WSJ: GM Eying Two New HUMMER Offers
A “person familiar with the situation” tells the Wall Street Journal [sub] that GM is looking into two new offers for the HUMMER brand after a deal that would have sold the brand to China’s Sichuan Tengzhong collapsed. No word on who these two firms are, where they are located, or what they’re smoking to make them interested in the dinosaur brand. The rest of the WSJ piece bemoans the opacity of the Chinese Government’s deal approval system, and details how approval hurdles have scuttled deals in other industries, much to the frustration of American firms. Of course, if GM had listened to TTAC’s Bertel Schmitt, they’d know that:
All joint ventures need to get government approval. However, the Chinese government wants its car industry with more than 100 players to consolidate to a more manageable number. Beijing wants to see four big ones and four smaller ones. What Beijing definitely doesn’t want is more car manufacturers. So instead of saying outright “no,” Beijing is letting the deal get entangled in red tape.
"No word on who these two firms are ... or what they’re smoking to make them interested in the dinosaur brand" They hope to be smoking finest US taxpayer cash when Washington/Government Motors bribes them to take this pile of crap.
This dark-horse suitor story was predictable given GM's fire sale circus this past year. Hummer's ugly underbelly will be revealed once their kimona is opened again.
Let's get real here. The Hummer brand has powerful equity. GM should produce & sell smaller Hummers as competitors to Jeep. There's a market out there for that.
With the green movement backlash there is a good amount of fear to owning one of these beasts. Last thing anyone wants is to spend 40, 50 or even 60 grand on a vehicle that is susceptable to vandalism. Slashed tires, smashed windows, smashed lights, windshields, keyings, etc. I've seen it many times. It's actually rare to find a Dummer that hasn't fallen prey to extremists.