GM Channel Stuffing Hits Record In April

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Tue, 05/03/2011 - 11:22 | 1234049 LRC Fan
LRC Fan's picture

This is certainly Bullish

-Phil LeBeau

Tue, 05/03/2011 - 11:31 | 1234074 dbach
dbach's picture

It could mean they are expecting a pick up in sales. Why they would believe that is beyond me though. What's the standard inventory held at a dealership? Judging from the Honda dealer across the street it is at least a few months worth...

Tue, 05/03/2011 - 12:31 | 1234509 BS_Merchant
BS_Merchant's picture

Bullish for GM - all those pristine assets sitting on forecourts appreciating.

That’s what happens to assets when inflation runs riot, doesn’t it?

Tue, 05/03/2011 - 11:25 | 1234054 LawsofPhysics
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Should I leave my garage open so they can stuff that full too?  Just saying.

Tue, 05/03/2011 - 11:31 | 1234093 NotApplicable
NotApplicable's picture

Coming Soon! A pricing plan you can't refuse.

Congress will outlaw any car older than X years old, but to make up for it, they will distribute GM inventory to the masses with 1$ scratch-off tickets in payment for your now illegal trade-in.

So, instead of an old pickup truck, American trailers will have a shiny new Camaro in the drive, right next to the broken TV and the toilet that your fat-ass sister inlaw busted.

Ain't America Great!

Tue, 05/03/2011 - 11:58 | 1234227 r101958
r101958's picture

Sounds like what they do with car insurance in Japan. Surprised they haven't tried that yet.

Tue, 05/03/2011 - 11:27 | 1234059 Problem Is
Problem Is's picture

Stuffed Inventory = Car Sales...
Is tax payer backed GMAC still offering no money down liar loans?

Maybe I can gets me a Volt...

Tue, 05/03/2011 - 11:35 | 1234097 Cognitive Dissonance
Cognitive Dissonance's picture

Stuffed Inventory

Are we talking about car sales or S&M sexual practices?

Either one is OK with me. I just want to make sure I'm on the same page as everyone else.

Tue, 05/03/2011 - 11:38 | 1234134 hedgeless_horseman
hedgeless_horseman's picture

_______________________

Mike Flannery
Flannery Ford

Bring your wife and title in
and we'll dicker.

_______________________

 

 

Tue, 05/03/2011 - 11:58 | 1234220 Spastica Rex
Spastica Rex's picture

You said "dick-er."

Tue, 05/03/2011 - 11:57 | 1234234 FeralSerf
FeralSerf's picture

Is that "dicker" or "dick her"?

Tue, 05/03/2011 - 12:10 | 1234330 Cognitive Dissonance
Cognitive Dissonance's picture

Depends upon the ultimate deal struck.

Tue, 05/03/2011 - 11:24 | 1234061 TruthInSunshine
TruthInSunshine's picture

GM has NOTHING on The Dynamic Duo of Bernank-Jeetner, who are channel stuffing tens of billions each month.

Tue, 05/03/2011 - 11:31 | 1234091 Problem Is
Problem Is's picture

Nice link Drag:

"General Motors Co. reported a 26% surge in April vehicle sales... helping to push the company’s stock back above its initial public offering price."

Yeah that explains it...

Tue, 05/03/2011 - 11:29 | 1234080 ReallySparky
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Can't layoff those union workers, that would be bad publicity.

Tue, 05/03/2011 - 11:37 | 1234083 hedgeless_horseman
hedgeless_horseman's picture

I would love to see a historical chart of the % of sales to government fleets.

All .gov employees in my town are driving brand new GMs funded by the 50% of us that pay taxes.

Two things I don't imagine I will ever be.  A government employee, and a GM driver.

Tue, 05/03/2011 - 11:33 | 1234086 gkm
gkm's picture

My parents just went and bought a used car from a GM dealer.  Apparently they couldn't find a parking spot on the dealer's lot due to the inventory.  

