People have a short memory...with gas low...people are buying the vehicle they want...provided they can get a loan.

For anyone who thinks gas is going up to $4 again anytime soon...don't bet on it. There is not enough money in the investment sector to bid it up. The sad truth is...the last gas spike was cause by Wall Street more than supply and OPEC. It's no coincidence gas tanked last fall with the banking sector.

 

No **** sherlock back at you.

Of course every "needs" to sell cars to create revenue. One doesn't need business 101 or a room tempreature IQ to realize you need to sell product to get revenue.

But, this was your original post.....

... indicated that by you believed that simply by selling that many cars at that price GM would be "back in black" meaning break even.

That is not the case since only what GM actually clears each vehicle goes towards debt reduction.

Now, it seems you're indicating you meant something other what you wrote.

Perhaps it's my minor misunderstanding of your post?


For what it's worth, the total revenue on 320,000 cars at $30K apiece equals only $9.6 billion. Even if GM made 100% profit on every one of them, that wouldn't even cover what GM already has borrowed from the government. At a more realistic average of $1000 per vehicle, that $320,000 might be enough for GM to make it through a single day.

Either way, it doesn't come anywhere near the universe (let alone the planet) GM needs to be in to get back in the black.