Posted on 02/24/2011 12:30:45 PM PST by SeekAndFind
General Motors Co. fell to the lowest since its initial public offering in November as rising oil prices dimmed the outlook for truck sales after the largest U.S. automaker’s most profitable year since 1999.
GM slid $1.89, or 5.5 percent, to $32.70 at 1:21 p.m. in New York Stock Exchange composite trading. The drop marked the first day GM traded at less than its $33 initial offering price in November.
Chief Executive Officer Dan Akerson is speeding the development and introduction of new models, including more fuel- efficient cars that may sell better as gas prices rise. GM used larger discounts and sales incentives in January and February to lure buyers before vehicle introductions pick up in 2012.
“The worst-case scenario is that GM uses pricing to get them through this gap in new product they’re in, and then you combine that with oil spiking,” Nicholas Colas, chief market strategist at BNY ConvergEx Group in New York, said in a telephone interview.
Crude oil for April delivery reached $103.41 today, the highest intraday price since Sept. 29, 2008, on concerns an uprising in Libya may reduce supply.
GM, which emerged from bankruptcy in July 2009, today reported fourth-quarter net income of $510 million and $4.67 billion for 2010, the largest annual profit since its predecessor earned $6 billion in 1999. The full-year comparison excludes a $127.1 billion profit in the third quarter of 2009, when GM accounted for its post-bankruptcy recapitalization.
(Excerpt) Read more at businessweek.com ...
LMAO
C'mon! They're too big to fail!
ah, shucks....
karma. =.=
But.... but.... the Volt runs on electricity, not oil. /s
Ooh! Buy on the dip! Buy on the dip!
Maybe no one wants an Obama truck
GM, which screwed it's bond holders royally..............there, that's more like it.............
RE: Oil Dims Truck Sales Outlook
They need to develop trucks that run on batteries :)
Obama has the cash to pay for this.
Should I invest in the drop market now or later??
Does this mean “We the People” will not have to pay the recently announced $4,000 bonus to each of the hourly employees? Or the even LARGER bonuses to the managers and executives?
JUST ASK UNCLE BARRY TO DUKE YOU SOME CASH!!!!!
I wouldn’t touch Government Motors with a twenty foot poll if I were you...
Used to be a Chevy guy - but it just means Government Motors now.
I'll buy foreign before I buy GM again.
Amen brother!!
thats OK, the Govt Motors persistent attack on Toyota will carry them back
Now I get it...cuz of oil.
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