Automotive News / Industry / Future Vehicle Discussion Automotive news and discussion about upcoming vehicles

GM sales down 45% for October

Thread Tools
 
Search this Thread
 
Old Nov 3, 2008 | 02:38 PM
  #1  
Silverado C-10's Avatar
Thread Starter
Registered User
 
Joined: Mar 2007
Posts: 1,897
From: Greenville, SC
GM sales down 45% for October



http://news.yahoo.com/s/ap/20081103/..._ge/auto_sales

DETROIT – General Motors' October U.S. sales plunged 45 percent and Ford's dropped 30 percent, as low consumer confidence and tight credit combined to scare customers away from showrooms.

The results released Monday — along with drops of at least 23 percent for Toyota, Honda and Nissan — appeared to fulfill prophecies that the industry's sales as a whole will hit their worst level in decades.

Mike DiGiovanni, General Motors Corp.'s executive director of global market and industry analysis, said the automaker expects last month was the industry's worst U.S. sales performance since 1975 with only 851,000 vehicles sold, for an annual rate of 10.7 million vehicles.

"This is clearly a severe, severe recession for the U.S. automotive industry and something we really can't sustain," DiGiovanni said. "There really needs to be actions focused on the consumer and available credit."

Other automakers are scheduled to report their sales later Monday.

Detroit-based GM said its light trucks sales tumbled 51 percent compared with the same month last year, while demand for passenger cars fell 34 percent.

The results were less severe at Ford Motor Co., which said its Ford, Lincoln and Mercury car sales were off 27 percent, while light truck sales for the three brands were down more than 30 percent.

Overall, GM sold 168,719 vehicles, while Ford, including its Volvo brand, sold 132,278 light vehicles last month.

If GM's sales were adjusted for population growth, October would be the worst month of the post-World War II era, DiGiovanni said.

"Clearly we're in a very dire situation," he said.

Despite the steep drop, GM's total was enough to keep it ahead of Toyota Motor Corp. for the No. 1 U.S. sales spot. Toyota, which rolled out an offer of zero-percent financing during the month, sold 152,101 vehicles, down 23 percent from a year earlier. The drop included a 34 percent decline in light truck demand, while car sales fell 15 percent.

Honda Motor Co.'s sales fell 25 percent to 85,864 vehicles, as truck sales fell 29 percent. But sales of cars from its Acura luxury division rose 6 percent.

Nissan North America Inc. sold 56,945 vehicles, a 33 percent drop, including a 52 percent decline in truck sales.

DETROIT – General Motors' October U.S. sales plunged 45 percent and Ford's dropped 30 percent, as low consumer confidence and tight credit combined to scare customers away from showrooms.

The results released Monday — along with drops of at least 23 percent for Toyota, Honda and Nissan — appeared to fulfill prophecies that the industry's sales as a whole will hit their worst level in decades.

Mike DiGiovanni, General Motors Corp.'s executive director of global market and industry analysis, said the automaker expects last month was the industry's worst U.S. sales performance since 1975 with only 851,000 vehicles sold, for an annual rate of 10.7 million vehicles.

"This is clearly a severe, severe recession for the U.S. automotive industry and something we really can't sustain," DiGiovanni said. "There really needs to be actions focused on the consumer and available credit."

Other automakers are scheduled to report their sales later Monday.

Detroit-based GM said its light trucks sales tumbled 51 percent compared with the same month last year, while demand for passenger cars fell 34 percent.

The results were less severe at Ford Motor Co., which said its Ford, Lincoln and Mercury car sales were off 27 percent, while light truck sales for the three brands were down more than 30 percent.

Overall, GM sold 168,719 vehicles, while Ford, including its Volvo brand, sold 132,278 light vehicles last month.

If GM's sales were adjusted for population growth, October would be the worst month of the post-World War II era, DiGiovanni said.

"Clearly we're in a very dire situation," he said.

Despite the steep drop, GM's total was enough to keep it ahead of Toyota Motor Corp. for the No. 1 U.S. sales spot. Toyota, which rolled out an offer of zero-percent financing during the month, sold 152,101 vehicles, down 23 percent from a year earlier. The drop included a 34 percent decline in light truck demand, while car sales fell 15 percent.

Honda Motor Co.'s sales fell 25 percent to 85,864 vehicles, as truck sales fell 29 percent. But sales of cars from its Acura luxury division rose 6 percent.

Nissan North America Inc. sold 56,945 vehicles, a 33 percent drop, including a 52 percent decline in truck sales.

