
GM is now in an improved financial position compared to earlier in the month. Primarily because of the first installment of federal loans received Monday, they can continue to operate.
In addition, the federal government just gave $5 billion to GMAC, GM’s financial company, and have allowed them to become a bank holding company. With this money, GMAC has now become much more able to loan money to potential carbuyers. Lack of credit available to consumers with less than perfect credit has stymied any potential for auto sales recovery.
Immediately after the GMAC infusion, GM began offering 0% interest 60 month loans on select models to carbuyers whose credit scores are greater than 621.
GM vice-president of NA Mark LaNeve noted that December’s sales were actually better than November’s. And the new available credit for car loans should continue to improve GMs position.
Of particular interest to us here was Mr. LaNeve’s revelation that GM has 10,000 pre-orders for the new Camaro set to be released this Spring (assuming they can get tools from a newly bankrupt supplier). Since the Camaro is a brand new car with pent-up demand, its release could be in some ways analogous to what happens when the Volt arrives. Except the Volt of course will be more regionally limited and limited to dealers willing to obtain the training necessary to service an E-REV. Not to mention there would be a presumably different customer profile.
LaNeve did not specify exactly what was meant by pre-orders and I asked GM if that was at the dealership or corporate level.
“Mark didn’t specify. He did mention they were orders with deposits,” said GM spokesman John McDonald, “A lot of folks can’t wait for the Camaro!”
Of note, the official Camaro website states people have been only able pre-order the cars at local Chevy dealerships from October 13 2008.
So the question is what will happen with the Volt? Will the demand be even greater? And how can our GM-Volt.com unofficial waiting list of nearly 50,000 get into the mix? These are some of the challenges that lay ahead for us.






