GM offering buyouts and bonuses to HUMMER dealers

[Klaus]

GM offering buyouts and bonuses to HUMMER dealers

Posted Jul 28th 2008

Taking heed of lessons learned when it shed the Oldsmobile brand, General Motors is quietly negotiating with HUMMER dealers to prevent lawsuits if the brand is sold or extinguished. Even though confidentiality agreements have been signed, HUMMER dealers are reporting heavy discussions with GM to buy back stores and compensate owners. GM has even paid second- and third-quarter bonuses (averaging six figures) in advance. June delivered gloom to HUMMER as the brand's sales fell 59.3 percent (to just 2,072 units) as near $5-per-gallon fuel prices began flowing through pumps. If that weren't bad enough, the rugged off-road brand was hit with another mass exodus of sales on GM's announcement that HUMMER might be sold. With sales falling, experienced dealership staff leaving, and fuel prices still up in the air, GM's Jeep-fighting brand has literally fallen off the road.

[Source: Automotive News, subs. req'd, Photo by Scott Olson/Getty]

http://www.autoblog.com/2008/07/28/g...ummer-dealers/

[Desert Dan]

Sounds Bad

What is going to happen to the dealerships?

[KenP]

They should have gotten the little trucks out.

[HummerHippy]

Originally Posted by KenP

They should have gotten the little trucks out.

X2!

[BACKNBLACK]

Originally Posted by HummerHippy

X2!

As a 7 Time Hummer owner and Hummer Club owner, its a sad state of affairs when a company (GM) is willing to abandon its flagship 4x4 tride and true SUV Line. I have not been this upset since Am general sold to GM for who knows why. Iam just one person who loves Hummers but the fact remains people buying Hummers (Not all of us) buy the brand for its capabilties and not for looks. Off roading is a passion and a hobby for most but for some they buy it just to say they own one. GM better make the right decision and work this out otherwise they may as well sell to tata india at least we know that they wont sell out when times get rough.