Tag Archive | "General Motors"

TrueCar Sees Sales Pacing at 14.5 Million in March


SANTA MONICA – TrueCar predicted Tuesday that new light-vehicle sales in March will increase 13.7 percent from the year-ago period to 1.417 million units. Not including fleet vehicles, the vehicle-marketing site expects sales to increase 14.3 percent from a year ago.

Jesse Toprak, vice president of market intelligence, said he expects several vehicle makers to realize record gains this month, with Hyundai, Nissan and Volkswagen expected to lead the way. “We also forecast that Chrysler, Ford, General Motors, Honda and Toyota will have an extremely strong month, with some of the highest unit sales in years,” Toprak said. “Due to a stronger-than-expected recovery, we’ve increased our sales forecast another 3.6 percent, from 14 million unit sales to 14.5 million unit sales in 2012.”

General Motors is expected to record the highest gain in unit sales for the month, Toprak added, with sales expected to increase 20.9 percent to 249,887 units. He added that Volkswagen should record the highest percentage change, about a 33.1 percent change since March 2011.

Fleet and rental sales are expected to account for 19.5 percent of total industry sales for the month, Toprak added.

Kristen Andersson, senior analyst at TrueCar, noted that manufactures are one of the reasons for the sales pickup, introducing attractive offers to pull skittish consumers off the sidelines. “Automakers have hit the sweet spot this month with lowered incentives and double digit sales increases, which signifies the underlying strength in consumer demand,” she said.

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Industry Sales Pace at 15 Million Annual Rate


A recent uptick in gas prices pushed consumers toward fuel-efficient vehicles rather than back to the sidelines, with the annual sales rate jumping to 15.1 million vehicles, according to Autodata. This was the best monthly showing since February 2008. Volkswagen led the way with a 42 percent sales surge year over year, followed by Chrysler’s 40 percent increase.

Audi: Audi of America reported 8,531 luxury vehicles sold in February, surpassing the prior February record set in 2011. The company’s year-over-year vehicle sales increased 10 percent while it’s year-to-date growth increased 14.9 percent compared to 2011. Three Audi models recorded year-over-year sales increases of 15 percent or more, including the Audi A3, Audi A6 and Audi TT models.

BMW/MINI: BMW Group reported February sales of 26,184 vehicles, a 31.5 percent increase from the 19,919 vehicles sold during the year-ago month. Sales of BMW brand vehicles increased 29.2 percent from a year ago to 21,204 in February. MINI USA reported sales of 4,980 units, an increase of 42.2 percent from the 3,503 sold in February 2011.

Chrysler: Chrysler Group LLC recorded its best February sales month since 2008 with 133,521 units sold, a 40 percent increase from February 2010. The Chrysler brand recorded a 114 percent year-over-year increase, while the FIAT brand finished its first year of sales with its best month ever. Sales of the Fiat 500 were up 69 percent compared to the previous month. Both the Jeep and Dodge brands posted year-over-year sales increases in February as well.

Ford: Ford Motor Company experienced a 14 percent increase in sales vs. the year-ago month, with 179,119 vehicles sold. Retail sales alone increased 19 percent. The Ford brand was up 14 percent, while Lincoln posted a 16 percent increase vs. a year ago. Ford’s F-Series posted a 26 percent increase, totaling 47,273 pickups. Focus sales totaled 23,350 units.

GM: General Motors Co. announced total sales of 209,306 vehicles in February, up 1.1 percent compared to a year ago. Year-over-year sales of the Chevrolet Silverado HD and GMC Sierra HD were up 28 percent and 20 percent, respectively. Other sales highlights for February include double-digit sales increases for the Buick LaCrosse, the Chevrolet Equinox and Camaro, and the GMC Terrain.

Honda/Acura: American Honda Motor Co. posted sales of 110,157 units, an increase of 7.8 percent vs. February 2011, based on the daily selling rate. The Honda Division posted February 2012 sales of 98,899, an increase of 8.8 percent year over year. The Acura Division’s February sales totaled 11,258, up 0.1 percent compared to February 2011, with the TL and TSX models registering strong sales increases.

