AutoforumOnline.nl

egmCarTech.com schreef:BREAKING: Tengzhong unable to complete Hummer purchase, brand to be wound-down

General Motors just announced that Chinese company Sichuan Tengzhong Heavy Industrial Machines Co., Ltd. (Tengzhong) was unable to complete the acquisition of Hummer. The Detroit automaker said that it will begin the orderly wind-down of the Hummer operations.

“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,” said John Smith GM vice president of corporate planning and alliances. “GM will now work closely with HUMMER employees, dealers and suppliers to wind down the business in an orderly and responsible manner.”

GM said that it will continue to honor Hummer warranties, while providing service support and spare parts to current Hummer owners.

egmCarTech.com schreef:GM examining offers for Hummer from other bidders

In the wake of the collapsed bidding process by Sichuan Tengzhong Heavy Industrial Machinery to acquire Hummer, GM is examining prior bids with a fresh look. In a situation reminiscent of that with Saab, the company however will begin the winding down process while examining bids. Hummers chances of resurrection however, are significantly lower than that of Saab.

Hummers sales took the biggest hit in the injury as they showed a 67% decline last year.

Having been sold to civilians since 1992, the Hummer was selling between 800 and 1,000 civilian units in 1999, when GM brought the brand, and after the inception of the H2, civilian U.S. sales peaked at 71,524 units in 2006. After a steep incline in gas prices, sales dwindled last year to an astronomically low 9,046 units last year.