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Chevrolet Volt
GM isn't going to let a little thing like a lack of money prevent the Volt from coming to market in 2010

General Motors has been in a downward spiral all year with lagging sales and losses in the billions. GM and its cross town rival, Chrysler, asked Congress for monetary assistance to stave off bankruptcy by the end of the year. In the end, the Senate failed to hand over even $14 billion USD to the two struggling Detroit giants.

Now as the White House mulls what plan it will present to help GM and Chrysler stay in business during 2009, GM is stating that it will bring the Chevrolet Volt to market no matter what. This confidence in the Volt program comes despite that fact that GM announced yesterday that it would halt the production on a new engine assembly plant which will produce the 1.4-liter gasoline engine/generator for the vehicle.

Despite the setback with the engine assembly plant, billions of dollars in losses, and a production schedule that leaves little room for error, GM is still committed to bring the Volt -- and the Chevrolet Cruze -- to market by the end of 2010 as it has always stated.

If the engine assembly plant is unable to be completed in time to get the production Chevrolet Volt and Cruze out the door in 2010, GM will be forced to rely on one of its overseas facilities to produce the engine according to the Wall Street Journal. Interestingly enough, the Chevrolet Cruze is already available in overseas markets like South Korea albeit with a 1.6-liter four-cylinder engine -- two years ahead of the car’s North American launch.

"Everything that involves heavy cash outlays obviously is under review," said GM spokeswoman Sharon Basel on Wednesday. "Our intent is to still go forward with a new facility bringing that engine to Flint, Michigan."

"Although we are temporarily absolutely stopping all work on everything, the Volt will be out as originally scheduled," added one GM executive.

GM is banking on the Volt to bring it some of the same positive press that has been bestowed upon the Toyota Prius. However, the Prius and its rival, the Honda Insight, have base prices below the $24,000 mark. The Volt, however, will be priced near or will surpass the $40,000 mark before a $7,500 tax credit.

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with what money?
By HighWing on 12/18/2008 4:00:35 PM , Rating: 1
Seriously was it not GM that said they did not have enough money to even last another year if the govt. did not give them more money?

So if they supposedly do not have the money to stay in business until 2010, how can they possibly plan to launch a new vehicle then? Unless they were lying about about just how bad their money problems really are.....

RE: with what money?
By The0ne on 12/18/2008 4:11:57 PM , Rating: 2
IMO I think this is more PR than anything else. They won't have the money to do much at all in this stage. At the rate they are burning money they won't have enough to do Sales, Marketing, PR's, tours, shows, and so on.

Even with monetary aid, I don't think they're in a situation to do much except and hopefully do some internal restructuring. The monetary aid they're asking for isn't going to last and isn't enough to fix their problems to begin with.

RE: with what money?
By Spuke on 12/18/2008 6:58:58 PM , Rating: 2
They're already doing sales, marketing, PR, tours, shows, and etc with the Volt. LOL! And most of the money has already been spent on the Volt. They just have to start building them.

RE: with what money?
By HighWing on 12/19/2008 2:19:06 PM , Rating: 2
and why am I rated down already with the only reply being two posts proving my point?

come on if your gonna rate me down at least say why?

RE: with what money?
By hashish2020 on 12/22/2008 11:44:28 PM , Rating: 2
Um, you do realize that the reason they were burning through money so fast and using up so much of their credit lines was BECAUSE they were finally investing in their company instead of cost cutting like hell for once.

"Intel is investing heavily (think gazillions of dollars and bazillions of engineering man hours) in resources to create an Intel host controllers spec in order to speed time to market of the USB 3.0 technology." -- Intel blogger Nick Knupffer

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