Hyundai: Hyundai Motor America announced record February sales of 51,151 units, up 18 percent vs. 2011. Overall retail sales rose 29 percent year over year, while sales of the Sonata, Elantra and Accent increased by 11 percent, 12 percent and 29 percent, respectively. Combined sales of the Genesis and Equus models were up five percent over 2011 as well.

Mazda: Mazda North American Operations recorded its February sales month since 1994 with 25,651 units sold, representing an increase of 32.3 percent vs. last year. Mazda2 sales totaled 2,701, marking a 210.5 percent year-over-year increase, while Mazda3 sales totaled 11,275 vehicles for a 39.6 percent increase. Mazda 6 reported its best month since March 2008 with 5,101 vehicles sold, a 79.7 percent increase over 2011.

Mercedes-Benz: Mercedes-Benz USA reported February sales of 19,679 vehicles, a 21.7 percent improvement over February 2011 and the highest February volume on record. Sales for the month of February were led by the C-, E-, and M-Class model lines. The C-Class led the way with sales of 5,240, up 17 percent over February 2011. The E-Class came in right behind with sales of 4,206 and the M-Class rounded out the top three with sales of 3,408, up 77.1 percent compared to February 2011.

Nissan/Infiniti: Nissan North America Inc. posted February U.S. sales of 106,731 units vs. 92,370 units a year earlier, marking an increase of 15.5 percent. Nissan Division posted a record February with 97,492 sales, an increase of 17.1 percent over the old record of 83,226 units set in 2011. Infiniti delivered 9,239 vehicles in February, an increase of 1 percent vs. 9,144 units a year earlier.

Toyota: Toyota Motor Co. reported monthly sales of 159,423 units in February, a 7.9 percent year-over-year increase on a daily selling rate basis and 12.4 percent on an unadjusted raw volume basis. Led by sales of the Camry and Camry Hybrid and the Prius family, the Toyota Division recorded February sales of 142,745 units, an increase of 7 percent vs. the year ago month. The Lexus Division reported sales of 16,678 units, up 15.9 percent over last February.

Volkswagen: Volkswagen of America Inc. realized its best February since 1973 with 30,577 units sold. The company’s performance also represented a 42.5 percent increase vs. a year ago. Sales of the Passat totaled 8,189 units for the month of February, while the Jetta sedan remains the volume leader for Volkswagen with sales totaling 11,694 — its best February ever. The 2012 Beetle sold 1,303 units while the Tiguan sold 2,280 units.

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Sales Pace at 14.18 Million in January


Retail sales rose 11.4 percent in January, with the industry pacing at a 14.18 million seasonally adjusted annual sales rate — the highest rate since the government’s Cash for Clunkers program in August 2009, according to AutoData.

Toyota was the comeback kid, experiencing a 7.5 percent gain from a year ago after suffering through months of declines due to production issues caused by last year’s disasters in Japan and Thailand. At the top of the sales board were Chrysler Group and Volkswagen of America Inc., both brands registering double-digit increases. Mercedes-Benz rounded out January’s top three thanks to strong demand for its SUV and passenger car lineup.

Audi: Audi of America sold 9,354 vehicles in January, a 19.7 percent year-over-year increase from January 2011. The company’s performance marked the best January in Audi of America’s history. Sales of the Audi A6 increased 90 percent over 2011, sales of the Audi Q7 increased 15 percent, and sales of the Audi A7 totaled 643 vehicles.

BMW/MINI: BMW Group reported January sales of 19,739 vehicles, an increase of 5.8 percent from the year-ago month. Sales of BMW brand vehicles increased 3.1 percent from last January to 16,405. The best performing vehicles included the X3 SAV, up 56.9 percent to 1,687 units; the 6 Series, up 392.8 percent to 409 units; and the 7 Series, up 56.1 percent to 977 units. MINI USA reported sales of 3,334 automobiles in January, an increase of 21.2 percent from the 2,751 sold in January 2011.

Chrysler: Chrysler Group LLC sold 101,149 units in January, a 44 percent increase vs. January 2011 (70,118 units). The performance marked the group’s best January since 2008. The Chrysler, Jeep, Dodge and Ram Truck brands all posted sales gains, led by the Chrysler brand’s 81 percent increase. The group’s 44 percent increase was driven in large part by strong sales of the Chrysler 300, Chrysler 200, and Dodge Charger and Avenger sedans.

