GM To Proceed With Exploratory Discussions With Renault, Nissan
North American turnaround strategy remains top priority
The General Motors Board of Directors today endorsed a recommendation by the company's senior management that it engage in exploratory discussions with Renault and Nissan regarding GM's potential participation in an alliance among the three companies.
"The GM Board of Directors authorized management to proceed with its plan to consider ideas the other two companies have and to weigh the potential benefits of such an alliance in order to assist the Board in its decision making," said GM Director George Fisher. "Management will keep the Board well informed and the directors, of course, will closely monitor the process to assure that its outcome serves the best interests of all GM shareholders. The Board continues to fully support the company's North American turnaround strategy, and we encourage management to also continue its efforts to conclude a satisfactory resolution of the issues associated with the Delphi bankruptcy and to complete the pending GMAC transaction."
The Board action was taken in response to a request made by Tracinda Corporation, one of GM's larger shareholders, and to expressions of interest made public by the respective boards of Renault and Nissan.
GM Chairman Rick Wagoner will lead the company's effort to conduct exploratory talks with the managements of Renault and Nissan.
"General Motors has a lot of experience with different types of alliances, and some have provided significant benefits to GM's competitive position and financial strength," said Wagoner. "We will enter into discussions with the managements of Renault and Nissan with an open mind - eager to hear their ideas of how an alliance between our companies might work to our mutual benefit. Given the complexity of any potential relationship, it has to be carefully considered on its merits before coming to any conclusion. We are committed to an objective and thorough review of that potential."
Wagoner noted that when the idea of joining an alliance with Renault and Nissan was first suggested to him, he promptly contacted Carlos Ghosn and the two leaders agreed to meet at a mutually convenient time to have an initial exploratory discussion.
"We periodically receive interesting proposals and we owe it to the company and its shareholders to explore how they might work, and to objectively weigh the potential benefits and issues that each might present," Wagoner said. "That is exactly what we recommended to the GM Board in this specific case, and exactly what it has agreed we should do."
In the meantime, both Wagoner and Fisher noted that it is crucial for General Motors to stay focused on implementing its North American turnaround strategy.
"We announced this strategy about one year ago, and have made tremendous progress in implementing all the key initiatives," Wagoner said. "The positive results from these major actions are already evident. We have some major items that we are working on right now that are important to our continued progress, including the Delphi restructuring and the GMAC transaction. So there's plenty more work to do to return our North American operations to sustained profitability. We remain focused on achieving this as quickly as possible."
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As i said in my earlier post we do care what happens to gm.
Dave wrote:Quote:
Experts say GM really had no choice.
Had it balked at Kerkorian’s proposal to study a three-way alliance, it likely would have been sued by Kerkorian or others for breaching its duty to stockholders.
They have no choice other than to look at it.
But at the same time it only really helps out Nissan / Renault
I will say this about the whole Industry. The Companies that look like they are doing good, Might not be doing that good. The companies that look like they are doing bad, Might not be doing that bad in reality.
Also Rick Wagoner is going to be on CNBC tonight on Kudlow & Company @ 5 eastern time
"
Quote:
General Motors
has a lot of experience with different types of alliances, and some have provided significant benefits to GM's competitive position and
financial strength,"
I have not heard those two things being said in the same sentence without a negative connotation.
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Looks like they have to talk but nothing will happen if you ask me.
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Well tis is good news as far as i'm concerned. Before Renault bought Nissan Nissan was 700-Billion in debt and had ugly boring cars. Renault demanded swift changes an the immediate return of the Z. in less than 10 years they've totally turned Nissan around and made it a profitable company.
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if you think that this WONT benefit GM at all, you are just plain retarded
If you think this will benefit GM more than it will Renault/Nissan, you are just plain retarded.
Sure, GM may gain better prices on parts, but this could open the door to GM having to share its technologies in hybrid, E-85, and fuel cell. All of which Nissan has no part in. GM is just now turning back towards a profitable company, it will take some time, but it's nothing they can't handle. I truly think the worst of times have passed at GM and they don't need help from Renault/Nissan.
if the worst of times have passed for GM, then how come they are still producing bland cars that have options that are standard on any other car out there
the worst of times will pass GM when they become profitable again
If GM does this they are as good as dead. I mean Terry Schaivo dead. The main reason that Nissan/Renault is doing good now is because Ghosn is a notorious cost cutter, and cut away all of the fat from Nissan. However, with his airbrained move of moving Nissan North American headquarters from California to Nashville, he's displaing or eliminating the real movers and shakers responsible for the "exciting" cars and transformation of Nissan.
