GM Said to Not Win Chinese Approval for Hummer Sale (Update2)

[Viet Nam Vette]

Originally Posted by HummerMann

This is the saga that never ends. I still want to see the Hummer brand continue, but if Tengzhong can't do it, I put my vote in for the owner of AM General. You know by now the price has gone way down, so Hummer could be purchased very reasonably, and at AM General they have a good track record for knowing how to build quality vehicles. As a bussinessman, it's obvious that Tengzhong has already invested millions in this, and wants to manufacture the Hummer, so I'm not totally sure they'll go down without a fight.

The deal may be completed offshore, the people said. Regulators said they won’t block a transaction closed elsewhere, one person said. Suolang Duoji, Tengzhong’s investment partner in pursuing Hummer, has holdings that include 38 percent of Hong Kong-based Lumena Resources Corp., according to data compiled by Bloomberg. Lumena is incorporated in the Cayman Islands.

“The key element here is that both parties want to do the deal,”

It could still happen.... Or as you say ..AM General Could step up to the palte. I heard they are on their last round of orders for the "Humvee" (2620 Units") .. The Milatary has a new rig they want built. Who knows if AM General will get that contract.

http://www.chicagotribune.com/busine...,5047776.story

[wingn69]

I would have to agree I would love to see AMG get Hummer back and now that the Army is going to phase out the Hummer for the Army main truck. it would be a good time i think for them to jump in and bring Hummer Home.

[dvl57]

From GM's website:

http://media.gm.com/content/media/us...eb/0224_hummer


I guess there won't be a 2010 H2 model....or any other Hummers.

I wonder if the dealers will be closing their doors soon.

Its kind of hard to imagine no more Hummers.

[sleeve]

BREAKING: GM announces Hummer sale cannot be concluded, brand to be wound down
by Chris Paukert (RSS feed) on Feb 24th 2010 at 3:16PM



Although it has been evident for some time that General Motors' sale of its Hummer brand to Sichuan Tengzhong Heavy Industrial Machines Co., Ltd., we didn't expect for word to come down today that the negotiations are dead and the brand will be wound down. Unfortunately, judging by a press release just issued by GM, that's exactly what will be happening. According to John Smith, GM's vice president of corporate planning and alliances,

"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."

As we learned from the Saab sale saga, GM announcing that the brand will be wound down does not completely extinguish hope for another buyer to slip in in the 11th hour, but it does seem highly improbable that a new party will pick up where the negotiations with China's Tengzhong left off.

In the statement available after the jump, GM does not specify what killed the planned sale of the brand, but rumors in recent months suggested that the Chinese government was not keen to sign off on the deal. At the moment, it is unclear what will happen to Hummer's H2 and H3/H3T models, but it is likely that the tooling and manufacturing rights will be sold off to other companies. It is also unclear how many employees will be out of work as a result of the closure.

As with the wind-down of its Saturn and Pontiac brands, GM has pledged to honor Hummer warranties and continue to supply service and parts

[HumminNBoatin']

Sad news, very sad. Another American company down the tubes......

[DRTYFN]

http://www.washingtonpost.com/wp-dyn...022401259.html

[timgco]

ughhhhh!!!

....glad I have one now, because they're only going to get harder to find now...in good shape that is.

Well, on to the next brand to get cut!

Now, how many dealers will be left in 6 months. Your local GM dealer will be diong the warranty work soon. ..at least that's what I expect.

[pdxrealtor]

I missed this post before I started another..

But here is the link from the wsj

http://online.wsj.com/article/BT-CO-...atestHeadlines

I just heard it on FOX report.

[DRTYFN]

Originally Posted by pdxrealtor

I missed this post before I started another..

But here is the link from the wsj

http://online.wsj.com/article/BT-CO-...atestHeadlines

I just heard it on FOX report.

Subscriber only.

[StockStar]

Originally Posted by timgco

ughhhhh!!!

....glad I have one now, because they're only going to get harder to find now...in good shape that is.

Well, on to the next brand to get cut!

Now, how many dealers will be left in 6 months. Your local GM dealer will be diong the warranty work soon. ..at least that's what I expect.

Harder to find? ummmm. Tons of h2 for sale under 30K. Do you think this will drive down the resale and the price of existing 2005-2007 h2's?

[Intercooled]

Originally Posted by StockStar

Harder to find? ummmm. Tons of h2 for sale under 30K. Do you think this will drive down the resale and the price of existing 2005-2007 h2's?

Drive down??!! Prices will slowly climb. No more will be made, they will slowly become collectible.