Tue, 05/03/2011 - 11:33 | 1234088 NOTW777
NOTW777's picture

socal lots are bulging

Tue, 05/03/2011 - 11:30 | 1234089 SDRII
SDRII's picture

Ally finanical (Q1)

 

dont look behind the curtain

#1 overall U.S. auto lender

 

 

– U.S. originations of $11.6 billion, up 25% from 4Q10

U.S. consumer originations up 25% quarter-over-quarter and 93% year-over-year

http://phx.corporate-ir.net/External.File?item=UGFyZW50SUQ9Mzk3OTEwMXxDaGlsZElEPTQyNDkxM3xUeXBlPTI=&t=1

 

 

 

Tue, 05/03/2011 - 11:30 | 1234090 Cognitive Dissonance
Cognitive Dissonance's picture

Once again we find that the old tricks are still the best tricks........until they aren't. The great thing about moral hazard is that you never pay the consequences for the tricks you play.

Let the games continue.

Tue, 05/03/2011 - 11:58 | 1234243 r101958
r101958's picture

Seems something like Atlas Shrugged.

Tue, 05/03/2011 - 11:34 | 1234094 Ruffcut
Ruffcut's picture

It worked a while krispy Kream Donuts.

Ok, I'll let them stuff a couple in my garage.

Tue, 05/03/2011 - 11:35 | 1234112 Cognitive Dissonance
Cognitive Dissonance's picture

Krispy Kreme Donuts? Just be careful when backing up. They are a bit messy when run over. :>)

Tue, 05/03/2011 - 11:35 | 1234098 Jim B
Jim B's picture

Pay me now or pay me later.....

Tue, 05/03/2011 - 11:33 | 1234101 Seasmoke
Seasmoke's picture

and just think GM dealers fought to keep their dealerships open.....who is paying the floor plan for these clunkers

Tue, 05/03/2011 - 11:40 | 1234146 chunkylover42
chunkylover42's picture

of course they fought to keep dealerships open - where else were they going to put cars that nobody wants to buy?

Tue, 05/03/2011 - 11:46 | 1234164 topcallingtroll
topcallingtroll's picture

You misunderstood. Dealers fought to stay open. Government motors fought to close them.

Tue, 05/03/2011 - 11:34 | 1234105 Don Birnam
Don Birnam's picture

Seeing that GM obviously cannot sell updated product, perhaps they should simply declare defeat -- and go Old Skool. At this point, Government Motors has little else to lose -- hey, the Seventies are chic these days. Retool and re-issue an American classic. 

Can you drive a five-speed in plats, is the question. 

http://www.adclassix.com/images/77chevychevette.jpg

Tue, 05/03/2011 - 11:39 | 1234121 Cognitive Dissonance
Cognitive Dissonance's picture

I bought that exact year and model for my ex wife.

Maybe that's why she's my ex. :>)

Tue, 05/03/2011 - 11:53 | 1234162 Don Birnam
Don Birnam's picture

Was it in this fashionable Polyester Pea Green with the creme racing stripe, and Midnight Black vinyl seats ? Perhaps you should have splurged the big bucks on her, and gone with the Chevy Vega instead. 

Tue, 05/03/2011 - 12:14 | 1234258 Cognitive Dissonance
Cognitive Dissonance's picture

I bought the Vega for myself, the black wagon with a stick shift, mag wheels and the shitty all aluminum engine (no steel cylinder liners) that was already burning oil as I drove it over the dealership curb. I was young, poor and stupid, stupid, stupid. Not much has changed since then except the young thingy.

Maybe that's why I'm the ex-husband. :>)

Tue, 05/03/2011 - 12:36 | 1234539 Don Birnam
Don Birnam's picture

From the CD photo album...

"My First Day With the Vega - 1977"

http://www.vintagemodelairplane.com/images/Snippets/Smoke05.jpg

Tue, 05/03/2011 - 12:46 | 1234596 Cognitive Dissonance
Cognitive Dissonance's picture

At first the smoke was white. After the odometer turned the first 1,000 miles it was all down hill from there.

Tue, 05/03/2011 - 13:35 | 1234850 Clamdigger
Clamdigger's picture

It's possible your Vega was electing a pope.

Tue, 05/03/2011 - 14:04 | 1235009 Cognitive Dissonance
Cognitive Dissonance's picture

As the dealership informed me "They all do that". :>)

Tue, 05/03/2011 - 14:36 | 1235197 Bagbalm
Bagbalm's picture

I had the same thing. Pulled the engine and strapped the block on the boring mill - hogged out the cylinders and heated the block up with a torch. Had four nice steel sleeves in the shop freezer and slid them home. They warmed up and were tight as can be - was an excellent engine after that.

