GM's Truck Sales Climbed 18 percent in August

By Dow Jones Business News, 
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Press Release: GM's Truck Sales Climbed 18 percent in August


For Immediate Release: Wednesday, Sept. 3, 2014

GM's Truck Sales Climbed 18 percent in August

   •   Chevrolet and GMC large SUV sales up 38 percent
   •   Chevrolet Silverado up 13 percent; GMC Sierra up 10 percent
   •   10th consecutive month of commercial sales growth
   •   Total sales up 2 percent adjusted for selling days

DETROIT - General Motors Co. (NYSE:GM) dealers delivered 272,423 vehicles in the United States in August, led by an 18 percent increase in truck sales compared to a year ago, a 10 percent increase in GMC deliveries and a 30 percent increase in commercial sales.

Total deliveries were down 1 percent compared with last August, which was GM's best sales month of 2013. Retail deliveries, which are sales to individual consumers, declined 4 percent. Fleet deliveries were up 9 percent compared with a year ago.

On a selling day adjusted basis, GM's total sales were up 2 percent, with retail sales essentially equal to a year ago and fleet up 13 percent.

Incentive spending as a percentage of average transaction prices (ATPs) was 10.4 percent, the lowest of all domestic automakers by a significant margin, according to J.D. Power PIN estimates. GM spending was down a full percentage point compared with both August 2013 and July 2014.

"Chevrolet, GMC and Cadillac had an outstanding month with trucks. Cars and crossovers like the Buick Encore and GMC Acadia, and the Chevrolet Sonic, Cruze and Traverse, were also strong," said Kurt McNeil, U.S. vice president of Sales Operations. "We see a strong fall selling season ahead for GM and the industry, which sets the stage for the launches of the Chevrolet Colorado and GMC Canyon. Car-buying fundamentals like employment and energy prices are in good shape, consumer confidence has reached a post-recession high and business investment is increasing."

Nearly 28,000 dealer orders have been placed for the Chevrolet Colorado, along with 14,000 orders for the GMC Canyon, which both began production this week and arrive in showrooms this fall. Chevrolet and GMC will soon be the only brands offering mid-size pickups, as well as light- and heavy-duty full-size pickups.

Light vehicle sales for the year are now expected to be near the high-end of GM's full-year outlook set in January, which was for 16.0 million - 16.5 million units.

August Sales Highlights (vs. 2013 except as noted)

   •   Sales of Chevrolet and GMC large SUVs were up 38 percent.

• Cadillac Escalade deliveries increased 64 percent, for the vehicle line's best August since 2007.

• Chevrolet Silverado deliveries were up 13 percent and GMC Sierra sales were up 10 percent, and ATPs improved from July, according to PIN. This was the best August for GM pickups since 2008.

• The Chevrolet Express van had its best August sales since 2007, with deliveries up 23 percent. The GMC Savana saw a 70 percent increase.

• Chevrolet Sonic deliveries were up 13 percent for the vehicle's best August ever.

• Sales of the Buick Encore small crossover were up 13 percent and Regal deliveries were up 29 percent.

• In the medium crossover segment, sales of the Chevrolet Traverse were up 11 percent and GMC Acadia deliveries were up 5 percent.

• Retail deliveries of the Chevrolet Cruze increased 23 percent and Camaro retail deliveries were up 2 percent.

• GM's ATPs in August were the highest in company history at about $33,750, according to PIN. ATPs were up $ 500 per unit compared with July, and they were up about $2,900 from a year ago.

GM's gains in the commercial segment were driven by pickup and van sales, which were up 23 percent and 19 percent, respectively. Sales to rental customers were up about 3 percent. Sales to government customers were up about 14 percent. GM's fleet mix in August was 22 percent. Calendar year to date, GM's fleet mix is 25 percent.

General Motors Co. (NYSE:GM, TSX: GMM) and its partners produce vehicles in 30 countries, and the company has leadership positions in the world's largest and fastest-growing automotive markets. GM, its subsidiaries and joint venture entities sell vehicles under the Chevrolet, Cadillac, Baojun, Buick, GMC, Holden, Jiefang, Opel, Vauxhall and Wuling brands. More information on the company and its subsidiaries, including OnStar, a global leader in vehicle safety, security and information services, can be found at http://www.gm.com

Forward-Looking Statements

In this press release and in related comments by our management, our use of the words "expect," "anticipate," " possible," "potential," "target," "believe," "commit," "intend," "continue," "may," "would," "could," "should," " project," "projected," "positioned" or similar expressions is intended to identify forward-looking statements that represent our current judgment about possible future events. We believe these judgments are reasonable, but these statements are not guarantees of any events or financial results, and our actual results may differ materially due to a variety of important factors. Among other items, such factors might include: our ability to realize production efficiencies and to achieve reductions in costs as a result of our restructuring initiatives and labor modifications; our ability to maintain quality control over our vehicles and avoid material vehicle recalls; our ability to maintain adequate liquidity and financing sources and an appropriate level of debt, including as required to fund our planned significant investment in new technology; the ability of our suppliers to timely deliver parts, components and systems; our ability to realize successful vehicle applications of new technology; and our ability to continue to attract new customers, particularly for our new products. GM's most recent annual report on Form 10-K and quarterly reports on Form 10-Q provides information about these and other factors, which we may revise or supplement in future reports to the SEC.

CONTACT:

Jim Cain

GM Communications

313-407-2843

james.cain@gm.com

Subscribe to WSJ: http://online.wsj.com?mod=djnwires


  (END) Dow Jones Newswires
  09-03-141008ET
  Copyright (c) 2014 Dow Jones & Company, Inc.


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