Just over 1/2 of 1% of anything is a paltry number

November 27, 2012

… unless you are a fact-free Enviro-Mental – in which case it is cause to revel.

These (electric/hybrid) vehicles were 0.65 percent of total North American sales, again a best-ever performance.

If that’s a record – more than a decade and about $6.5 billion-in-government-subsidies-just-since-2008 into the experiment – it may be time to end the experiment.

Does lead Enviro-Mental President Barack Obama think so?  Not so much.

Obama’s Goal: One Million Electric Vehicles By 2015

Some car manufacturers, however, are reaching this eminently logical conclusion.

Read the rest of this entry »


GM rolls out new electric mini-car at LA Auto Show [Doubling Down on Failure]

November 27, 2012

DETROIT (AP) — General Motors is giving its Chevrolet Spark a jolt of electricity.

An all-electric version of the mini-car will debut this week at the Los Angeles Auto Show. It goes on sale this summer in California, Oregon, Canada and South Korea, where it’s made. Other markets will follow.

Unlike the Chevrolet Volt sedan, which can run in all-electric mode but also has a backup gas engine, the Spark EV is a pure electric. GM won’t say how far the car will go on a charge, but says it will be a top performer among the small number of EVs available. The current leader, the electric Ford Focus sedan, can go 76 miles on a charge.

Read more at hosted.ap.org …

Is it any wonder GM stock is tanking? Who wants to drive a golf cart?

Wheel chock for the semi that just hit you.

Before a Single Battery Is Produced: Plant that got $150M in taxpayer money to make Volt batteries furloughs workers

October 9, 2012

“Had it been private investors rather than government bureaucrats making the decision, there either would have been a reality check about the industry.”

– Paul Chesser, National Legal and Policy Center

But since it’s just taxpayer money non harm, no foul…. give them the money.

FNC reports:

President Obama touted it in 2010 as evidence “manufacturing jobs are coming back to the United States,” but two years later, a Michigan hybrid battery plant built with $150 million in taxpayer funds is putting workers on furlough before a single battery has been produced.

Workers at the Compact Power manufacturing facilities in Holland, Mich., run by LG Chem, have been placed on rotating furloughs, working only three weeks per month based on lack of demand for lithium-ion cells.

The facility, which was opened in July 2010 with a groundbreaking attended by Obama, has yet to produce a single battery for the Chevrolet Volt, the troubled electric car from General Motors. The plant’s batteries also were intended to be used in Ford’s electric Focus.

Production of the taxpayer-subsidized Volt has been plagued by work stoppages, and the effect has trickled down to companies and plants that build parts for it — including the batteries.

“Considering the lack of demand for electric vehicles, despite billions of dollars from the Obama administration that were supposed to stimulate it, it’s not surprising what has happened with LG Chem. Just because a ton of money is poured into a product does not mean that people will buy it,” Paul Chesser, an associate fellow with the National Legal and Policy Center, told FoxNews.com.

The 650,000-square-foot, $300 million facility was slated to produce 15,000 batteries per year, while creating hundreds of new jobs. But to date, only 200 workers are employed at the plant by by the South Korean company. Batteries for the Chevy Volts that have been produced have been made by an LG plant in South Korea.

The factory was partly funded by a $150 million grant from the U.S. Department of Energy. LG also received sizeable tax breaks from the local government, saving nearly $50 million in property taxes over 15 years and another $2.5 million annually in business taxes. Landing the factory was hailed as a coup when shovels first hit the ground.

Pentagon buying Chevy Volts to ‘green up’ military

September 10, 2012

Hey it’s Obama’s military now… What did you think they would do to support Obama Brackwards….

The Pentagon is buying Chevrolet Volts to help “green up” the military—while propping up sales of the bailed-out automaker’s most politicized car.

The Department of Defense began purchasing the struggling luxury electric car, which retails at $40,000, this summer as part of its goal to purchase 1,500 such green vehicles. The Marine Corps Air Station in Miramar, Calif. purchased its first two Volts in July, and 18 more vehicles will come shortly to Joint Base Andrews in Maryland, where Air Force One is based, according to military magazine Stars and Stripes.

Insight: GM’s Volt – The Ugly Math Of Low Sales, High Costs

September 10, 2012

General Motors Co sold a record number of Chevrolet Volt sedans in August — but that probably isn’t a good thing for the automaker’s bottom line.

Nearly two years after the introduction of the path-breaking plug-in hybrid, GM is still losing as much as $49,000 on each Volt it builds, according to estimates provided to Reuters by industry analysts and manufacturing experts.

Cheap Volt lease offers meant to drive more customers to Chevy showrooms this summer may have pushed that loss even higher. There are some Americans paying just $5,050 to drive around for two years in a vehicle that cost as much as $89,000 to produce.