Ford officials said on a conference call with reporters and industry analysts that as bad as October sales were, it's probably not the bottom.
Wow, GM is just barely ahead of Toyota for US sales. There's a lot more in the link. A 45% sales drop sure as hell won't keep factories open... not for long anyway...

Last edited by Silverado C-10; Nov 3, 2008 at 02:41 PM.
Old Nov 3, 2008 | 02:59 PM
  #2  
Geoff Chadwick's Avatar
Registered User
 
Joined: Apr 2002
Posts: 2,154
From: All around
No mention of Chrysler of course. I wonder how bad they're doing. I suspect the Cerberus guys saw this one coming and that might be why they want out so bad. Talk about taking a hit!

If it gets worse than this...
Old Nov 3, 2008 | 03:01 PM
  #3  
Z28x's Avatar
Registered User
 
Joined: Jan 2000
Posts: 10,285
From: Albany, NY
wow....so are we looking at 13 million or lower autos sold in the US come 2009
Old Nov 3, 2008 | 03:03 PM
  #4  
Silverado C-10's Avatar
Thread Starter
Registered User
 
Joined: Mar 2007
Posts: 1,897
From: Greenville, SC
Also, for those too lazy to click the link, this was noteworthy as well:

Meanwhile, GM's financing arm, GMAC Financial Services, said it was tightening its lending standards to require a credit score of at least 700, potentially shutting out some buyers.

Mark LaNeve, GM's vice president for North American sales, said steep cutbacks in leasing accounted for half of GM's year-over-year sales decline.

About 25 percent of GM's volume in October 2007 was from leasing, but the automaker did almost no leasing last month through GMAC, LaNeve said.

Analysts said GM's employee pricing incentives in September likely pulled in buyers who would have waited to purchase cars, further reducing October sales.
Old Nov 3, 2008 | 03:21 PM
  #5  
indieaz's Avatar
Registered User
 
Joined: Aug 2003
Posts: 915
From: Tucson, AZ
^ They must have figured out that repossessions are expensive.
Old Nov 3, 2008 | 03:39 PM
  #6  
Silverado C-10's Avatar
Thread Starter
Registered User
 
Joined: Mar 2007
Posts: 1,897
From: Greenville, SC
^ I randomly tuned into a talk radio show last week while they were talking about repo's.

To no surprise, the majority of repo's are now trucks and SUV's and when these vehicles are going to auction they are going for much less than what was left on the loan (which shouldn't be surprising to anyone). So now, they're trying to work with the customers to lower payments to keep them in their vehicle.

It's really starting to look like GM is going to go under... this can't keep up much longer (duh, right?)

Last edited by Silverado C-10; Nov 3, 2008 at 03:42 PM.
Old Nov 3, 2008 | 04:24 PM
  #7  
97QuasarBlue3.8's Avatar
Registered User
 
Joined: May 2001
Posts: 1,018
Originally Posted by Silverado C-10
It's really starting to look like GM is going to go under... this can't keep up much longer (duh, right?)
It sure seems that way, doesn't it?

Old Nov 3, 2008 | 05:27 PM
  #8  
HuJass's Avatar
Registered User
 
Joined: Apr 2000
Posts: 2,224
From: CNY
I think the ticker on MSNBC said Chrysler's sales drop was 47%.
Old Nov 4, 2008 | 02:06 PM
  #9  
guionM's Avatar
Registered User
 
Joined: Mar 2001
Posts: 13,713
From: The Golden State
Originally Posted by HuJass
I think the ticker on MSNBC said Chrysler's sales drop was 47%.
Nope. 35%.

Chrysler sold 94,530 vehicles in the US last month.

Dodge Ram sales are down only 21%.

Dodge Challenger is defying gravity. It sold over 3000 vehicles in October, still dead on projections of 35-40K annual production.

The Dodge Challenger came within 150 cars of outselling the PT Cruiser and 450 cars of outselling the Chrysler 300.

Chrysler has a 113 day supply, down 16% from last year (good news).

Dodge Viper's sales are up 162%!

Crossfire is up 128%!

Chrysler's division is down 51%.

Dodge is down 27%

Jeep 33%

Jeep Compass and the 300 lead losses, both down 62%

Charger is down 41%, and is close to outselling the 300 by 2 to 1.

Overall, not great normally, but considering the state of the market, and the fact that Chrysler no longer offers leasing on their vehicles, it's not that bad. Plus, the Challenger is proving that bad economic times don't automatically spread to pony cars (as Camaro and Firebird sales proved in the 1970s).

