Tuesday, October 02, 2012
"GM offers big discounts to boost Volt sales"
Michigan's Morning Sun tells all about it:
" GM executives have conceded from the start that they were losing money on the Volt, and that was before the big discounts. Now the losses could be even higher. It costs $60,000 to $75,000 to build a Volt, including development, manufacturing and raw materials, estimates Sandy Munro, president of Munro & Associates, a Troy, Mich., a company that analyzes vehicle production expenses for automakers. Much of the cost comes from an expensive combination of two power systems — electric and gasoline. With a sticker price of $40,000, minus the $10,000 the company pays in incentives, GM gets roughly $30,000 for every Volt. So it could be losing at least $30,000 per car."
