2014 Chevrolet Impala 2lt 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.

Chevy Bolt 200-mile EV going into production near Detroit

Where there's smoke, there's fire, apparently. The rumors of the Chevy Bolt going into production have been proven correct, with an announcement this morning at the Chicago Auto Show that the 200-mile, all-electric Bolt will be built at the Orion Assembly facility near Detroit. GM didn't say exactly when the Bolt will be built, but GM North America president Alan Batey said in a statement that, "We are moving quickly because of its potential to completely shake up the status quo for electric vehicles." He's not kidding. GM is talking about a $30,000 price tag for an EV that can do twice as many electric miles as any non-Tesla mass-production EV today. Previous hints have the Bolt starting production next year for a market debut in 2017, and with all of the accuracy we've seen from these secret releases up to now, we're going to say this is probably accurate until we hear otherwise. We still have questions about the price tag, but for now we'll try to track down more information here in Chicago. Chevrolet Commits to Bolt EV Production Game-changing, long-range EV to be built at Orion Assembly facility in Michigan CHICAGO – Chevrolet this morning confirmed production of its next-generation pure electric vehicle, based on the Bolt EV concept. It will be built at General Motors' Orion Assembly facility near Detroit. GM North America President Alan Batey made the announcement ahead of the Chicago Auto Show. The Bolt EV concept was introduced last month at the North American International Auto Show in Detroit. "The message from consumers about the Bolt EV concept was clear and unequivocal: Build it," said Batey. "We are moving quickly because of its potential to completely shake up the status quo for electric vehicles." Leveraging the industry-leading battery technology found in the Chevrolet Volt and Spark EV, the Bolt EV concept was developed as a game-changing, long-range pure electric for all 50 states, designed to offer more than a GM-estimated 200 miles of range at a target price of around $30,000. The progressively styled concept vehicle features selectable driving modes for preferred driving styles, such as daily commuting, and it was designed to support DC fast charging. "We're proud that Chevrolet has decided to produce the Bolt EV here in Michigan at the Orion Assembly facility," Gov. Rick Snyder said. "Michigan unquestionably remains the global automotive leader.

GM is quietly slashing prices on base models

While General Motors' fourth quarter financial figures haven't yet been released, the automaker seems to be weathering a potentially rocky time well, even beating third-quarter projections last year. To keep the climb going, the company is launching new base trims for several popular models that make them cheaper than ever but with tight dealer margins. The new entry-level trims are the Chevrolet Cruze L, Equinox L, GMC Terrain SL and Buick LaCrosse 1SV. Buyers lose some content by picking them, but the prices are slashed. According to Cars Direct, the biggest savings are on the LaCrosse, where customers pay $31,065, plus $925 destination, $2,570 less than the previous base 1SB trim but must accept things like 17-inch wheels and no cargo net in the back. If you're wondering how Buick can remove only a little equipment but cut the price so much, it's because the company also slashed dealer margins. According to Cars Direct, the difference between the invoice and MSRP for the LaCrosse 1SV is only around $150, compared to around $1,350 before. The disparity is even greater for the Cruze with an $81 difference in the prices, compared to about $600 for the LS version. Showrooms are expected to keep very low stocks of these trims, though. "Dealers use such vehicles to get people in the door, but they do not generally want to do high volumes of these strippers. The margins are next to nothing; they don't make much money off these cars," said Ed Kim, Vice President of Industry Analysis for AutoPacific to Autoblog. Dealers are also expected to advertise that these new base trims undercut major competitors. For example, the Cruze L rings up for about $2,320 less than a Honda Civic LX, according to Cars Direct. One potential drawback for buyers is that these models might not be eligible for incentives. While the attractive prices might get customers into dealers, folks may not actually end up driving home with these entry-level models. Kim indicated base trims also make up a small portion of the sales mix. "Consumers aren't asking for stripped out vehicles, even at the low end of the marketplace," he said. Featured Gallery 2015 Chevrolet Cruze View 9 Photos News Source: Cars DirectImage Credit: Chevrolet Buick Chevrolet GM GMC Car Buying Car Dealers Crossover Sedan gmc terrain cheap cars