GM's SUV numbers continue to tumble
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JANESVILLE — While General Motors officials talked up their overall sales performance for December, the full-size sport utility numbers released Monday seem to put an exclamation point on automaker's decision to end production in Janesville.
GM said Monday it sold 211,104 Chevrolet Suburbans and Tahoes and GMC Yukon XLs and Yukons in 2008, down nearly 38 percent from 2007 and a whopping 58 percent from 2001, when GM delivered more than 505,000 of the big SUVs.
For the most part, the four models have been built at GM plants in Janesville and Arlington, Texas.
The sales decline followed rising gas prices and a consumer exodus to small, more fuel-efficient vehicles. It also triggered GM's announcement earlier this year that it would end production in Janesville in December, leaving the Arlington plant as the sole producer of the GM's big SUVs.
The Arlington plant and its 2,300 hourly workers also build the Cadillac Escalade and Escalade ESV. As a result of slow sales, GM extended the typical two-week holiday shutdown by an additional two weeks and will not restart production in Texas until Jan. 20
For 2008, Suburban sales were down 35 percent, while Tahoe deliveries dropped 37 percent. Yukon XL sales were off by 42 percent, and Yukon sales were down 38 percent.
For the year, GM delivered nearly 3 million vehicles while maintaining an expected market share just above 22 percent.
Last year's total sales were down 23 percent compared with 2007, which GM officials attributed to an economic downturn, sagging consumer confidence and a tightening in consumer credit markets.
GM officials, however, did take encouragement from December sales—down 31 percent from December 2007 but 43 percent ahead of those posted in November 2008.
"Given the ongoing challenges and the difficult market environment, we were very encouraged to see a volume rebound for GM in December compared with both October and November," said Mark LaNeve, GM's vice president of North America sales.
"We are building more vehicles than ever that provide great value and Americans enjoy owning. That is why, for the year, we are seeing our market share holding steady at just above 22 percent. That's 5 percentage points more and 760,000 vehicles more than our nearest competitor."
Jan 7, 2009 at 5:30 p.m.
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We posted this story because sales numbers for December and hence all of 2008 were reported Monday. That's news. Had the numbers reversed the trend, it would have been bigger news. Did we report the story to stir people up and sell newspapers? We don't work that way. We report the news, and people react as they will.
This is a local story stressing the local impact. Other stories about national numbers also appeared in the paper and on the Web site.
Scott W. Angus
Editor
Jan 7, 2009 at 8:44 a.m.
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The Joker the gazette wrote this article hoping to ruffle some feathers sense GM hasn't been in the big news topic for a week or so. Also newspapers sales are down and they would like a boost in sales. Also all the other vehicle makers sales are down not just GM, but they don't post that in there story!
Jan 7, 2009 at 6:40 a.m.
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My next vehicle will be a GM SUV. I'll convert it to a CNG with gas backup for long distant trips. State of Wisconsin won't be happy cause I'll be filling up at home letting other people pay gas tax & sales tax.
Jan 6, 2009 at 6:32 p.m.
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Arlington actually worked a few Saturdays in December & they were working 9 hour days. They were also told they may be scheduled 30 Saturdays for 2009. Then the next thing you know they get a few weeks of layoff. I think GM was trying to hold onto their cash until Obama gets into office. GM & Chrysler both closed most of their plants until inauguration day. I hope people who transfer to other plants hold onto their transfer $$ because GM isn't done shutting plants. Good luck to all looking for work.
Jan 6, 2009 at 4:47 p.m.
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how about Honda and Toyota also seeing a significant dip in their sales. Mercedes, I believe, had the largest at 38%. It is NOT a Janesville thing. It is NOT a UAW/overpaid worker thing. It is NOT a quality thing. It is NOT a gas thing. It IS a global economic thing.
Jan 6, 2009 at 11:36 a.m.
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Just because it's expected doesn't mean it isn't news.
Jan 6, 2009 at 11 a.m.
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In four years, the sales of SUV models built in Janesville and Arlington dropped over 50%. Wow. In 2006, GM even gained a little market share in this segment (while total sales fell), which means it was even worse for other companies.
Jan 6, 2009 at 10:58 a.m.
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"A reporter is reporting the news"
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This isn't news. A headline of "GM SUV Sales Suddenly Skyrocket" would be news. Declining SUV sales is status quo and suprises no one (except maybe GM).
Jan 6, 2009 at 10:49 a.m.
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Joker, The purpose of this article is to give the GM bashers something to do since its been a week or so since the last article about GM was printed and I'm sure they're getting bored with nothing to comment on!
Jan 6, 2009 at 10:34 a.m.
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RU beat me to it.
Jan 6, 2009 at 10:33 a.m.
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Big SUV sales will level off after this recession ebbs. They will probably be back to where they were in the late 80`s, about 250,000. Only 1 plant will be needed to supply that many.
Jan 6, 2009 at 10:33 a.m.
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The December 2008 sales numbers for all the manufacturers just came out. Considering how many people are still employed by GM, this is relevant.
Jan 6, 2009 at 10:30 a.m.
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This article may have been more local interest-but just to put things in industry-wide perspective: http://money.cnn.com/2009/01/05/news/com...
Jan 6, 2009 at 10:08 a.m.
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What's the purpose of this article? A reporter is reporting the news, that's his job. At least he still has one.
We'll see what 2009 brings.
Jan 6, 2009 at 10:04 a.m.
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What is the purpose of this article?!
Jan 6, 2009 at 9:58 a.m.
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When you're hot, you're hot...
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