GM Kills Pontiac, HUMMER, Saab and Saturn
GM has released its press release releasing [both] remaining fans of the Pontiac brand from the suspense surrounding its untimely (as in late) demise. “As part of the revised Viability Plan and the need to move faster and further, GM in the U.S. will focus its resources on four core brands, Chevrolet, Cadillac, Buick and GMC. The Pontiac brand will be phased out by the end of 2010. GM will offer a total of 34 nameplates in 2010, a reduction of 29 percent from 48 nameplates in 2008, reflecting both the reduction in brands and continued emphasis on fewer and stronger entries. This four-brand strategy will enable GM to better focus its new product development programs and provide more competitive levels of market support.” Buick? “The revised plan moves up the resolution of Saab, Saturn, and Hummer to the end of 2009, at the latest.” GM CEO Fritz Henderson put a brave face on the news, ’cause that’s who he is and what he does.
“We have strong new product coming for our four core brands: the Chevrolet Camaro, Equinox, Cruze and Volt; Buick LaCrosse; GMC Terrain; and Cadillac SRX and CTS Sport Wagon and Coupe,” said Henderson. “A tighter focus by GM and its dealers will help give these products the capital investment, marketing and advertising support they need to be truly successful.”
I’m lost. How many rebadges are left? Anyway, read Paul Niedermeyer’s Pontiac obit here. I’ll put up Michael Karesh’s G8 GXP review in a mo’ and provide an update the employment and production side of GM’s new new new new new new new new turnaround plan. Meanwhile, how sad is this, from underneath the press release:
About GM – General Motors Corp. (NYSE: GM), one of the world’s largest automakers [emphasis added], was founded in 1908, and today manufactures cars and trucks in 34 countries. With its global headquarters in Detroit, GM employs 243,000 people in every major region of the world, and sells and services vehicles in some 140 countries. In 2008, GM sold 8.35 million cars and trucks globally under the following brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, Hummer, Opel, Pontiac, Saab, Saturn, Vauxhall and Wuling. GM’s largest national market is the United States, followed by China, Brazil, the United Kingdom, Canada, Russia and Germany. GM’s OnStar subsidiary is the industry leader in vehicle safety, security and information services. More information on GM can be found at www.gm.com.
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@guyincognito Excellent point... Just another draft plan. People (including me) tend to forget that GM is no longer in control and NONE of the stakeholders have formally approved all of this. They can't even afford the severance packages for the salaried employees without US taxpayer support. Ironic that the employees are subsidizing their own paychecks with the taxes they pay. Sad to think that every GM and Chrysler payroll is now welfare... If the dollar crashes, they may pay the employees with cheese or powdered milk.
I got more of a kick out of the blurb below the blurb below the press release: "Forward-Looking Statements - In this press release and in related comments by our management, our use of the words "plan," "expect," "anticipate," "ensure," "promote," "believe," "improve," "intend," "enable," "continue," "will," "may," "would," "could," "should," "project," "positioned" or similar expressions is intended to identify forward-looking statements that represent our current judgment about possible future events. We believe these judgments are reasonable, but these statements are not guarantees of any events or financial results, and our actual results may differ materially due to a variety of important factors. Among other items, such factors might include: our ability to comply with the requirements of our credit agreement with the U.S. Treasury; our ability to execute the restructuring plans that we have disclosed, our ability to maintain adequate liquidity and financing sources and an appropriate level of debt; the ability of our foreign subsidiaries to restructure and receive financial support from their local governments or other sources; our ability to restore consumers' confidence in our viability and to continue to attract customers, particularly for our new products; our ability to sell, spin-off or phase out some of our brands, to manage the distribution channels for our products, and to complete other planned asset sales; and the overall strength and stability of general economic conditions and of the automotive industry, both in the U.S. and globally." ...but this stuff is relatively minor, the future is bright for GM. Please note: the word "bright" should also be considered a forward-looking comment.