Behind The Mask
Saturday, August 12, 2006
Here is further proof that GM intends to close Buick and probably Pontiac. How can you not have an "identity" after 100 years? Management is falsely protraying their intentions as their plan is to eventually own and control distribution. This hidden agenda is part of the reason the call was made for the indictment of "Red Ink Rick". Please don't be fooled by the spin offered by PR experts. The market share slide and the move to offshore production continues.
GM Ready To Roll In 2007: Report
R.M. Schneiderman, 08.11.06, 8:15 AM ET
Ailing auto giant General Motors will begin to see the benefits of its new product line starting in the first quarter of 2007, according to a Thursday report by Credit Suisse.
Rob Hinchliffe, an analyst for the research firm, said negative margin trends should continue throughout the third quarter for the company, before improving slightly in the fourth.
The report was released following GM's analyst day on Wednesday during which the company introduced new products such as T900 pickup and the Lambda crossover SUV.
"GM will launch a rich, crew cab T900 pickup mix in October with two of the five plants up and running this year," said Hinchliffe. "The Lambdas look great, with a risk of cannibalizing existing GM customers."
The Detroit-based company also offered further details on its strategy going forward.
"GM's plan creates four 'core' brands which include Chevy, GMC, Cadillac and Saturn," said Hinchliffe.
"These will be supported by four 'focus' brands which include Buick, Pontiac, Hummer and Saab. This strategy will require GM to scale down Buick and Pontiac in the near-term until these brands have a clear&identity."
On Thursday, GM Chief Executive Officer Rick Wagoner also announced that his company will bring back its muscle car, the Chevrolet Camaro, beginning in 2008.
Chevy began making the Camaro in 1967, before putting a halt to the speedster in 2002. The new models will begin retailing in the first quarter of 2009.
UBS maintained a "reduce" rating on the company with a target price of $24.