GM Enlists Citibank in Hummer Effort
June 23, 2008
By Michelle Krebs
DETROIT -- General Motors has enlisted the help of Citibank to help the automaker review its strategic options regarding its Hummer brand.
Mark LaNeve, GM's vice president in charge of North American sales, told reporters during a conference call Monday that Citibank will help GM consider all options regarding Hummer, including the revamping of its product line, licensing deals and contract manufacturing arrangements. Citibank also will review offers GM may get from potential buyers, LaNeve told reporters in a conference call.
"We believe Hummer is a strong global brand and has value," LaNeve said.
"I can't comment on [any offers from] buyers," LaNeve said. "As for a timeline, we're working through this as quickly as possible, but we've got to make a good decision for the future of the brand, the company and the dealers."
GM Chairman Rick Wagoner announced earlier this month that Hummer was under strategic review by the automaker with that review including its possible sale or the revamping of its product line. Hummer sales were off 60 percent in May from a year ago. The two SUV segments in which it competes are down 45 percent each from year-ago levels.
Despite Internet buzz to the contrary, LaNeve insisted none of GM's others brands, beyond Hummer, are under strategic review.
Posted by Michelle Krebs at 1:49 PM under Business , GM | Comments (3) | digg this | Seed Newsvine
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Posted by: gman24 | June 23, 2008 at 5:10 PM
Bad, bad move. does Citibank consult with GM on what to do with their underperforming products?
"Strategic Review". Watch out, Dealers. Start getting bids on removing the Quonset roof and converting the property into an outlet store. Next up; Pontiac, Buick & Saab...
Posted by: fulcrumb | June 25, 2008 at 9:01 PM
A good dead-weight brand to get rid of.
Posted by: sylvia | June 27, 2008 at 12:48 PM