009
    Ole Stang : Porn stars and Hummers, where do I buy one. godflesh : Buy? Those you only rent. Kind of like cheap beer or Mad Dog wine! superbadd75 : ZoomZoom: I actually meant if you wait long enough, you might get the whole brand for that sum. GM let basically $550mil walk out the door, no telling what else they’re willing to let pass. Indeed, you're right! Okay, I'll buy it for $25 and a bag of chips. I'll give a handful to the Myth Busters people (I'm sure they can find some sort of myth to bust!), one to each person in my neighborhood and one to each TTAC member/contributor. Maybe I'll give a few out to the homeless, what do you think? Oh yeah. The gasoline is on the recipients. Deep down inside, I'm just not that nice of a person!

  • Superbadd75 Superbadd75 on Apr 10, 2009

    ZoomZoom: I can't say that I'd want a Hummer, even free. They're just hate targets these days. I can creep down the street in my TrailBlazer all day without so much as a glance, but Hummers seem to have the propensity to make people cuss and get all pissy.

  • ToolGuy I did truck things with my truck this past week, twenty-odd miles from home (farther than usual). Recall that the interior bed space of my (modified) truck is 98" x 74". On the ride home yesterday the bed carried a 20 foot extension ladder (10 feet long, flagged 14 inches past the rear bumper), two other ladders, a smallish air compressor, a largish shop vac, three large bins, some materials, some scrap, and a slew of tool cases/bags. It was pretty full, is what I'm saying.The range of the Cybertruck would have been just fine. Nothing I carried had any substantial weight to it, in truck terms. The frunk would have been extremely useful (lock the tool cases there, out of the way of the Bed Stuff, away from prying eyes and grasping fingers -- you say I can charge my cordless tools there? bonus). Stainless steel plus no paint is a plus.Apparently the Cybertruck bed will be 78" long (but over 96" with the tailgate folded down) and 60-65" wide. And then Tesla promises "100 cubic feet of exterior, lockable storage — including the under-bed, frunk and sail pillars." Underbed storage requires the bed to be clear of other stuff, but bottom line everything would have fit, especially when we consider the second row of seats (tools and some materials out of the weather).Some days I was hauling mostly air on one leg of the trip. There were several store runs involved, some for 8-foot stock. One day I bummed a ride in a Roush Mustang. Three separate times other drivers tried to run into my truck (stainless steel panels, yes please). The fuel savings would be large enough for me to notice and to care.TL;DR: This truck would work for me, as a truck. Sample size = 1.
  • Art Vandelay Dodge should bring this back. They could sell it as the classic classic classic model
  • Surferjoe Still have a 2013 RDX, naturally aspirated V6, just can't get behind a 4 banger turbo.Also gloriously absent, ESS, lane departure warnings, etc.
  • ToolGuy Is it a genuine Top Hand? Oh, I forgot, I don't care. 🙂
  • Ed That has to be a joke.