GM Won't Provide Production Estimate For 3Q
01 Juli 2009 - 9:16PM
Dow Jones News
General Motors Corp. (GM) declined to provide a production
estimate for the third quarter citing its continuing bankruptcy
process.
The auto maker is in the process of selling three of its brands,
which could affect plant output, said GM's sales analyst Mike
DiGiovanni. GM is working to sell Hummer, Saturn and Saab.
"We expect that once the sales close we will be in a position to
provide this figure, we just think that where we are right now in
the court sales process, not coming out with a number right now is
probably the prudent thing to do," DiGiovanni said.
GM filed for bankruptcy June 1 after failing to orchestrate an
out-of-court business restructuring that met federal government
expectations. GM is in the process of breaking itself into two
companies in which the underperforming assets will be
liquidated.
Competitor Ford Motor Co. (F), meanwhile, boosted its
third-quarter U.S. production target for a second time earlier this
week.
The company intends to build 485,000 new cars and light trucks
during the quarter, a 16% increase over the 418,000 produced in the
year-ago quarter.
The move marks the first time in two years that Ford's quarterly
production will be increased year-over-year, and comes amid fresh
signs that the downturn in U.S. auto sales may be abating.
-By Jeff Bennett, Dow Jones Newswires;
jeff.bennett@dowjones.com; 248-204-5542