GM Dissolves High Performance Vehicle Operations
High performance division was responsible for such vehicles as the V-series Cadillac
By Alex Ricciuti
February 19, 2009 6:31 PM
Filed Under: American, Corporate/Financial, General Motors
GM has disbanded its high performance vehicle division in a bid to further cut costs in what is proving to be a painful restructuring for the troubled Detroit automaker.
On Wednesday, GM scrapped its High Performance Vehicle Operations unit and re-assigned its engineers to other positions within the company.
The shut down is another step in GM's attempt to prove its viability as a business. On Tuesday, the company submitted a restructuring plan to the US Treasury in order to secure more government loans to keep the automaker operating without having to declare bankruptcy. GM is asking for a further 16.6 billion US dollars, on top of the more than 9 billion in emergency loans it has already received.
The High Performance Vehicle Operations unit was responsible for low-volume, specialty vehicles for auto enthusiasts such as a V8 Chevy Colorado pickup, the Chevy Cobalt SS, Chevy HHR SS and the V-series Cadillac CTS.
According to GM spokesman Vince Muniga, the division may be revived someday once the financial situation improves for the company.
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Comments
And whoever said it was about making the most money? At least GM has the balls to build something that is great but loses them money.
So many people on this site and others like it, get angry because a car comes out that doesn’t reflect their taste for design, engineering, innovation, etc... Within the past several months and years people like you and me have been getting upset because these poor decisions have been catching up with the automakers in the form of sales and that means layoffs, job losses and family’s being hurt.
I love cars. They are a passion for me. I can honestly say that my life has been impacted and surrounded by them much more than most people. I think that automobiles are the ultimate expression of the collaboration between Art, Science and Human innovation in the most practical of senses.
That being said, seeing car companies make decision like getting rid of the V-series hurts. A lot! Sure, the first few V-Series cars weren’t as great as their European rivals. It doesn’t take a lot to figure out that the XLR-V wasn’t a project many people at GM were truly passionate about. But… THEY FINALLY GOT IT RIGHT!!!! This most recent CTS is amazing. I was ecstatic to hear what great things people all over the world like Jeremy Clarkson (who usually hates all things American) had to say about it. The fact that it is a true competitor to the M5 and AMG cars brought tears of joy to my eyes. I was pride stricken to think that a Detroit car company was making this global competitor. AND NOW THEIR GOING TO KILL IT!!!!!! The management at GM are not thinking properly. Electric cars are fast! And environmentally friendly. Why not come out with a line of high performance electric cars? Why kill something that you have worked so hard at, so long for and invested so much capital into? It just doesn’t make any sense to me.
Edited by user on February 19, 2009 at 11:19 PM
If the executives at GM (and Chrysler) would not have given in to the ridiculous UAW this would not be a problem. That is why I believe the company should be allowed to go bankrupt and restructure. It is time to slash and burn!
The UAW is an outdated concept. There is no need for a labor union anymore because there are federal labor laws in place now that protect the American worker from being treated unfairly. The UAW is a FOR-PROFIT business, not a worker protection organization. The union bosses make tons of money from union dues and denial of paying out pensions to retired workers who "didn't meet the requirements" to receive their pensions they paid into their whole careers.
Edited by user on February 20, 2009 at 3:45 PM
Its so typical one-dimensional short-sighted bureaucratic decision-making. This is exactly how the American auto industry gets left behind technologically. Does it take the Koreans next to overtake the 'big' 3 before corporate (auto) America wakes up?!?!?
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