The American Spectator

The Nation's Pulse

Hummer's Done

By Eric Peters on 6.12.08 @ 12:07AM

(Page 2 of 2)

GM is throttling back its total truck/SUV production capacity by more than 700,000 vehicles annually -- which is huge. But then, so is the $38.7 billion GM lost last year. The automaker hasn't made a net profit since 2004.

And it's bound to get worse the higher gas prices go -- because all three lack top-tier small cars and are still playing catch-up on the hybrid and electric vehicle front.

GM, for example, has a plug-in electric car (the Volt) on the way. But it won't get here for another two years. And reports are that GM will want $40,000 a copy, too.

Two. Years.

Meanwhile, arch-nemesis Toyota has been selling its Prius hybrid for ten years now. It has a fleet of highly successful small cars -- and is literally swimming in black ink. Industry watchers believe Toyota has enough cash lying around to buy the corpse of GM and pick its bones clean.

Sic gloria transit mundi.

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