Stories indexed with the term ‘GM’

When I talk to out-of-state relatives, they begin the conversation with the same pity-laden inquiry: “So how’s it going out there?” By “out there” they mean the state with the worst unemployment figures, rampant foreclosures, corrupt former mayors, headline-grabbing corporate meltdowns and enough clinical depression to put a squeeze on the country’s Zoloft supply.

Michigan’s slide into unwanted notoriety has been led by the collapse of the domestic automobile industry – once an engine for the economy, and now a drag both here at home and across the nation.

But unlike last winter (and spring, and summer), the news is looking a little brighter lately. Mind you, I’m not declaring “Mission Accomplished,” but the collective headlines that came out just this week could mean the auto industry, and by association the state of Michigan, could be on the mend. [Full Story]

One thing is certain in the automobile business. When you start peeling back the onion on the performance claims and quality ratings made by and for all of the automobile manufacturers, you better have a bottle of ibuprofen at the ready. General Motors’ recent announcement that the Chevrolet Volt will get 230 miles per gallon (mpg) certainly is no exception.

First, some disclosure for your reference. I have been a big fan of GM’s efforts to create its hybrid electric vehicle and felt for some time that the car could be a positive step forward for transportation in general. I’ve been a strong supporter of GM’s many efforts in alternative transportation, from hydrogen to ethanol, as well. There are plenty of detractors around these programs – and some of the criticism is warranted. But for a company so maligned by the public as being out of date, I’ve always felt GM got a bad rap seeing how they are doing at least as much as any other car company to find solutions that take petroleum out of the transportation equation.

With that said, I found myself scratching my head trying to absorb this latest news out from GM. In principle at least, it seemed as if the Environmental Protection Agency (EPA) had just given the Volt a 230 mpg fuel economy rating, more than 10 times the average fuel economy of other cars on the road. Fantastic or fantastical? [Full Story]

I held back submitting this monthly column until the end of March to see what latest theatrics would wash over the auto industry. I wasn’t disappointed. The Obama administration looked over the homework submitted by GM and Chrysler – homework designed to demonstrate how they were going to get out of their collective messes – and sent them back to detention to do it over again.

On top of it all, long-time CEO at GM Rick Wagoner was summarily dismissed, as if one lone auto executive had been responsible for creating an unworkable fiscal structure and a corporate culture developed over decades of booms and busts in the auto business. And just for good measure, the government is insisting that Chrysler and Fiat hook up – something they were bound to do anyway – making this requirement the equivalent of forcing children to eat dessert. [Full Story]