GM feeling effects of Europe's sputtering economy
Lewis DiuguidJust when things were looking up for General Motorists, Europe’s bad economy pulls down GM’s profits like a trailer of dead wood that a Chevy is trying to drag up a Colorado mountainside.
GM’s second-quarter profit fell 41 percent, The New York Times reported. GM lost $361 million in Europe during the quarter compared with an operating profit of $102 million a year ago.
The Times reported that global revenue dropped to $37.6 billion from $39.4 billion in the second quarter of 2011. The company’s North America profits of $2 billion compared with $2.2 billion a year ago.
GM’s numbers may foretell what’s to come for other U.S. companies doing business in Europe.
Kent Mueller
9 months, 3 weeks agoGood comments, Chuck. The Volt is an ongoing disaster. Can anyone clarify as to if the buyer has to give back the $7,500 if they return the Volt? If so, that needs to be stopped. I’m thinking there is some way that you have to give it back, but I’d like to know the answer if anyone knows.
George Hunsucker
Northland
9 months, 3 weeks agoHopefully government motors will sink into bankruptcy and not be “rescued” again with the concomitant screwing of the bondholders as the big 0 did before.
They have not reduced capacity to demand levels and they still have high wages and of course unions—all prescriptions of eventual disaster.