GM confirms talks to sell Hummer brand to Chinese firm
Filed under: Company News
A day after filing for bankruptcy protection, General Motors has announced a preliminary deal to sell its Hummer brand that is expected to save more than 3,000 U.S. jobs.
After several hours of mystery concerning who might buy the iconic brand, GM confirmed late Tuesday that it is in advanced talks to sell it to China's Sichuan Tengzhong Heavy Industrial Machinery Company. Terms of the deal are still being negotiated, but GM expects to close the sale by year's end.
"I'm confident that Hummer will thrive globally under its new ownership," said Troy Clarke, President of GM North America. "And for GM, this sale continues to accelerate the reinvention of GM into a leaner, more focused, and more cost-competitive automaker."
The sale of Hummer will mark a significant strategy change for GM as it ditches the gas guzzling, military-esque SUV and prepares to reopen a shuttered U.S. factory to build compact cars. Production at this plant will create the smallest vehicles the company has ever produced domestically.
General Motors is also in the process of trying to unload its Saturn and Saab brands. In late April, the company announced that it would kill off its Pontiac brand.



























Reader Comments (Page 1 of 7)
6-02-2009 @ 9:59AM
nick said...
If the company operates in the south and in non union you can sign me up for buying one, if the union is involved forget it.
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6-02-2009 @ 11:20AM
doug said...
Exactly...I won't buy an American car that is controlled by unions. Unions are UN-American!
6-02-2009 @ 2:02PM
marc said...
We can only hope so. But according to what I've heard it's
UNION business as usual. Same pay and benefits as before to
sleep on the job.
MARC
6-02-2009 @ 3:01PM
davidsonws said...
Forget that the chinese are buying a US military vehicle supplier. We want to make sure the plant becomes non-union. You folks need your priorities adjusted.
6-30-2009 @ 12:13AM
minister ron richardson said...
the unions are not to blame for detroits mess, but they are a good scape goat. Japanese and other foreign car makers can receive backing and support for their car industry from their countries governments. This down turn in our economy may be what it takes for our business leaders to think america first and gobal second if at all.
The american car companies used the unions as an excuse when their market shares dropped after the popularity of Japanese cars, because they were short sighted in not using the technology edge that we held in this country in revamping the industry and now it took the backing of the american people along with falling stock prices for them to wake up.
Your comment in regards to a car being built in the south because of non union/ right to work laws is a misconception.
The adverage working wages in South was about $7.00 an hour since major construction and factory closings. The situation was easy they car companys paid 12 dollars and hour and give the benifits that the people truly needed. This would not have worked if not for the unions up north. Another fantasy it was the bosses of the car companies that passed increases in union contracts on the cars and on the american consumer, it would have been simple for them to take out of there profit margins create a hegde fund and allow people to invest into it they would have made money and the cost of the cars would not have been passed on to consumer.
Nick my friend do not fall for the sound bites that our aired on the nightly news shows; as a minister one learns that it the truth A is speaking verus the truth B is speaking are true to them and in their interest but the actual facts are as yet to be determined or in this case on the cutting room floor. Blessings.
6-02-2009 @ 10:01AM
bailoutsos said...
That's odd. Billions of taxpayer dollars to keep GM afloat and they want to keep secrets?
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6-02-2009 @ 11:15AM
Jack said...
Probably the deals not done yet and it might be the BUYER who wants to keep the deal under wraps until it is done. It could be one of the terms of the deal and no "secret", no deal
6-02-2009 @ 1:24PM
phdtogo said...
Biggest Secret - The 1000's of GM and Chrysler dealerships that are being closed were heavy contributors to the Republican Party.
6-02-2009 @ 2:21PM
Jonathan said...
phd, you're not too bright are you? Sure, a large number of the car dealerships being closed are owned by contributors to the republican party. But guess what? A large percentage of car dealership owners period contribute to the republican party. Let's see owners tend to be older, car lots tend to be in suburbs and small towns...yeah gee, hard to figure that one.
Either way, you people need to look up the term "control group" before you start your conspiracies. It's as dumb as the 'majority of children with autism were vaccinated' well gee what's the precentage of children in general who have been vaccianted, yeah see not a significant stat anymore.
6-02-2009 @ 5:30PM
Alden said...
I agree wholeheartedly with your sentiment about the company keeping secrets, but the fact of the matter is that without private talks in large-scale business matters, they wouldn't be able to get the best deals and other companies might try to undercut or sabotage their efforts.
6-02-2009 @ 10:04AM
Pat said...
How many times have we heard this line ? " ... said the company would emerge from bankruptcy as a stronger and leaner company ... " - you would think they would have reacted prior to getting the company in the mess --- WHAT LEADERSHIP WE HAVE IN OUR CEOs AND OUR CONGRESS !! What a mess this country is in !!
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6-02-2009 @ 10:10AM
bailoutsos said...
Maybe this sale is why Geithner is in China?
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6-02-2009 @ 10:41AM
tom Williams said...
Geithner's in China, trying to get the Government a loan !!
6-02-2009 @ 10:14AM
mccluskyheyyou said...
NICK YOU ARE SUCH AND IDIOT. YOU HAVE THE MENTALITY OF A THREE YEAR OLD. YOU TOUCH UNION MADE PRODUCTS EVERY DAY. WOULD YOU HONESTLY TURN DOWN A BETTER PAYING JOB IF IT WAS OFFERED TO YOU. IT IS YOUR WAY OF THINKING THAT CREATES PROBLEMS FOR FORTUNATE PEOPLE WHO HAVE BEEN IN THE FOR FRONT OF THE NEWS LATELY. NEVER ONE WORD IS EVER UTTERED ABOUT THE COMPANY CEOS THAT MAKE 10.000.00$ PER HOUR, BUT I GUESS THAT IS OK WITH YOU TOYOTA REPUBLIUCANS.
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6-02-2009 @ 12:28PM
oneforu said...
Check the drive way at the white house dumb ass and see which one of your Obama buddies is driving an american made car then talk some trash Idiot
6-02-2009 @ 4:55PM
momzwheels10 said...
It is not okey for the union to get a piece of the company and the bond holders to get less. They put up money for the company and are suppose to be the ones in line first if the company files bankruptcy. So who is greedy here. As long as a union has control a company will never be able to make it, and I want help that company by buying their product.
6-02-2009 @ 10:24AM
oldcrab346 said...
Right on, mccluskyheyyou!!
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6-02-2009 @ 10:37AM
richard said...
They should take the money from the sale as repayment to the government on all the free money that has been given to them.
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6-02-2009 @ 12:00PM
Sean said...
There is no free money, dope. Except for the $350 billion doled out by "w", all of the TARP money from this admin was a low interest loan with attachments and conditions.
Why do you idiots always parrot the bloated drug addict, the recovering substance abuser or the ex-wanna-be priest? Have you ever considered checking other sources before you get your panties in a twist?
6-02-2009 @ 6:49PM
emcssw said...
Read the whole story before you comment!!! The reason they are not saying who they are selling to is at the buyers request. It isn't GM keeping it secret!!!
Reply