Tue, 05/03/2011 - 11:41 | 1234157 topcallingtroll
topcallingtroll's picture

Now that is a great idea!

I would consider a two ton 8 cylinder all steel roadmonster.

Tue, 05/03/2011 - 11:55 | 1234210 Don Birnam
Don Birnam's picture

I'll suggest a limited run of this little jewel. 

1966 GTO...with the 389 Tri-Power V-8.

http://image.highperformancepontiac.com/f/9202433/0212hpp_02zoom+1966_Po...

Tue, 05/03/2011 - 12:23 | 1234450 ebworthen
ebworthen's picture

The men who conceived and built beautiful machines like that are dead and gone; replaced by iPud thumbing pussies using Lego plastic and Mexican junk parts to slap together computerized spaghetti vacuum hose wunderclunkers.

Tue, 05/03/2011 - 12:37 | 1234548 topcallingtroll
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Could not have said it better myself.

Tue, 05/03/2011 - 12:41 | 1234587 Don Birnam
Don Birnam's picture

+1.

It's essentially CAD software now. Very little else. 

Tue, 05/03/2011 - 13:07 | 1234684 topcallingtroll
topcallingtroll's picture

I would be first in line.

The SS Impala comes close but is still not the funmobile of a 60's GTO.

Wed, 05/04/2011 - 02:06 | 1237153 ebworthen
ebworthen's picture

 

My 65 GTO was soooo nice.

Other than the "slip and slide powerglide" 2-speed automatic, but I grew to like it.

That thing had so much torque that a two speed automatic was all it needed.

The hood was so big and so long it was like steering a boat.

And the back seat, did I tell you about the back seat?  The back seat was like a living room couch.

And the trunk...the trunk was as big as as some bedrooms...and yes, I enjoyed splaying a beauty on both the back seat and the trunk lid, flat big and at waist height.  Oh...the good 'ole days....omg...

 

Tue, 05/03/2011 - 12:02 | 1234253 Spastica Rex
Spastica Rex's picture

I find it hard to believe that was a five speed.

Tue, 05/03/2011 - 12:38 | 1234574 Don Birnam
Don Birnam's picture

The Seventies models all had 4-speeds as standard package, yes. The 5-speed was introduced in the early Eighties. The question remains, however: can one drive manual in plats ?

http://www.platformshoe.org/images/platform-trend-after-renaissance.jpg

Tue, 05/03/2011 - 12:31 | 1234502 ebworthen
ebworthen's picture

 

I had a Chevette, 1981 five speed four door.

The body was solid (Fischer - remember that?) and the little four cylinder was a pretty good motor.  The execution was the problem. 

Plastic housing holding the clutch wire to firewall broke, not covered under warranty.

Exhaust Gas Recirculation tubes rusted through at 23,000 miles.  They admitted it was defective and gave me the part  but wanted to charge me $225 for the labor to swap it out (?). 

I went Japanese after I passed the Chevette on when I got tired of fixing it.

 

Tue, 05/03/2011 - 11:42 | 1234144 topcallingtroll
topcallingtroll's picture

Please always refer to them as government motors and never buy their products.

They bribed the big creditors with TARP, and screwed minority unsecured bondholders, upending a century of established bankruptcy law.

Tue, 05/03/2011 - 12:41 | 1234155 Cdad
Cdad's picture

I'm sure Phil "flaps up" Le Beau will be along shortly on the BlowHorn [CNBC] to explain the truth about GM "sales."  After all, that is his very job, to get to the truth about the auto industry, and he has been so busy this year explaining to the American people how bailed out GM is a national treasure.

Additional:

SHOCKER!  Phil "flaps up" Le Beau passes on his intraday opportunity to straighten out the facts about GM.  His nonreporting reporting is followed up by a criminal syndicate Wall Street banker parade of bullish commentary on the BlowHorn's Strategy Session.  SHOCKER!

Additional Additional:  momo freak Joe Teranova makes the call long GM while calling the silver trade over.  Brilliant!  The propaganda machine is in full stride even as all the momentum stocks that have lifted this market to infinity bullishness are ALL breaking down.

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