And while the loss per vehicle will shrink as more are built and sold, GM is still years away from making money on the Volt, which will soon face new competitors from Ford, Honda and others.

GM’s basic problem is that “the Volt is over-engineered and over-priced,” said Dennis Virag, president of the Michigan-based Automotive Consulting Group.

And in a sign that there may be a wider market problem, Nissan, Honda and Mitsubishi have been struggling to sell their electric and hybrid vehicles, though Toyota’s Prius range has been in increasing demand.

GM’s quandary is how to increase sales volume so that it can spread its estimated $1.2-billion investment in the Volt over more vehicles while reducing manufacturing and component costs – which will be difficult to bring down until sales increase.

Tehe doom of the quest to sell something people don’t want to buy … Liberalism. when was the last time in the last months, you drove down to the Chevy dealer to look at a Chevy Volt? Ah that’s the problem.

What’s That Smell? It’s GM, Cooking The Books — Sizzling

August 3, 2012

Not good, Government Motors and Union retirement co, is not doing what it’s supposed to. It thinks it’s supposed to give jpbs to people and support the community. When it’s really supposed to build and sell cars people want to buy. Chrysler is doing fine, so far. GM, not so much so.

GM posted better quarterly numbers today than analysts expected. Instead of jumping on the news, the GM share is down at the time of this typing? Why? Analysts and financial reporters quickly caught on to an old trick that has an air of despair: GM delayed spending into the next quarter.

Says Reuters:

“General Motors posted a stronger-than-expected quarterly profit as its loss in Europe was not as bad as feared, and its results were boosted by delayed spending in North America.”

GM reported $0.90 earnings per share for the quarter, the consensus estimate expected $0.79. GM’s revenue for the quarter was down 4.6% on a year-over-year basis.

The street quickly caught on to the shifty shifting of expenses and profits.

Again, Reuters:

 “However, GM, which delayed the spending to the third quarter, said its average profit outlook for the second and third quarters combined in North America would still be the same as previously forecast, suggesting analysts will need to cut their estimates for the third quarter.

GM had previously said its second and third quarter operating profit in North America would be similar to the $1.7 billion it reported in the first quarter. It earned $1.97 billion in the second quarter, implying it will earn about $1.4 billion in the third quarter, analysts said.”

Analysts also don’t buy that things are suddenly peachier in Europe. Said Jefferies analyst Peter Nesvold:

“I feel like Europe will continue to be a black hole until we’re at least able to frame the magnitude of the downturn. They showed some nimbleness in this quarter that they have not shown so far since the new GM went public. People will remain skeptical though before they want to give them any credit.”

Why not get rid of models no one wants to buy, like the Volt?

Obama Boosts GM With Fleet Sales; Localities Buy Police Cars With Federal Money

August 2, 2012

When you’re Government Motors, we have no competition.

The things you can do, to make dismal results look cool … OK, so who is fooling who?

General Motors announced an increase in government purchases of 115% in July. This follows June’s jump in government fleet sales of 79%.

Just what’s going on? GM has claimed that it is localities (mostly for police vehicles) and not federal purchases driving the increases, but aren’t localities struggling with their budgets? Why do the nation’s police forces all of a sudden need new vehicles?

A little research uncovers that the Obama Administration is once again being generous with federal grants to localities to purchase new cars, with one of the primary end recipients of taxpayer money being GM.

Spreading the wealth. The feds give the money to local governments so local governments can by Government Motors cars. Hey did you know Government Motors still owes $42 billion on their bailout?

Any large increase in federal purchases of GM vehicles would be criticized, but giving taxpayer money to local police forces to buy the cars is defensible. Hides the truth.

It seems dubiously orchestrated that GM would make sure that they attributed the unusual increase in government fleet sales to localities rather than federal purchases. It’s almost like money laundering where taxpayer money gets filtered though grants to localities and then gets back to GM via purchases of police vehicles and such (this is also a trick that has been used to promote the Chevy Volt).

It’s like how teachers unions hide that the teachers unions all support Democrats, with their raises they get from government. Money laundering.

Of course, the grants for law enforcement will be defended as a noble spending of taxpayer money to fight crime. But why did localities all of a sudden need to buy about double the amount of vehicles that they did last year?

Hold on to your hats as you hear how Jersey City bought $12 million worth of new vehicles with federal grant money and then said the vehicles would not be used on a regular basis.

So, by hook or by crook, GM will be selling vehicles and proclaiming how successful they are as Obama continues to campaign on that same “success.” With $50 billion of taxpayer money handed to them and such “success”, you have to wonder why GM’s share price has gone from a $33 IPO price down to the current $20 range. More importantly, you have to wonder how America can continue to afford to throw money away to help give the perception that GM is an Obama success story.

I wonder how many people know what is really going on …. And the Union Workers all cheer.

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