[Absolut Speed]

Last fall, GM announced a reduction in GTO production and had to offer large rebates on this brand new model to sell off inventory

In December, GM had a 301 day supply of SSR's on hand.

Then the XLR gets a production cut from 23 to 12 a day. There's a 200 day supply of them out there. Cadillac hoped to sell 6,000 annually, but through 18 months, sold just 4,744.

February, GM decides to cut $1500-$2000 off the sticker mid-year on Trailblazers/Envoys/Rainiers and currently has 0% for 60 months to get them selling again. TrailBlazer sales fell 46% compared with January 2004. Envoy sales were off 52% and Rainier 27% according to Autodata reports.

Then for March, the factory that produces the LaCrosse & Grand Prix is shutting down for a week.

Then the earnings forecast for 2005 drops 80%. Stocks drop to 8 year low.

I think this goes back to cutting the Camaro and Firebird out of the lineup.

[JonV]

You know, all of you missed one of the biggest contributors to GM's demise. The cost of their pensions and the like for retired employees is astronomical. I seem to remember for every car they sell about $1500 of it goes to paying for their employee's pensions and healthcare.

Far as I'm concerned that is their own stupid fault. I am a teacher in the Province of Ontario. Up until about 15 years ago the province ran our pension plan and was consistently coming up short. One of the big brusing strikes we engaged won us the right to manage our own pension. It is now the envy of country and is probably recognized around the world as one of the most successful and powerful pension funds going. Why the heck can't GM and it's employees do something similar?