Last edited by guionM; Nov 4, 2008 at 02:15 PM.
Old Nov 4, 2008 | 02:18 PM
  #10  
Dragoneye's Avatar
Registered User
 
Joined: Aug 2007
Posts: 801
From: New York
xx.x% sales drops = bad...

but what about total vehicle sales? If I remember correctly, GM still managed to outsell Toyota October. That's without leasing, etc, etc and Toyota had a 0% financing deal going on. Is this any sort of silver lining?
Old Nov 4, 2008 | 02:19 PM
  #11  
Darth Xed's Avatar
Registered User
 
Joined: Dec 2000
Posts: 8,504
From: Ohio
Originally Posted by guionM

Dodge Challenger is defying gravity. It sold over 3000 vehicles in October, still dead on projections of 35-40K annual production.

The Dodge Challenger came within 150 cars of outselling the PT Cruiser and 450 cars of outselling the Chrysler 300.


Dodge Viper's sales are up 162%!

These ones are shockin to me as I had assumed Challenger was a flop as the 3 local Dodge dealers *ALL* have at leats 4-5 Challengers sitting out front. I figured they wouldnt be sitting there on the lot unless they were not selling.

And the one local Dodge dealer somehow has 5 Vipers... normally you dont even see any on a Dodge lot around here.
Old Nov 4, 2008 | 02:23 PM
  #12  
97QuasarBlue3.8's Avatar
Registered User
 
Joined: May 2001
Posts: 1,018
Originally Posted by guionM
[...]

Overall, not great normally, but considering the state of the market, and the fact that Chrysler no longer offers leasing on their vehicles, it's not that bad. Plus, the Challenger is proving that bad economic times don't automatically spread to pony cars (as Camaro and Firebird sales proved in the 1970s).
No, it's really bad. The market has already fallen out beneath these cars, so we're no longer in the "steep curve" of sales decline, we're kind of at the bottom after all the other 12, 15, 20% declines over the last year. A 30%-ish drop in the remaining slice of pie is pretty significant.

And you do know that the last Chrysler Crossfire rolled off the assembly line in 2007, yes?
Old Nov 4, 2008 | 02:29 PM
  #13  
guionM's Avatar
Registered User
 
Joined: Mar 2001
Posts: 13,713
From: The Golden State
Originally Posted by Dragoneye
xx.x% sales drops = bad...

but what about total vehicle sales? If I remember correctly, GM still managed to outsell Toyota October. That's without leasing, etc, etc and Toyota had a 0% financing deal going on. Is this any sort of silver lining?
When you subtract fleet sales, Toyota finally ran over GM in October.

Another item, GM sold 166,714 vehicles in October.
Ford, 128,531.

GM's car sales tanked 34.6%.
Chrysler's dropped 30%
Ford's: 26.8%

Ironically, pretty much in order of their chances of survival the next couple of years if left on their own to fend for themselves without financial help or buyouts, from least likely to more likely.

Other drops in car sales:

Toyota: -14.5%
Honda: -22.1%
Nissan: -18.3%
Mitsubishi: -4.6% (not a typo)
Mercedes Benz: -42.3%
Ferrari: UP 44%
Mini: UP 56.4%
Rolls Royce: UP......75.9%!!

http://online.wsj.com/mdc/public/pag...autosales.html

Last edited by guionM; Nov 4, 2008 at 02:32 PM.
Old Nov 4, 2008 | 03:59 PM
  #14  
rlchv70's Avatar
Registered User
 
Joined: Dec 2002
Posts: 681
Originally Posted by guionM
When you subtract fleet sales, Toyota finally ran over GM in October.

Another item, GM sold 166,714 vehicles in October.
Ford, 128,531.

GM's car sales tanked 34.6%.
Chrysler's dropped 30%
Ford's: 26.8%

Ironically, pretty much in order of their chances of survival the next couple of years if left on their own to fend for themselves without financial help or buyouts, from least likely to more likely.

Other drops in car sales:

Toyota: -14.5%
Honda: -22.1%
Nissan: -18.3%
Mitsubishi: -4.6% (not a typo)
Mercedes Benz: -42.3%
Ferrari: UP 44%
Mini: UP 56.4%
Rolls Royce: UP......75.9%!!

http://online.wsj.com/mdc/public/pag...autosales.html
Looks like the day traders are selling their stocks to buy the exotics - Viper, Ferrari, Rolls...
Old Nov 4, 2008 | 05:07 PM
  #15  
onebadponcho's Avatar
Registered User
 
Joined: Mar 2001
Posts: 954
From: Shelton, WA
Originally Posted by rlchv70
Looks like the day traders are selling their stocks to buy the exotics - Viper, Ferrari, Rolls...
Yeah, that or they're using the bonus money they got from the bailouts.



All times are GMT -5. The time now is 07:40 AM.