Quote:
Originally Posted by blkwrxsti
Given that Hummer is probably selling all tradenames and the factory, and maybe even some rights to use the current designs and tooling - these two companies must have independently come to the same conclusion - that there was enough negative baggage and dealer/customer obligations to offset the assets (either that, or both companies couldn't figure out how much to bid after hiring an army of investment bankers).
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There is no Hummer factory. Otherwise I agree with you, though. All this talk about downsized Hummers, hybrids and diesels is great and all, but in the end establishing a new brand is probably cheaper than convincing people Hummers are actually sensible vehicles. With a new brand you get a clean start, but repositioning an existing brand is an uphill PR battle, simply because people have already made up their mind about it.
A car is considered a total loss when the cost to fix it is greater than its value. In order to establish Hummer as a sensible Jeep-alternative you would need a completely new image, a completely new line-up of vehicles and you probably wouldn't get to keep the current H2 customers either. Pretty much the only thing that doesn't require massive investments is the dealer network, but everything else will cost billions. In terms of economics, the Hummer brand may very well be "totalled".