GM Said to Not Win Chinese Approval for Hummer Sale (Update2)

[dvl57]

From GM's website:

http://media.gm.com/content/media/us...eb/0224_hummer


I guess there won't be a 2010 H2 model....or any other Hummers.

I wonder if the dealers will be closing their doors soon.

Its kind of hard to imagine no more Hummers.

[sleeve]

BREAKING: GM announces Hummer sale cannot be concluded, brand to be wound down
by Chris Paukert (RSS feed) on Feb 24th 2010 at 3:16PM



Although it has been evident for some time that General Motors' sale of its Hummer brand to Sichuan Tengzhong Heavy Industrial Machines Co., Ltd., we didn't expect for word to come down today that the negotiations are dead and the brand will be wound down. Unfortunately, judging by a press release just issued by GM, that's exactly what will be happening. According to John Smith, GM's vice president of corporate planning and alliances,

"One year ago, General Motors announced that we were going to divest Hummer, as part of focusing our efforts on Chevrolet, Buick, GMC and Cadillac going forward. We have since considered a number of possibilities for Hummer along the way, and we are disappointed that the deal with Tengzhong could not be completed."

As we learned from the Saab sale saga, GM announcing that the brand will be wound down does not completely extinguish hope for another buyer to slip in in the 11th hour, but it does seem highly improbable that a new party will pick up where the negotiations with China's Tengzhong left off.

In the statement available after the jump, GM does not specify what killed the planned sale of the brand, but rumors in recent months suggested that the Chinese government was not keen to sign off on the deal. At the moment, it is unclear what will happen to Hummer's H2 and H3/H3T models, but it is likely that the tooling and manufacturing rights will be sold off to other companies. It is also unclear how many employees will be out of work as a result of the closure.

As with the wind-down of its Saturn and Pontiac brands, GM has pledged to honor Hummer warranties and continue to supply service and parts

[HumminNBoatin']

Sad news, very sad. Another American company down the tubes......

[DRTYFN]

http://www.washingtonpost.com/wp-dyn...022401259.html

[timgco]

ughhhhh!!!

....glad I have one now, because they're only going to get harder to find now...in good shape that is.

Well, on to the next brand to get cut!

Now, how many dealers will be left in 6 months. Your local GM dealer will be diong the warranty work soon. ..at least that's what I expect.

[pdxrealtor]

I missed this post before I started another..

But here is the link from the wsj

http://online.wsj.com/article/BT-CO-...atestHeadlines

I just heard it on FOX report.

[DRTYFN]

Originally Posted by pdxrealtor

I missed this post before I started another..

But here is the link from the wsj

http://online.wsj.com/article/BT-CO-...atestHeadlines

I just heard it on FOX report.

Subscriber only.

[StockStar]

Originally Posted by timgco

ughhhhh!!!

....glad I have one now, because they're only going to get harder to find now...in good shape that is.

Well, on to the next brand to get cut!

Now, how many dealers will be left in 6 months. Your local GM dealer will be diong the warranty work soon. ..at least that's what I expect.

Harder to find? ummmm. Tons of h2 for sale under 30K. Do you think this will drive down the resale and the price of existing 2005-2007 h2's?

[Intercooled]

Originally Posted by StockStar

Harder to find? ummmm. Tons of h2 for sale under 30K. Do you think this will drive down the resale and the price of existing 2005-2007 h2's?

Drive down??!! Prices will slowly climb. No more will be made, they will slowly become collectible.

[Intercooled]

This is sad, but I never really understood dealing with the Chinese anyhow, especially when they started talking about getting regulatory approval. Didnt they remember that the Chicoms dont have a free market society and that the way the green movement is working its way into every thing? I'm sad Hummer wont continue (for now) but once again disgusted with GM. They cant cant get anything right. I wonder of being government owned had anything to do with this out come, hmmmm.

[Viet Nam Vette]

I think some one will step up and go for HUMMER... Who else makes a rig like HUMMER.. Sure ther are the a few Multi 100K SUV's out there but none like the HUMMER H2 for the price.

Sometimes I wonder if the guys in the GM Board room are smoken Crack.
GM still has to sell off the tooling to some one for the H3... Don't know if AMG owns the tooling for the H2 or not but some one will buy it and continue to make spares.

Or maybe the off shore private deal will go down. I hope so... Hate to see the Beast Go.

[StockStar]

Originally Posted by Intercooled

Drive down??!! Prices will slowly climb. No more will be made, they will slowly become collectible.

Yes.. drive down.I just don’t see this GM brand being any kinda collectible or one that will be highly sought after. They want them off the lots. The dealer here has had the same 8 h2's for sale for the last 8-10 months. I've seen an 07 Lux with 24,000miles price cut from $31,000 to $27500 in the last two weeks at the dealer here. I've also see an 05 lux with 50k sell for 23k. Only time will tell, but I hope some one picks them up. Such a fine vehicle

[HummerMann]

It's a sad day for Hummer! The environmentalists and tree huggers got it in their sights and then gas prices went up. I'm just glad I've gotten to own two H2s, both new from the dealer and the best vehicles I've ever owned.