Record GM Recalls Lead To Best June Since 2007

Tyler Durden's picture

GM sold more cars in June 2014 than any other June since 2007. Just imagine if GM had killed more people, recalled more cars, been busted for more lies, and had more congressional hearings. As GM's head of sales exudes, this was "the third very strong month in a row for GM... in fact, the first half of the year was our best retail sales performance since 2008, driven by an outstanding second quarter." We can only imagine the depths of FICO scores, terms of financing, and margin-crushing incentivization that dealers were subsidized into offering to sell this many 'kevorkianesque rolling sarcophagus." How did they do this? Government (+14%) and Fleet sales (+48%) - sound sustainable?

 

 

But what drove all this exuberance was not the average joe...

Commercial fleet sales were up 48 percent, driven by strong pickup, van and small car sales. Government deliveries were up 14 percent thanks to strong car sales.

 

And incentives remain notably above industry average and rising...

Incentive spending as a percentage of ATP was 10.9 percent, up 0.2 points from a year ago, according to J.D. Power PIN estimates. The industry average for June was 9.7 percent, also up 0.2 points from a year ago.

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We assume this proves that the old adage that "there is no bad publicity" is true... though in this case, it seems a bit far-fetched.

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TeamDepends's picture

America is now clearly suicidal.

tarsubil's picture

What could possibly go wrong?

Haus-Targaryen's picture

Who in God's name would buy a Buick when you can get an Infiniti/Lexus/BMW/Mercedes/Audi for the same price?

Bananamerican's picture

Memo to GM: Sell more cars to .gov!

Headbanger's picture

If only GM gave cars to ISIS...

Iraq would be trouble free today.

Four chan's picture

this is like pointing out the fact zh has been wrong on every doomsday prediction since 08. its just being indignant to a fact contrary to the fact you want. this settlement is going to be a drop in the bucket for gm, now weather they can build a flawless car from here on out as expected is another question entirely.

NoDebt's picture

GM's been living on highly-discounted fleet sales for 30+ years.  So in answer to the question in the article: 'Sound sustainable?', the answer is YES.  It is absolutely sustainable.

Manthong's picture

“GM sold more cars in June 2014”

Might that not be better phrased “GM stuffed more dealer descending colons (AKA ‘channels” ) in June 2014”?

Lost Word's picture

An example of the old saying, Americans don't read/watch the News ???

An example of the old saying, There's No Such Thing as Bad Publicity ???

booboo's picture

How ironic, he said "weather" must be a .gov shill

sodbuster's picture

Had baseball size hail come thru Blair NE about a month ago. I was told Woodhouse lost 4200 new cars and trucks. They handle all  brands- Ford, GM, and Chrysler. That had to be good for "sales".

Hippocratic Oaf's picture

@Four chan

weather

Yep, he owns GM

666's picture

If sales to the gubmint are up, then there will be fewer live gubmint employees on the payroll. I guess that's one way to reduce the deficit...

TheReplacement's picture

Did you miss the pictures of ISIS on parade?  They are full on GM/Toyota.

flapdoodle's picture

Actually, this is true. I work for a company that is funded by .gov - lo and behold, half a dozen new GM vehicles have just shown up last week!

The guys in the motor pool hate these GM pieces of junk  - they are pure crap and spend lots of time in the garage, but the guys who keep them running weren't in the loop when they were acquired/purchased/donated...

Dr. Engali's picture

.gov..., and they have nothing to do with God.

TheReplacement's picture

Nothing to do with God... wouldn't want be them at dying time trying to test that theory.

starman's picture

The sheep and (foreigners)love GM.

How can you go wrong with 84 months financing and  subprime lending?

Reaper's picture

The ads on the local radio stations say come on into your various local Government Motors dealers, where everyone is approved for credit. Did this happen in housing, earlier?

madcows's picture

I keep hearing those adds, and think the same thing.  But, it worked, right.  sales are up.  What bank is willing to finance an 8 year sub-prime loan?  Didn't they learn their lesson 6 years ago in housing?  Maybe they did.  They'll line up for the next bailout, who coulda known it would all come crashing down.  handouts.  get your handouts.

madcows's picture

They're not the same cost.  The buick's are thousands cheaper(still way too fucing expensive).  Granted, they're not as high end.  I'd put them above the general vehicle, but not as luxury as a german / jap brand.

I'm happy with the buick.  I'll let you know if it's reliable later on.

That said, I'll never own another chevy.  The Chevy's i've owned were complete shit.  Never owned a GMC.

BurningFuld's picture

Meanwhile things are not so good for GM sales in Canada...................

http://www.huffingtonpost.ca/2014/06/30/gm-dealers-lawsuit-canada_n_5544...

Hippocratic Oaf's picture

Phil Leblowme is cock hard reporting on GM right now on CNBS.

Stock up .50

Lies and untruth up 1000%

drendebe10's picture

1% YOY is strong?

Gummint Motors makes nuthin i want to own or drive. 

Caviar Emptor's picture

I love this recovery! Very Kafka-esk with a bit of Sartre and Shopenhauer thrown in for good measure !

Freddie's picture

I love that Tesla thing.

kchrisc's picture

The DC US may be suicidal, not America.

America is the American people and the land they inhabit. The DC US is the criminal interloper that occupies the American country and oppresses the American people.

