Category Archives: General Motors

News about General Motors automobile manufacturer. News about General Motors recalls, technical service bulletins (TSB), and problems regarding General Motors vehicles.

Auto Industry Seeing Imprpovements?

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General Motors Co. said Tuesday that they plan to pay off their government loans this year, five years ahead of schedule. They say that production and sales have increased in the beginning of 2010 and repaying government loans has been a top priority. The government’s autos task force set a repayment deadline of 2015, but GM has already paid back $2.4 billion and plans to pay the rest by June. The money is expected to come from public stocks which will be offered when the markets and the company are ready.

But GM may have some competition. Ford Motor Co., which didn’t take government aid, reported a $2.7 billion profit for 2009, outselling GM in February for the first time in over a century. Toyota Motor Corp. came close to outselling GM last month when it used heavy incentives to lure buyers after a series of safety recalls.

Things are also on the mend at Chrysler Group LLC, which also went into bankruptcy protection last year and is now managed by Fiat SpA. Chrysler CEO Sergio Marchionne said last week that the automaker has $5 billion in cash on hand and expects to break even this year.

But the improvements in the auto industry has come with sacrifices. Auto manufactures were forced to downsize by stopping production or selling off some brands, closing down dealerships and laying off thousands of employees.

GM Installs Brake Override System

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As federal regulators consider making brake override systems mandatory on all vehicles, General Motors is taking the initiative to install the system in all its new vehicles world wide by 2012.

GM has not had major problems with unintended acceleration, but the company said it was taking the step as a means of reassuring customers about the safety of its vehicles. GM plans to install the software for the system in the electronic throttle control systems of newly manufactured vehicles. The automaker already used it in several models in the United States, mostly high horsepower vehicles like the Chevy Corvette.

GM Dealership Closures Sketchy

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It was good news for General Motors dealerships when earlier this month GM announced it would keep over 600 dealerships open. Despite a congressional deadline of July 15, many dealerships targeted for closure are still not sure which dealerships will be closed and which will be saved. According to attorneys and auto industry executives, some dealerships are in negotiations while others have heard no news at all.

Details are limited due to a confidentiality agreement between GM and the dealers. Dealers don’t want customers to know they might close chasing away potential buyers of vehicles still on the lot. GM has also declined to identify dealers, saying it is up to the dealers to disclose whether they were being reinstated or not.

GM Developing Heads Up Display For Autos

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General Motors R&D, Carnegie Mellon University and The University of Southern California are working together to develop a heads up display for automobiles. Working similar to the heads up displays for aircraft, the technology will make driving at night and in bad weather safer.

The vehicle will be armed with infrared cameras that identify where the edge of the road is and lasers will be used to paint the edge of the road onto the windshield so the driver can see it. When driving in weather with reduced visibility the enhanced vision system combines night vision with the head-up system to identify and highlight the precise location of people, animals, and even road signs along the side of the road that they may not be seen by the driver

Enhanced vision systems are a 21st Century take on Head up display technology that GM was the first to market in 1988. They were designed to help keep driver attention on the road by displaying important information such as vehicle speed, lane change indicator status and vehicle warning messages directly into the driver’s field of vision. Heads up display systems are currently available on the GMC Acadia, Chevrolet Corvette, Buick LaCrosse and Cadillac STS.

GM Dealerships To Stay Open

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Last year General Motors announced that they would be closing dealerships due to the low demand for cars and trucks. Many dealerships argued the decision saying the auto maker did not offer enough details explaining how they decided which ones would be closed. Complaints to congress lead to a bill giving dealerships a chance to dispute their closure depending on their past success. This week GM announced that it will be reinstating more than half of the dealerships that disputed the closures. GM executives said that more than 600 dealerships out of the 1,100 seeking to stay open with GM will receive letters giving them the option to remain with the auto maker.

Below is GM’s statement regarding the dealer arbitration:

General Motors is taking a major step toward its goal of creating positive, lasting relationships with its dealers.

GM carefully reviewed each of the approximately 1,100 dealer reinstatement claims that were filed with the American Arbitration Association. We conducted these individual reviews, keeping in mind our goal of moving quickly and effectively to complete the overall arbitration process, and determined that we would send more than 600 Letters of Intent to the involved dealers. The Letter of Intent contains our usual core business criteria. This action will allow these dealers to conduct normal dealership operations as soon as they comply with the terms of the Letter of Intent.

“We are eager to restore relationships with our dealers, and get back to doing what we do best – selling cars and taking care of customers,” said Mark Reuss, president, GM North America. “The arbitration process creates uncertainty in the market. We believe issuing these Letters of Intent is good for our customers, our dealers and GM.”

GM Power Steering Recall

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General Motors announced Monday that they will be recalling 1.3 million Chevrolet and Pontiac Compact cars for power steering problems. The National Highway Traffic Safety Administration (NHTSA) began an investigation into the problem on Jan. 27 after getting 1,100 complaints of cars loosing power steering assist. The complaints included 14 crashes and one injury.

The auto maker said the vehicles are still safe to drive and never totally lose their steering, but consumers will notice harder steering when traveling under 15 mph. Shutting the vehicle off and then restarting will usually restore the power steering. The auto maker will start with older models first because the problem usually takes 20,000 to 30,000 miles of driving for the condition to develop.

The recall covers:

  • 2005 to 2010 Chevrolet Cobalts
  • 2007 to 2010 Pontiac G5s
  • 2005 and 2006 Pontiac Pursuits
  • 2005 and 2006 Pontiac G4s

Toyota Ranks Well In Consumer Reports

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After all the news we have been hearing about Toyota and their problems, Consumer Reports still ranks Toyota vehicles as number three. (The same ranking as last year.) The rankings are based on performance, comfort, utility and reliability of over 280 different vehicles.

“Toyota builds extremely good, reliable cars”, said David Champion, senior director of Consumer Reports’ Auto Test Center. “I think once they get through all the recalls you will see that they are a very reliable manufacturer.” The magazine ended up dropping a couple of Toyota models from the Top Picks after the company suspended sales because of the recall. Since the vehicles were not for sale at the time, they could not make the list.

Honda (which includes Acura models) and Subaru were tied for first place, the fourth year that Honda was the leading manufacturer. They were followed by Toyota, and Hyundai (including Kia) which was ranked fourth, up from ninth last year. American manufacturers fared poorly. Ford was ranked eleventh, moving up one place from last year. General Motors and Chrysler occupied the bottom two slots, respectively.

California The First To See The Volt

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General Motors Co. Vice Chairman Bob Lutz announced that when their Chevrolet Volt rolls off the assembly line, California will be the firsts market to see them in the show rooms. GM will provide 100 Volts and 500 charging stations for California utility companies in early 2011 for road testing. California was chosen as the first “test site”, because of it’s tax credit offerings, and infrastructure to accommodate electric cars.

The volt will be designed to comply with all overseas regulations in the hope of making it an international car. “This is uncharted territory for us,” Lutz said, but we expect to sell between 100,000 to 150,000 plug-in hybrids each year.