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Wednesday, 13 May 2009 16:59

Dealers Fight to Slow Store Closings

More than 100 dealers met with House and Senate members to encourage them to ask President Obama's auto task force to slow down plans to reduce General Motors' and Chrysler's dealer networks.

In what sounds like the closest step yet to a Manhattan Project for the auto industry, General Motors and the University of Michigan on Thursday announced the formation of the Institute of Automotive Research and Education. Priorities include helping to improve fuel economy, speeding electric vehicles to market and studying smart materials that will replace mechanically operated vehicle components.

Ford Motor Co., the only U.S. automaker operating without federal bailout loans, burned through $3.7 billion in cash during the first quarter in posting its fourth straight quarterly loss.

 

General Motors lost $6 billion in the first quarter and its revenue fell by nearly half as car buyers worldwide steered clear of showrooms out of fear that the wounded auto giant may go bankrupt and stop honoring its warranties.

Wednesday, 06 May 2009 05:01

Chrysler's Chapter 11 opens door for GM's

JPMorgan analyst Himanshu Patel says there's a 60% to 80% chance GM will default.

Wednesday, 06 May 2009 06:00

Deal Struck on 'Cash for Clunkers'

The cash-for-clunkers plan would run for one year, offering vouchers to people who trade in vehicles with average city/highway fuel economy of less than 18 miles a gallon to buy a more-efficient new car or light truck. The proposed program would offer the maximum $4,500 voucher for people to use to buy a car that gets at least 10 more mpg or a truck that is at least five mpg more efficient. The program is designed to spur some one million purchases of new cars or trucks to support the ailing auto industry.