GM Cuts '05 Earnings Outlook by 80%.

Discussion in 'OT Driven' started by ZAQ786, Mar 16, 2005.

  1. ZAQ786

    ZAQ786 BMW: The reason Lexus is still 'In the pursuit of

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    http://story.news.yahoo.com/news?tmpl=story&cid=580&ncid=580&e=1&u=/nm/20050316/bs_nm/autos_gm_dc

    :eek3:
     
  2. Meat Popsicle

    Meat Popsicle What's that smell? OT Supporter

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  3. Slappy3243

    Slappy3243 Ello?

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  4. AlkyHauler

    AlkyHauler Do you feel lucky punk? OT Supporter

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    80 fucking percent?????? :ugh:
     
  5. thewise1

    thewise1 Guest

    holy hell
     
  6. 2.5RS

    2.5RS Guest

    People are seeing the light!
     
  7. The Polish Ambassador

    The Polish Ambassador OT Supporter

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    :werd:
     
  8. tzedek

    tzedek OT Supporter

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  9. ZAQ786

    ZAQ786 BMW: The reason Lexus is still 'In the pursuit of

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    :werd: think about the layoff's this year
     
  10. Dos Equis4

    Dos Equis4 nebraska democrat (oxymoron?)

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    80% is rediculous and makes zero sense. Especially when they say "GM said its previous outlook was based on North American vehicle-production volume of 1.25 million vehicles, but since then production schedules have been reduced by about 70,000 vehicles and pricing competition has been tougher than expected in North America."

    70,000 of 1.25 million vehicles... thats not 80% of their profits.
     
  11. 2.5RS

    2.5RS Guest

    Thank the union.
     
  12. ZAQ786

    ZAQ786 BMW: The reason Lexus is still 'In the pursuit of

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    no, but it also say...and pricing competition has been tougher than expected in North America. which i think are talking about rebates and how they affect the profit.
     
  13. grooves12

    grooves12 New Member

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    I beleive they are talking PROFITS... not earnings, and with the current situation for the car market where they are BARELY making profits on each vehicle sold, that is not that big of a deal. If you read further down the article you will see projected vehicle production is onle expected to be down 70K from 1.25million vehicles. That's only a reduction of 5%
     
  14. Swoop411

    Swoop411 New Member

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    That is crazy!
     
  15. 2.5RS

    2.5RS Guest

    :agreed:
     
  16. The Polish Ambassador

    The Polish Ambassador OT Supporter

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    ,
     
  17. grooves12

    grooves12 New Member

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    People aren't buying cars... people that needed new ones have already taken advantage of all the rebate offers when they were at their peak. GM has static costs such as operating plants, transporting materials, transporting vehicles, etc. So a 5% cut in production can be pretty significant, especially when you consider that profit margins are shrinking on cars, low interest rates are affecting their income from financing loans, and because of poor sales they have to increase marketing costs to attract more customers.
     
  18. i300zxtt

    i300zxtt New Member

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    Perhaps noone really wants to buy the 8.1 liter 'burban with 8mpg anymore?
     
    Last edited: Mar 16, 2005
  19. Glad I don't own any of that shitty stock
     
  20. Slappy3243

    Slappy3243 Ello?

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    The import SUV's get horrible gas mileage as well.
     
  21. ZAQ786

    ZAQ786 BMW: The reason Lexus is still 'In the pursuit of

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    no, but it also say...and pricing competition has been tougher than expected in North America. which i think are talking about rebates and how they affect the profit.
     
  22. grooves12

    grooves12 New Member

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    I understand that... see my other post above. I was just helping out for the other person who couldn't figure out the 80% figure.
     
  23. 2.5RS

    2.5RS Guest

    Don't they make a huge amount on the sales of pick up trucks?
     
  24. B-Lo

    B-Lo The new beast mode :x:

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    Yeah because the non union secretary making 50k+ has nothing to do with high salary levels.
     
  25. ZAQ786

    ZAQ786 BMW: The reason Lexus is still 'In the pursuit of

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    Oh, never mind. :)
     

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