GM Price Too High For Spring Hill

['Vette Dude]

NASHVILLE, Tenn.—Tennessee Gov. Phil Bredesen said Wednesday that Tennessee wouldn't have met General Motors' cash requirements to build a small car at its Spring Hill plant even if the state's finances were in better shape.

GM last week selected a facility near Detroit to assemble small and compact cars over two other finalists in Tennessee and Wisconsin.

Bredesen told The Associated Press after a groundbreaking ceremony for a highway project in Nashville that GM had wanted "north of $250 million" in upfront money to select Spring Hill.

"That that was not even remotely in the range of something we could do at this time -- or would really even do on this project even if times were good," the Democratic governor said.

Bredesen said the state offered about $20 million in training and education money in addition to long-term tax breaks.

"GM made it clear when we were talking with them that they didn't care much about those things, what they really cared about was how much cash you could put up on the front end," he said.

GM's choice of the Orion Township, Mich., site leaves the future of about 2,500 employees at the Spring Hill plant uncertain when it stops making the Chevrolet Traverse around Thanksgiving.

http://www.boston.com/news/world/eur...in_good_times/

['Vette Dude]

So here is why Spring Hill lost even though it made a lot of sense to build it there. I heard many GMI members saying that Spring Hill would lose because of Politics. They were right.

[plane]

Orion didn't pony up $250 million.
It was a 100% 25 year waiver on sales tax.

I wonder if there was politics involved in this decision?

[nsap]

Let's think about this for a second...

Regardless of which plant was going to get it, said plant was going to need retooling and updating. Spring Hill is not exactly in the tip-top shape the governor was making it out to be. Current capacity is only 190K units per year, that is not enough to build the cars they wanted to build...so it is obvious improvements were in order if SH was to be selected.

On the flip side of this, Spring Hill has all-new tooling in place to build the Chevrolet Traverse, a Lambda-based product. GM has a few new Lambdas coming, in addition to (supposed) increased volume in the current Lambdas, and needs more capacity....Hmm... It would seem to make sense that the new Lambda's go to SH, sort of like my sources told me last week....

[1G6]

Originally Posted by 'Vette Dude

So here is why Spring Hill lost even though it made a lot of sense to build it there. I heard many GMI members saying that Spring Hill would lose because of Politics. They were right.

You mean the rotten, borderline treasonous politics played by the southern Republicans?

They should grind that plant to dust and scatter the mess on Corker's yard.

[plane]

Originally Posted by nsap

GM has a few new Lambdas coming, in addition to (supposed) increased volume in the current Lambdas, and needs more capacity....

GM already has -
Enclave
Acadia
Traverse
[Outlook?]

What's next?

A Cadillac Lambda?
Hybrid versions?
Moving the 900s to Lambda?

[nsap]

Originally Posted by plane

GM already has -
Enclave
Acadia
Traverse
[Outlook?]

What's next?

A Cadillac Lambda?
Hybrid versions?
Moving the 900s to Lambda?

Chevrolet Lambda SUT
Cadillac Escalade


Then of course, the all-new Acadia, Traverse, and Enclave...slated for 2012.

[Bokl]

Originally Posted by nsap

Chevrolet Lambda SUT
Cadillac Escalade


Then of course, the all-new Acadia, Traverse, and Enclave...slated for 2012.

Here we go again. New gm is really same old gm. And i have a feeling gm will end up in chapter 11 again if it ever gets out from this one. Lets give same vehicle to all of your devisions and sell one for 30k and all the way up to 70k. Nothing has changed.
Then when you ask GM CEO to give g8 to chevy he said we are against rebadging. Wow

[K-1]

Originally Posted by Bokl

Here we go again. New gm is really same old gm. And i have a feeling gm will end up in chapter 11 again if it ever gets out from this one. Lets give same vehicle to all of your devisions and sell one for 30k and all the way up to 70k. Nothing has changed.

How does that differ from anyone else with a mainstream division? Toyota/Lexus does it, Honda/Acura does it, Ford/Lincoln does it, Volkswagen/Audi does it, hell Kia/Hyundai does it. Ideally, GMC should fold, but it's only one vehicle over everyone else.

[2648562]

Originally Posted by nsap

Chevrolet Lambda SUT
Cadillac Escalade


Then of course, the all-new Acadia, Traverse, and Enclave...slated for 2012.

All-new in 2012??? Seriously? I thought there was just talk of adding the Escalade.

[Bokl]

Originally Posted by K-1

How does that differ from anyone else with a mainstream division? Toyota/Lexus does it, Honda/Acura does it, Ford/Lincoln does it, Volkswagen/Audi does it, hell Kia/Hyundai does it. Ideally, GMC should fold, but it's only one vehicle over everyone else.

it is different because you have Highlinder/RX, Pilton/ MDX. THey do not have Traversa/Acadia/Enclave/ new escalade/ chevy sut. see the difference. It only should be Traversa/Enclave not everything else. This is why old gm is new gm. If caddy is going to be FWD cars and suv's why even bother and keep buick. There will be no difference between them. Well maybe there will caddy will have more chrome.

[Gm_Tooler]

The state of TN has treated GM well over the years. And I think Gov. Bredesen's reasoning is sound. I want SH to prosper, but waiting a bit longer may prove better in the long run.

[DC12MANY]

Originally Posted by 1G6

You mean the rotten, borderline treasonous politics played by the southern Republicans?

They should grind that plant to dust and scatter the mess on Corker's yard.

You mean 'Senator Millionaires'(forbes 2006) $1.7 million place, where they wined and dined the VW execs to consumate the $600 million give away? Ohh don't get me started.

[CamaroCrazy]

Originally Posted by K-1

How does that differ from anyone else with a mainstream division? Toyota/Lexus does it, Honda/Acura does it, Ford/Lincoln does it, Volkswagen/Audi does it, hell Kia/Hyundai does it. Ideally, GMC should fold, but it's only one vehicle over everyone else.

GMC sells. Its just that simple. As much as the media or some loud mouths try to make it out, Americans like big vehicles. This Chevy Spark/Viva stuff is going to make all the politicians and environmentalists hot and excited, but when the stuff doesn't sell and people keep buying Acadias and Yukons, there's going to be problems.

[Bokl]

Originally Posted by CamaroCrazy

GMC sells. Its just that simple. As much as the media or some loud mouths try to make it out, Americans like big vehicles. This Chevy Spark/Viva stuff is going to make all the politicians and environmentalists hot and excited, but when the stuff doesn't sell and people keep buying Acadias and Yukons, there's going to be problems.

yea yukon and suburban are big sellers. What do they sell 1k of each of them per month. Yea it is a high volume vehicle. Those truck and suv's have been loosing sales since 2003 look at the difference in sales of silverado and camry it is almost 1 to 1 few years ago it was 7 to 1. And there are a lot more mid size cars then trucks. So Americans are running away from big vehicles.