| June 02, 2009 |
For General Motors, the rollercoaster ride toward bankruptcy has surely been a rough one, but it could get worse as the weeks unfold. The U.S. government will own 60 percent, since it intends to pour another $50 billion into the company, and the Canadian government will own 12 percent. The United Auto Workers will also get their piece of the new GM pie, by owning 17.5 percent of the company.
Along with the new owners comes a new strategy for GM’s line of cars and trucks. CNNMoney reported that GM has sold the Hummer brand to a mystery buyer, and if industry rumors prove correct, Saturn and Saab could be next. GM’s other brands, Chevrolet, Buick, Cadillac and GMC look to be safe for now. But with the government having such a strong stake in the company, it begs the question: will familiar vehicles be revamped completely to meet President Obama’s proposed fuel efficiency standards?
It seems a likely path.