55 Buick Riviera Hard Top on 2040-cars

Auto blog

GM earnings rise 1% as buyers pay more for popular pickups

DETROIT — General Motors said Thursday that higher prices for popular pickup trucks and SUVs helped overcome slowing global sales and profit rose by 1% in the second quarter. The Detroit automaker said it made $2.42 billion, or $1.66 per share, from April through June. Adjusting for restructuring costs, GM made $1.64 per share, blowing by analyst estimates of $1.44. Quarterly revenue fell 2% to $36.06 billion, but still beat estimates. Analysts polled by FactSet expected $35.97 billion. Global sales fell 6% to 1.94 million vehicles led by declines in North America and Asia Pacific, Middle East and Africa. The company says sales in China were weak, and it expects that to continue through the year. In the United States, customers paid an average of $41,461 for a GM vehicle during the quarter, an increase of 2.2%, as buyers went for loaded-out pickups and SUVs, according to the Edmunds.com auto pricing site. The U.S. is GM's most profitable market. Chief Financial Officer Dhivya Suryadevara said she expects the strong pricing to continue, especially as GM rolls out a diesel pickup and new heavy-duty trucks in the second half of the year. "We think the fundamentals do remain strong, especially in the truck market," she said, adding that strength in the overall economy and aging trucks now on the road should help keep the trend going. Light trucks accounted for 83.1% of GM's sales in the quarter, and pickup truck sales rose 8.5% as GM transitioned to new models of the Chevrolet Silverado and GMC Sierra, according to Edmunds, which provides content to The Associated Press. As usual, GM made most of its money in North America, reporting $3 billion in pretax earnings. International operations including China broke even, while the company spent $300 million on its GM Cruise automated vehicle unit. Its financial arm made $500 million in pretax income. Suryadevara said GM saw $700 million in savings during the quarter from restructuring actions announced late last year that included cutting about 8,000 white-collar workers through layoffs, buyouts and early retirements. The company also announced plans to close five North American factories, shedding another 6,000 jobs. About 3,000 factory workers in the U.S. whose jobs were eliminated at four plants will be placed at other factories, but they could have to relocate. GM expects the restructuring to generate $2 billion to $2.5 billion in annual cost savings by the end of this year.

Question of the Day: Coolest factory-supercharged car?

Last week, we discussed possible engine-swap recipients for the plentiful-in-every-junkyard Eaton-supercharged GM 3800 V6 engine. The Buicks, Oldsmobiles, and Pontiacs that came with that engine from the factory were reasonably cool, of course, but when you look at all the production cars that have been available with supercharging over the decades you can find some pretty amazing stuff. My personal favorite has to be the Paxton-blown Studebaker Larks of the early 1960s, partly because the Lark was just about the stodgiest-looking, sleepiest little sedan available in America, possibly the most ridiculous recipient of a howling force-fed V8 imaginable, and partly because of the name of the optional supercharged 289-cubic-inch V8 you could get in the Lark: Jet-Thrust! What do you say is the coolest factory-supercharged car of all time? Related Video: Auto News Buick Automotive History Performance Classics supercharger questions

Next-gen LaCrosse, Cascada convertible coming to Buick showrooms in 2016

It's difficult to overstate how significant the post-bankruptcy years have been for General Motors' Buick brand. Arguably the most improved American automaker, Buick has rounded out its range with an excellent compact in the Verano, a well-balanced midsizer in the Regal and a segment-busting mini-CUV, with the Encore. Seeking to keep that momentum going, the next several years will see the brand address a trio of its most obvious issues. First and foremost will be a replacement for the aging LaCrosse, a vehicle whose only bit of attention since its 2009 debut was a very light refresh in 2013. According to Automotive News, we should expect the next-generation LaCrosse to arrive late next year or early in 2016, as a 2016 model. AN expects big design changes, as Buick attempts to further the LaCrosse from its popular platform-mate, the Chevrolet Impala. The changes won't be so radical, though, as to do away with its front-drive architecture, as the latest version of the Epsilon platform will underpin the next LaCrosse. The 3.6-liter V6 is likely to carry on, although a smaller, budget-minded offering is also extremely likely (we'll eat our hat if it's not the 2.0-liter, turbocharged four-cylinder from the Regal, Verano and Cadillac CTS et al.). The other issue plaguing Buick's lineup is a lack of a midsize crossover. This is particularly damning for the brand as most of its showrooms are shared with GMC, which boasts its own midsizer in the form of the Terrain. With the upcoming Envision (see here for teasers), that problem should be addressed. Like the LaCrosse, the Envision will likely be a 2016 model. It will debut and launch in China early next year, while we can expect it to arrive stateside later next year, or even early in 2016. For American consumers, both a 2.5-liter four-cylinder and the aforementioned 2.0T could see action in the Envision. Finally, while Buick can boast a pair of vehicles available with manual transmissions, it's still far from what we'd call a brand for fun driving experiences. Of course, one way of solving that problem is with a two-door convertible. Yes, it's extremely likely that the Euro-market Opel Cascada convertible will be sold in the US early in 2016. Whether it keeps the Cascada name is unclear (all in favor of Skylark, say "aye"). Regardless, adding a reasonably priced, relaxed, two-door droptop to the Buick range to fill the space left by the not-so-dearly departed Chrysler 200 Convertible seems like a no brainer.