Ford: Ford Motor Company sold 136,710 vehicles in January, a 7 percent gain compared with January 2011. Retail sales increased 8 percent. Focus sales were up 60 percent, marking the best January for the model since 2003. Ford brand sales totaled 131,589 vehicles in January, marking the best January sales month for Ford brand since 2008.

GM: General Motors Company sold 167,962 vehicles in January, a 6 percent decrease vs. January 2011. GM’s total passenger car sales increased 3 percent in January, led by a 30-percent increase in sales of fuel-efficient, small and compact cars. The company’s crossover sales decreased 18 percent, and sales of trucks, which include full-size pickups, vans and SUVs, decreased 6 percent. Retail deliveries declined 15 percent year over year.

Honda/Acura: American Honda Motor Co. sold 83,009 in the U.S. in January, an increase of 8.8 percent over January 2011. The Honda Division posted sales of 74,628, an increase of 9.3 percent year over year. Civic sales increased 49.5 percent. The Accord posted sales of 13,659, up 1.5 percent from the same period last year. Acura Division’s January sales totaled 8,381 units, up 5.3 percent year over year.

Hyundai: Hyundai Motor America announced an all-time record January with sales of 42,694 units, up 15 percent vs. 2011. January retail sales were up 19 percent, led by a 13 percent increase in Elantra sales and a 27 percent increase in Genesis/Equus sales.

Mazda: Mazda North American Operations reported its best January since 1994 with U.S. sales of 23,996 vehicles, a 68.2 percent increase vs. last year. Mazda3 sales totaled 9,200 units, an 83.4 percent increase vs. last year. This was the model’s best-ever January. Mazda CX-7 and CX-9 crossover SUV sales were up 32.6 percent and 1.6 percent, respectively, marking the best-ever January for both vehicles.

Mercedes-Benz: Mercedes-Benz USA posted a 25.8 percent increase in January, with 21,726 vehicles sold. This was the best January in the company’s history. Mercedes-Benz passenger vehicles and SUVs fueled the company’s performance, with the C-Class leading the way with a 56.4 percent increase in sales. The E-Class followed with sales of 4,097, and the M-Class rounded out the Top 3 with sales of 4,002, up 61.1 percent.

Nissan/Infiniti: Nissan North America Inc. reported January sales of 79,313 units, an increase of 10.4 percent vs. last year. Nissan Division sales rose 12.5 percent for the month to 72,517 units, with Versa sales setting a new record with 9,418 deliveries (up 8.5 percent). Sales of Infiniti vehicles decreased 8.2 percent from the prior year to 6,796 units, while sales of the Infiniti QX totaled 1,020, an increase of 30.4 percent vs. last year.

Toyota: Toyota Motor Sales reported monthly sales results of 124,540 units, an increase of 7.5 percent over the year ago month on a daily selling rate (DSR) and unadjusted raw volume basis. Driven by an increase in sales of 2012 Camry and Camry hybrid, Toyota Division posted January sales of 112,266 units, an increase of 9 percent compared to the same period last year. The Lexus Division reported sales of 12,274 units, down 4.6 percent from last January.

Volkswagen: Volkswagen of America Inc. posted 27,209 units sold in January, a 47.9 percent increase compared to the year-ago period. Passat sales totaled 6,318 units, while Jetta sales totaled 9,564 units. Sales of the 2012 Beetle totaled 1,401, while Touareg sales increased 68 percent. Tiguan sales increased 50 percent. The TDI models experienced a 30.2 percent increase vs. 2011.

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G.M. Looks to Luxury Cars for Higher Profit


DETROIT — After a humbling bankruptcy and $50 billion government bailout in 2009, General Motors has rebounded with steady profits and a fresh lineup of competitive vehicles.

But the next stage of the comeback poses new challenges for the nation’s largest automaker as it tries to make up for lost time when it suspended many of its product programs. The company started to catch up last year by turning out new small cars and mainstream sport utility vehicles. Now G.M. is focusing on beefing up its roster of higher-profit, luxury models for its Buick and Cadillac divisions, reported The New York Times.

