GM Reports 1st Quarter Loss of $3.3 Billion

[Abaddon]

http://www.foxnews.com/story/0,2933,353339,00.html

DETROIT — General Motors Corp. says it lost $3.3 billion in the first quarter as strong overseas growth was dragged down by a strike at supplier American Axle and Manufacturing Holdings Inc. and weak U.S. sales.

The loss reported Wednesday for the January-March period also reflected one-time charges. It was much larger than its loss of $42 million, or 7 cents per share, in the same quarter a year ago.

GM says the two-month strike at American Axle has cost it $800 million and 100,000 vehicles. The strike has affected 30 GM plants.

GM's loss included a $1.45 billion charge to reflect a change in the value of GM's interest in GMAC Financial Services and $731 million to increase GM's liability in Delphi Corp.'s ongoing bankruptcy.

I just hope this doesn't affect our new Camaro line! ;)

[DAS BOOT]

Re: GM Reports 1st Quarter Loss of $3.3 Billion

I helped, I bought a new GM vehicle... but then again I bought it for below invoice and had a rebate. REbate affecte GM, below invoice affected the dealer.


But at lest they moved a car.

[tmon930]

Re: GM Reports 1st Quarter Loss of $3.3 Billion

gm is still an awesome company and i think they're smart enough to pull through.

[StrtRacer98]

Re: GM Reports 1st Quarter Loss of $3.3 Billion

I support GM :tup:

[Niko97RS]

Re: GM Reports 1st Quarter Loss of $3.3 Billion

If GM goes out of business im going to have to start buying ONLY older cars.

[Abaddon]

Re: GM Reports 1st Quarter Loss of $3.3 Billion

I doubt they go out of business. I wouldn't be surprised to see them close Saturn before the next 10 years go by, though.

[Mogobs30th]

Re: GM Reports 1st Quarter Loss of $3.3 Billion

I doubt they go out of business. I wouldn't be surprised to see them close Saturn before the next 10 years go by, though.

That won't happen. Saturn has too good a line to shut down.

[WishIHad$$$]

Re: GM Reports 1st Quarter Loss of $3.3 Billion

Excluding what is considered extraordinary events GM really didn't do too bad. A high correlation of the $350m is because of market conditions.

[DAS BOOT]

Re: GM Reports 1st Quarter Loss of $3.3 Billion

Though I have all GM cars my whole life... you guys are stupid to stick with GM no matter what.

I'd probably be driving a Fusion instead of a G6 if in the Fusion when I adjusted the seat to comfort then turned to my left saw nothing but a B-pillar. But I didn't really get around to pricing it out.

[Abaddon]

Re: GM Reports 1st Quarter Loss of $3.3 Billion

That won't happen. Saturn has too good a line to shut down.

I live 30 minutes away from Spring Hill, TN, where Saturns are made. That's not the rumor around here. They have seen slumping sales for quite a while. When was the last time you saw a family go out and buy a new Saturn? You occasionally see the new SUV model and I can remember seeing a Sky or two around. But other than that...nothing.

Boot, my DD is a 2000 Ford Ranger. I'm not locked-in to GM. I just like my Camaro. ;)

[Mike88]

Re: GM Reports 1st Quarter Loss of $3.3 Billion

^ saturns sell well in my neck of the woods. A number of the saturn vechiles past and present are essentially rebadged European GMs (Opel) meaning cost is shared across GM brands (not unlike most GM vehicles). Since there aren't really any other GM North American divisions that have European GM cars in their lineups I don't see this happening. Its too easy to rebadge a Euro car and sell it in North American rather than developing all new products for this market. They won car of the year title two years ago with the Aura (which the new Malibu replicates). I just don't see them shutting down Saturn.

Didn't Ford just post a modest profit? GM needs to turn things around...hopefully the 5th gen will take a small dent out of annual losses.

[Abaddon]

Re: GM Reports 1st Quarter Loss of $3.3 Billion

Talk to people who work at the Spring Hill plant. They are all worried about their jobs. It might not be the end of Saturn (which makes the Vue in Mexico) but it could be the start of the decline. They have had multiple layoffs out there and the union has strong-armed that place to death. It's a sad state of affairs even if they DO manage to keep Saturn afloat.

Honestly they have gotten away from what made them great: family cars with plenty of room and SAFETY records that most other companies would kill for. They need to get back to promoting those values. The Sky is a cool looking car but it's overpriced and under-powered. The Vue looks like a stinking Kia! They never have made attractive vehicles. Only Mopar had worse styling. :)

[Mike88]

Re: GM Reports 1st Quarter Loss of $3.3 Billion

Talk to people who work at the Spring Hill plant. They are all worried about their jobs. It might not be the end of Saturn (which makes the Vue in Mexico) but it could be the start of the decline. They have had multiple layoffs out there and the union has strong-armed that place to death. It's a sad state of affairs even if they DO manage to keep Saturn afloat.

Honestly they have gotten away from what made them great: family cars with plenty of room and SAFETY records that most other companies would kill for. They need to get back to promoting those values. The Sky is a cool looking car but it's overpriced and under-powered. The Vue looks like a stinking Kia! They never have made attractive vehicles. Only Mopar had worse styling. :)

What Saturn model are they producing at the Spring Hill plant? If it's the sky well then it's no surprise they're worried about their jobs...they won't shut down the entire Saturn brand simply because one or two models don't sell too well. Also, the Sky gets ppl into showrooms, much like the Corvette and the upcoming Camaro will do for Chevy.

I completely agree with you about them getting away from what they were good at. Firstly, not everyone loved the polymer body panels, but saturn owners love this about their vehicles. I own an L200 and knowing that this car will never rust in a roadsalt obsessed province is nice. The fact that you can't get a plastic saturn anymore kinda sucks. The S-series, although often criticised was a great selling no-nonsense gas sipper...40mpg was common. The Astra is sort of an upscale compact...not the same. Also, I think if ppl wanted a great midsize GM, they'd buy a Malibu, not an Aura...so this vehicle is kind of redundant. Saturn needs to do what none of the other GM brands do, and they're simply not doing that anymore.

[Mogobs30th]

Re: GM Reports 1st Quarter Loss of $3.3 Billion

I live 30 minutes away from Spring Hill, TN, where Saturns are made. That's not the rumor around here. They have seen slumping sales for quite a while. When was the last time you saw a family go out and buy a new Saturn? You occasionally see the new SUV model and I can remember seeing a Sky or two around. But other than that...nothing.

Boot, my DD is a 2000 Ford Ranger. I'm not locked-in to GM. I just like my Camaro. ;)

Those goofy rumors float at EVERY GM plant in the United States. I remember hearing people from Janesville (?) Wisconsin, where they make the Tahoe's. Its a dumb, old rumor.

[Meatyshells]

Re: GM Reports 1st Quarter Loss of $3.3 Billion

GM will pull thru. New Malibus sell so fast, they cant make enough of them. Tahoe hybrids, those new buics. The new G8 is selling very well. I think the G8 Wagons are going to do very well. If you think about it, people are moving away from the big SUVs but they still want the space a SUV offers.

If i was going to worry about anyone, i would worry about chrysler.