Posted on 04/24/2009 1:12:35 PM PDT by Zakeet
General Motors Corp. is readying plans to shed its Pontiac brand, shutter more factories and launch a bond exchange aimed at eliminating billions in debt, people familiar with the matter said Friday.
The auto maker, facing a June 1 federal deadline to dramatically restructure or go bankrupt, is preparing early next week to detail the progress it has made on the stepped-up recovery plan demanded by the Obama administration. GM is expected to announce plans to eliminate or sell its poorly performing Pontiac brand, according to several people who have been briefed on the plan.
Previously, GM said it would keep one or two Pontiac models as a niche brand. But the Obama administration is pressuring GM to go further in downsizing its money-losing operations.
The GMC brand of trucks and sport-utility vehicles also could be in danger. The Obama auto task force, noting that GMC sells models similar to Chevrolet's, has pressed GM to make a convincing case the brand should survive. Many GM dealers sell GMC, Pontiac and Buick vehicles at the same site.
The auto maker also is scrambling to complete an offer for a public debt swap intended to eliminate $27 billion in unsecured debt. GM has been unable to strike a deal with an ad hoc committee representing bondholders, but federal regulations require that GM must make the offering by Monday to have the swap complete by the June 1 deadline.
(Excerpt) Read more at online.wsj.com ...
Bad news from article: GM is killing its Pontiac brand, eliminating performance cars, stopping production of trucks and SUV's (their only profitable products), and screwing their bondholders.
Good news from Obozo: We will produce the vehicles America needs and save thousands of union jobs in the process.
I think they are just talking about dumping the GMC name brand. The reason why GMC existed was to be able to sell GM trucks at non-Chevy dealerships. If all you have left are Cadillac, Chevrolet and (maybe for now) Buick, there's not much call for both Chevy and GMC trucks. Pick the best model at each price point and call it a Chevy.
That’s right, shedding the “Excitement Division” and bringing on the “Non Excitement Green Putt Putt Division.”
Those 1st gen. Grand Prix and the Buick Riviera from the same era are some of the cleanest, best proportioned GM cars. The 66 Olds Toronado was the best of them all, though.
Wow, that is a sharp looking car indeed, they ought to re-make that exact model and save themselves
Morons. GMC is one of the few money makers GM has. This is environmentalist central planning run amok. It’s gonna be a long, hot summer in Detroit.
Reminds me of what John Lennon said when he heard Elvis had died: “Elvis died when he went in the army.” GM died around that same time; it just took this long for the rest of the organization to find out.
Who will buy a GM car these days?
What’s an Oldsmobile?
“Who will buy a GM car these days?”
My next car certainly won’t be a GM. I do drive an ‘03 Chevy Impala, but I’d get a 2010 Ford Fusion in a heartbeat, if could!
There was a dark plum color, that came with either black, dark plum, oyster or crimson interior, that was my favorite combo, especially dk. plum/dk. plum, for the 66 Toronado. It set off the wheels with redline tires very well. Leno’s is close to a stock color offered that year, Trumpet Gold, but seems a little brighter. Not sure I care for the wheels being completely chromed, too much bling for my taste. Very nice other than that, though.
The 67 was almost identical, but a few of the details were smoothed out, like the headlamp covers and the taillights. Still think the 66 Toro is the best of GM from the 60’s.
This crap breaks my heart, but GM created this nightmare for themselves.
They should have closed all North American operations 20 years ago and told the UAW to take a hike. They could have then re-opened with a non-union workforce and stayed competitive.
Sure, they would have had to go through a living hell to pull that off, but in the end they’d still have a company, and one of the best brands on the planet.
I’ve owned nearly ever make of GM car over the last 35 years, and have had nothing but exceptional service out of all of them. My current ride is a 1998 Chevy Silverado with 140,000 miles on it. Not one problem since I bought her new.
Breaks my heart.
My first car was a 1970 Pontiac Firebird 350 inherited from my parents. It was fire-orange with black interior and a three-speed manual transmission. I was there when my dad drove it off the showroom rotating display in Richmond, VA. I was 7 years old, but still remember that day.
Ford tried to get ahead of the curve by restructuring itself and took a huge hit, before all this handout money started flowin, and they refused the takeover...so far...
They are keeping Buick and Cadillac because they are high profit cars. Buick’s and Cadillac’s are just Chevy’s with an upgraded interior and differnt sheet metal.
Wonderful memory there. I’ve got quite a few like it, but it would sadden me too much to reflect on them now.
I truly hope that GM can survive this mess, one way or another. Contemplating the death of that company is a bit much for me. It’s an iconic part of the American backbone.
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