On Tuesday, G.M.’s strategy was on display here at the North American International Auto Show when it presented a new small Buick S.U.V. called the Encore that goes on sale next year. Earlier, G.M. introduced the much-anticipated Cadillac ATS, a compact sedan intended to compete with top-selling luxury models from BMW and Mercedes-Benz.

While G.M.’s sales in the United States increased 13 percent last year, its executives acknowledge that more growth was needed to improve profits in the coming year. With Europe and other international markets in the doldrums, G.M. is under pressure to further broaden its product lineup and increase margins in its home market.

“We are making our money here in the U.S., and we’re going to have to keep doing it,” said Mark L. Reuss, president of G.M.’s North American division.

Luxury cars like the Cadillac ATS can provide thousands of dollars more in profit than a more mainstream product.

Mr. Reuss said that expanding the Buick and Cadillac brands was essential to improving G.M.’s overall results. G.M. is also introducing a full-size Cadillac sedan this year, as well as a compact Buick called the Verano.

Industry analysts were impressed by the quality and design of the new G.M. entries on display in Detroit, but questioned whether their incremental sales would be enough to increase the bottom line.

“They’re really nice products, but can they sell enough to bring in the revenue?” asked Ron Harbour, head of the automotive unit of the consulting firm Oliver Wyman. “What they really need is to sell more of the volume products like the Silverado pickup and the Chevrolet Malibu midsize sedan.”

G.M.’s big crosstown rival, the Ford Motor Company, is also increasingly dependent on the American market to contribute the bulk of its profits. But Ford avoided bankruptcy and continued to invest in new vehicles, even when the economy soured.

In addition, Ford’s reputation soared with consumers because — unlike G.M. and Chrysler — it was able to survive without financial help from American taxpayers.

“By not going into Chapter 11, we were able to preserve our product-cycle plan, keep our management team intact, and maintain continuity,” said Lewis Booth, Ford’s chief financial officer. “We never missed a beat.”

G.M. has tried hard to distance itself from the bailout by the Obama administration. Its 2010 public stock offering took away some of the stigma of being “Government Motors.”

But the Treasury Department still owns 26 percent of the company. And because G.M.’s stock price has been mired in the low $20s after going public at $33 a share, the government has been reluctant to sell the remaining stake at a loss.

So G.M. is now in the position of relying on North American profit to carry the company financially and convince investors it deserves a better stock price.

Although G.M. sales are growing globally, the company’s chief executive, Daniel F. Akerson, said he is more focused on improving financial results than simply adding sales around the world.

“We need to focus on profits and margins and not necessarily try to post numbers on the board,” he told reporters at the auto show.

G.M. has had seven consecutive profitable quarters, through the third quarter of last year, which was its last reporting period. But the year ahead will be tough because virtually all automakers are looking to earn much of their profits in the resurgent American market.

No one will be pulling harder for G.M.’s success than President Obama, who counts the rescues of G.M. and Chrysler among the successes of his administration’s economic policies.

As if to underscore the importance of Detroit’s revival to the administration, three cabinet secretaries — commerce, energy and transportation — were among the visitors to the media previews at the auto show this week.

G.M. executives, however, seemed to be weary of questions about the government’s role in its comeback and the taxpayers’ continued ownership stake in the company.

Mr. Reuss said he was concerned that the G.M. bailout would be constantly resurrected as a political issue in this year’s presidential election.

“The only thing I can control,” he said, “is the performance of North America with great products, great pricing and disciplined production.”

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G.M. Offers to Buy Back Hybrid Volts From Owners


DETROIT — In a rare move, General Motors said Thursday that it would buy back Chevrolet Volts if owners were concerned about fire risks. It also promised to comply with any changes to its battery pack recommended by federal regulators.

In an interview with The Associated Press, G.M.’s chief executive, Daniel F. Akerson, defended the safety of the plug-in hybrid vehicle but said the automaker would purchase Volts from unsatisfied customers, reported The New York Times.

A G.M. spokesman, Rob Peterson, confirmed the buyback offer. “If there’s a customer that wants to sell back their Volt, we’ll buy it back from them,” Mr. Peterson said.

Such a buyback is unusual for car companies, which typically institute recalls when regulators or customers report problems with cars or parts. Ford, however, offered to buy back older model Windstar vans last year after investigations into rear axle problems.