 

 

"Is ones deserved fate on a guillotine suicidal?!"

youngman's picture

Amazing...this market is crazy...so are the people who are invested in it...GM selling cars...new ones at that....that will be recalled....the payout fund will be a full time job for Fienburg......

Son of Loki's picture

"We're # One!!!"

 

BoooYaaaa!!!!

Dr. Engali's picture

Maybe taking the Blackwater approach is what I need to do in order to grow business:

 

Work with me or I will kill you.

Lost Word's picture

Similar to the Mafia approach to Business.

MeMongo's picture

Mongo misses that ole Kevorkian! A legend before his time

Billy Shears's picture

"Sarcophagi," there fixed it for you.

SoDamnMad's picture

All those burned up Iraqai police and military vehicles have to be replaced. Bullish  Thank you ISIS  Your check is in the mail.

shovelhead's picture

That 14% rise in sales to Govt. is encouraging if they all go up in smoke.

Gotta start somewhere.

Jlasoon's picture

How big is the Mojave Desert? Should make for a big parking lot.

 

Wait, Yucca mountain would be even better. Glowing "lightbright" glow-in-the-dark GMs anyone? 

El Hosel's picture

Gee Wally, just wait until we get some goods news.

Record setting daily market highs for government stocks, record setting daily recalls for government motors.... Wake me up when we break a record for recalled politicians.

BREAKING NEWS ...."Best day for DOW in two weeks" stocks gap higher on poor auto sales,  escalating violence, poverty, and war around the globe.

frankTHE COIN's picture

This is Off Topic.
Since some Brokerages are leaving the Barclays DarkPool the early volume in Spy, Dia and Iwm have exploded by 4-5 times over the last few days. The Lit Mkts are revealing.

El Hosel's picture

Federal trading theme song, only the sexy people.

    http://www.youtube.com/watch?v=YleXlgHI1oM

oklaboy's picture

maybe they get to double count the recalled cars??

The Most Interesting Frog in the World's picture

I demand a channel stuffing article!

SWCroaker's picture

Hey.  I own a GM.  Had it for about 2 years.  Has been in for two recalls.  Compared to other cars I've owned in my life (Mazda, Toyota, Saab, Ford, Land Rover, Mini, Mercedes, Audi) the car ranks near the top in general quality and reliability.  It's a keeper and does it's job.

The recalls are annoying, but I'd rather have things fixed if the issues are serious.  It sux that some people got hurt or died to find the problems.  It sux that the gov bails people out.  But lots of things sux.   

Keep in mind that I, and millions of others, maybe just like and are happy with our Chevys; compared to most other consumer goods these days, they're not bad at all.

Hippocratic Oaf's picture

No, they're not 'bad, per se

they are gubmint funded and hawked by the left

bondholders got fucked so unions could win

volt (dolt) was a bust

and the fact that you admitted to 2 recalls in 2 years? I have to laugh

shall I keep going?..........

The_Ungrateful_Yid's picture

Give it two more years then repost. I bet you wont own it unless you like owning junk.

NoDebt's picture

I drive a Chevy, too.  A late model Malibu.  It's OK.  Just a cheap lease car to get me around town.

Then I got in my mother-in-law's same-year Ford Fusion.  The Ford is a better vehicle by far.  Get in an Acura TSX, and it's a MUCH better vehicle.  

Then I get in my hotrodded 1978 Malibu and realize two things comparing old vs. new:

1.  New cars have had all their character sucked out of them.  Dry, sterile driving instruments, most of them.

2.  New cars will also usually have their headlights sucked out of them if they line up against my old 'Bu.

TalkToLind's picture

I wouldn't knock your right to choose the car that works best for you.  However I will give a big F-You to Uncle Sugar for stealing taxpayer money to prop up a private corporation that would have otherwise failed (and will still fail from the looks of things).  It's not the American public's fault that GM couldn't compete.

p00k1e's picture

SWC,

 

Curiously I ask, if your loved one gets burnt-up in your GM vehicle, will you sue?

SWCroaker's picture

No.  I'm really not the suing type.  That's just me personally, tho.

I've worked as an engineer supporting spaceflight.  I've seen firsthand that spending a gazillion dollars in an attempt to completely avoid any/all failures is mainly delusional; no matter how much is spent tyring to make things perfect, errors happen.  (An infinite amount of money would still not buy you perfect safety, it just makes your poor, and counterproductively reluctant to admit failure when it inevitably does occur).

Far better to recover from failures by learning and fixing, than by idiotically trying to do the impossible.  The net accumulation of knowledge on how to do things right should and does aggregate together over time: the vehicles of today are vastly superior and safter than those we drove in the 70s.  The recall issues today are nits by comparison (keychains and bad airbag sensors vs gas tanks that explode upon collision).

The car (that my wife drives) is, to the best of my assessment, sound safe & of qualify.  It isn't a battle fortress of protection from the world, but a car, one that needs to be treated like a machine, capable of performing a service but within reasonable expectations.  She could end up with a critical failure in her current car; she could have encountered the same in any of our prior vehicles.  I'm just saying that GM isn't special in that regard, depsite their current position in the recall lime-light. 

We can all be killed by many of the tools/implements/devices in our lives; cars are just one of many.  I just happen to believe that ongoing progress of misstep and learn is working.