Tuesday 2nd June 2009

Hummer Saved From GM Axe

GM announces the sale of Arnie's former favourite 4x4

---

Hummer may not be the most politically correct of brands, but it seems the marque will survive the cull at General Motors and its bankruptcy proceedings.

Hummer will continue building H2s and H3s

Less than a day after officially filing for Chapter 11 bankruptcy protection, GM is expected to announce the sale of the Hummer brand today, a move it has been considering since the middle of last year.

Despite axing both the Pontiac and Saturn brands, GM looks to have saved Hummer from the chopping block thanks to the 4x4 brand’s international kudos.

GM won’t disclose the names of prospective bidders, but it is understood that several interested parties – including a Chinese car maker – have been making offers since late last year.

It is expected that any sale will have to be announced – if not finalised – soon, otherwise GM will be forced to close Hummer down as part of its Chapter 11 restructuring.

According to reports in the US press, any deal announced today could be completed by the end of the summer, and production of the H2 and H3 SUVs will continue.

Seems like Arnie’s former favourite won't be 'terminated' after all. Sigh...

[Insight]

Stupid and Ironic that this Hummer vehicle is the one that is going to be kept after all the issues with the EV1 those years ago!

http://www.youtube.com/watch?v=nsJAlrYjGz8

Here's the highlights of the doumentary that points out the short term view of producing the HUMMER. Go to 1 min 33 secs.

[neema_T]

Oh GOD, of all the things worth saving!

[Mikeyboy]

And the US government are gong to let the holding company still exist. Wow, someone out there just hasn't learnt a lesson have they?

[AMG Merc]

Why?! What does this say of the US driver mentality?

[Steamer]

I have no idea what size production runs they were churning these things out in - but I would have imagined they were actually quite a profitable (or at least saleable) marque in small numbers.

.... after all, its not the people with stupid amounts of money to spend that suffer during a recession is it?


I quite like them... a bit like 'sportyspice'... not one of the best looking offerings within the group - but you would have given it a go if your mate's werent looking

Edited by Steamer on Tuesday 2nd June 13:27

[jas16]

going with what other people have already said

Why would you want to save this?

[Mikeyboy]

Steamer said:

I have no idea what size production runs they were churning these things out in - but I would have imagined they were actually quite a profitable (or at least saleable) marque in small numbers.

.... after all, its not the people with stupid amounts of money to spend that suffer during a recession is it?


I quite like them... a bit like 'sportyspice'... not one of the best looking offerings within the group - but you would have given it a go if your mate's werent looking

Edited by Steamer on Tuesday 2nd June 13:27

nothing wrong with liking them but they were rarely or rather barely a profitable product for GM after the initial gold rush of the H1 and thats why Hummer lost fortunes.

[ShadownINja]

Doesn't make business sense. Sell the brand name to someone in Dubai.

[Graham]

seems to be quite a few of them here in florida, mind you every other car is a chrysler/dodge and they went into chapter 11 first

[Riggers]

I think it's not really about what Hummer is making in profit terms (no doubt very little), but rather what the brand is worth.

Other GM brands like Saturn, Pontiac, or GMC are kind of useless outside the US, but Hummer is recognized internationally. The butch, macho attitude of Hummer would also suit the Middle East and Russian markets and, to a lesser extent, places like China and Brazil.

My guess would be that the nationality of Hummer's new owner, when it is revealed, will be Chinese, as Chinese makers, more than any other, desperately need internationally recognised badges.

[odyssey2200]

How many of you guys who are asking WHY??
have actually driven one?

They are not that bad to drive but the materials do leave a lot to be desired in terms of the dash etc.

[AMG Merc]

odyssey2200 said:

How many of you guys who are asking WHY??
have actually driven one?

No need so long as ther'e a Range Rover Sport in the marketplace.

[deevlash]

Letting hummer go to a non US company has got to be pretty humiliating for them.

[Yeloperil]

Dummer would be an apt description for the corporate management who brought this piece of junk to the market and whilst ditching the Volt in preference to the Hummer. As a lesson in management vision and how to plan a long term strategy, when Toyota eventually took over from GM the position as number one global vehicle producer, they showed themselves to be hugely profitable whilst being capable of producing everything from an electric car to the worlds most reliable and preferred 4x4.

[Zad]

I realise that the commercial version has been watered down in recent years, but does the company still make the one that the military use? I can't see the US Govt allowing that to go to China.

[TheForceV4]

Zad said:

I realise that the commercial version has been watered down in recent years, but does the company still make the one that the military use? I can't see the US Govt allowing that to go to China.

Exactly what I was thinking. Surely not as far as I am aware the military one is still in production.

[Taffer]

TheForceV4 said:

Zad said:

I realise that the commercial version has been watered down in recent years, but does the company still make the one that the military use? I can't see the US Govt allowing that to go to China.

Exactly what I was thinking. Surely not as far as I am aware the military one is still in production.

AFAIK GM have nothing to do with the original H1 - the company that makes the military HMMWV sold the rights to the Hummer name to GM, and produced the H1 and H2 for them. GM then built the H3 at its own facilities.

[Shiny Side Up]

The military Humvee is made by AM General, an independent company not related to GM. The H1 was based on the Humvee but the H2 and H3 are based on different (GM) vehicles, they're just designed to look similar. Hence the US Military's use of the Humvee will be unaffected by this, that said though it's an ancient vehicle no longer being asked to do what it was designed for so the US Military are in the process of replacing it anyway.

[mark3man]

deevlash said:

Letting hummer go to a non US company has got to be pretty humiliating for them.

Hmmm, seem to remember Land Rover (eventually) went to BMW, and has now moved on from FMC. Does it matter ? Capital is just one part of the mix needed to create vehicles. Design and facilities are 2 more. Market usually is but GMs woes are based on making what the market really didn't want. Including the Hummer.

[Fetchez la vache]

mark3man said:

deevlash said:

Letting hummer go to a non US company has got to be pretty humiliating for them.

Hmmm, seem to remember Land Rover (eventually) went to BMW, and has now moved on from FMC. Does it matter ? Capital is just one part of the mix needed to create vehicles. Design and facilities are 2 more. Market usually is but GMs woes are based on making what the market really didn't want. Including the Hummer.

Quite. Not to mention Aston Martin, Bentley, Rolls, Jaguar... any more prestige British marques I've missed?
Thing is aside from the patriotic hit, it's not always a bad thing... as seems to have been proven by the 4 above