The Volt has come under scrutiny after the National Highway Transportation Safety Administration said on Nov. 25 that it had opened a defect investigation into the car’s 400-pound battery pack.

The company on Monday offered free loaner cars to all Volt owners while a federal investigation continued into the potential for postcrash fires in the car’s lithium-ion battery.

Two Volt batteries caught on fire after crash simulations, the agency said. One fire occurred three weeks after the battery was damaged, and a more recent test resulted in a fire one week later. Another pack emitted smoke and a spark in the aftermath of a crash test.

In a separate interview with Reuters, Mr. Akerson said that G.M. would make changes to the Volt’s battery pack if they were recommended by federal officials.

Mr. Peterson said the company would alter the packs “if there’s an engineering solution required.”

Some Volt owners are not concerned about the inquiry. “It just has to be treated carefully in the event of a crash. I really am not worried,” Eric Rotbard, a Volt owner who is a lawyer in White Plains, said in an interview on Monday. “We just have to get more comfortable with the technology. It doesn’t seem to be any less safe to me.”

The latest developments came the same day that G.M. reported that November was the best month for Volt sales since the car was introduced late last year.

G.M. said it sold 1,139 Volts in November, bringing the year’s total to 6,142.

However, the company acknowledged for the first time that it would not achieve its target of selling 10,000 Volts this year, even after allowing dealers to sell demonstration models last month to increase inventory.

The head of G.M.’s Chevrolet division, Alan Batey, said that missing the sales target did not diminish the car’s positive effect on the brand.

“This vehicle is more than just how many do we sell every month,” Mr. Batey said in a conference call with reporters. “It is a magnet around everything we’re trying to do to showcase the brand.”

The Volt was the industry’s top-scoring model in this year’s Consumer Reports customer-satisfaction survey, the publication said Thursday, with 93 percent of owners saying they would buy one again.

G.M. executives have repeatedly defended the safety of the Volt since the federal inquiry opened, noting that there have been no reports of fires in real-world crashes.

The company has asserted that the bigger issue is how the lithium-ion battery is handled by emergency personnel and maintenance technicians after an accident.

G.M.’s product development chief, Mary Barra, said Monday that the car’s battery should be depowered immediately after a collision to avoid any possibility of a fire.

“This is not a conventional automobile,” said Joseph Phillippi, an industry analyst with the firm Auto Trends. “We are talking about high-voltage batteries, and they need special treatment.”

So far, 33 Volt owners have requested a loaner vehicle since the offer was made, and 230 people have contacted their dealers with questions, Mr. Batey said.

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GM Offers Oregon, Washington Drivers Auto Insurance as Standard Feature


DETROIT – GM announced that drivers in Oregon and Washington that purchase a new 2010, 2011 or 2012 Chevrolet, Buick, GMC or Cadillac vehicle between now and September 6 will receive a one-year insurance policy from MetLife Auto & Home free of charge.

“We want to give residents of Oregon and Washington another reason to discover Chevrolet, Buick, GMC and Cadillac vehicles,” said Chris Perry, U.S. vice president of General Motors marketing. “We have new products like the Chevrolet Cruze, Buick Regal, GMC Terrain and Cadillac CTS Coupe that are now even more appealing with a year’s worth of insurance.”

The complimentary auto insurance includes both liability and physical damage coverage and exceeds requirements in the two states, according to GM. The company is currently testing auto insurance as a standard feature to determine consumer appeal, reported F&I and Showroom.

“This offer enhances the vehicle’s value proposition because our policy is considered one of the most comprehensive in the industry,” said Bill Moore, president of MetLife Auto & Home. “Our new car replacement feature is a benefit not found in most auto policies.”

The policy covers the vehicle and anyone who drives it with the owner’s permission for a full year from the date of purchase as long as the original purchaser continues to own or lease the vehicle, according to GM. The policy is not available on vehicles purchased or leased for certain commercial or fleet purposes.

Under MetLife Auto & Home’s auto policy, if a new car is damaged beyond repair within the car’s first year or first 15,000 miles, the company will repair or replace the vehicle with a new vehicle without deducting for depreciation.

The policy is available only to Oregon and Washington residents with valid driver’s licenses and who title their vehicle in those states. Vehicle owners also can renew the MetLife insurance at the end of one year.

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