Say it ain't true! Yes, I am afraid it is true. Profits fell 41% in the second quarter of 2012 as troubles in Europe was a major drag on sales in North America for Government Motors. If you have been reading my blog over the past two weeks, you would know why GM car sales have been robust here in the United States. If not, I will succinctly repeat the two reasons: (1) car stuffing by GM, which simply means revenues are recorded when cars leave the production line to the dealer but not yet sold by the dealer, and (2) FICO scores in the upper 500s to qualify to purchase a car, which is by all standards sub-prime at best. In other words, welcome to the encore performance of 2008.
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