Also, as said above, Ghosn is a cost cutter by nature, and would eliminate too much, and we all know GM's experience of cost cutting.
And Renault doesn't seem to have a good track record with mergers. Their strategy seems to be one of swoop in and propose a "merger", infiltrate the chain of command, bleed the company of anything and everything worthwhile, and cast off the carcass and move on to something else. AMC anyone???
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Nissan stops sales of some Altimas, Sentras
Reuters / June 2, 2006 - 4:45 pm
DETROIT -- Nissan Motor Co. Ltd. said on Friday it had asked its U.S. dealers to stop selling certain 2006 model-year Nissan Altima and Sentra SE-R cars due to reports of excessive oil consumption that could damage the engine or cause a fire.
About 100,000 Altimas and Sentra SE-Rs built between January and May 2006 may have the problem, according to the company.
There have been about 215 reports of excessive oil consumption, mostly from rental-car fleets, and 17 reports of engine fires, resulting in one minor injury, Nissan said.
This is the latest setback for the Japanese automaker, which has cut U.S. production this year because of sales declines in the region. Nissan's U.S. sales are down 1.8 percent so far this year, according to the Automotive News Data Center.
Nissan said it had extended the engine portion of the vehicles' warranty on Altimas and Sentra SE-Rs built during January to May 2006 to 84 months or 100,000 miles
sorry but nissans are not that great GM should stay on there own i think. there doing better without nissan.
They are not that bad.^
And I like this idea because of Renault not Nissan. Nissan is where it is at thanks to Renault. Nissan's design has French influence inside and out, which personally I like. Besides design, Renaults are know for their safety engineering and they have Formula 1 expiriance as well.
Wish we had French cars here.
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Are you F'ing kidding me?
If there was ever a company in the history of automotive business that needs cost cutting, and fat trimming it's GM. You make Ghosn sound like Hitler. The man and Renault single handedly saved Nissan from disapearing forever. And By the way AMC was not shut down by Renualt...get your facts straight. AMC was owned by Chrysler and Chrysler changed the name of the company to Eagle in the mid 80's (i.e. Talon, Vision, and so on) Chrysler ended AMC/Eagle in the late 90's. Don't believe me? go read. I still remember the commercials on TV announcing the name change.
GM screwed up, and their sloppy business practice has finally caught up to them. At this point the only real way to get on track is to merge with a company that not only has an amazing record of turning a turd company back into profit....but can do it with nobody "the fat" to tell them no. Stop swinging an American Flag, I love America but if an American company can't run them selves than i'd rather see a Foriegn company jump in and save them. I bet some of you think Chrysler would be fine today if Mercedes didn't buy them too.
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Um... show me a renault that looks good that isn't a concept. 75% of their cars look like ass. the other 25% look bland. I'll give you they might be suicide. Buy if GM cars start looking "french" they might as well shoot themselves in the head. I'd rather GM not get design influences from Renault.
I wrote this post a long time ago, a real long time ago, back in 94.
blah.ironic type-o
I'll give you they might be SAFER
I wrote this post a long time ago, a real long time ago, back in 94.
Quote:
But if GM cars start looking "french" they might as well shoot themselves in the head. I'd rather GM not get design influences from Renault.
Exactly, sure some of their cars have bland styling but at least it's better looking than the french crap that Reanult is putting out.
Quote:
And By the way AMC was not shut down by Renualt...get your facts straight. AMC was owned by Chrysler and Chrysler changed the name of the company to Eagle in the mid 80's (i.e. Talon, Vision, and so on) Chrysler ended AMC/Eagle in the late 90's. Don't believe me? go read. I still remember the commercials on TV announcing the name change.
But not before it was rundown into the ground with some help by Renaults ignorance of the american market then.
Quote:
GM screwed up, and their sloppy business practice has finally caught up to them. At this point the only real way to get on track is to merge with a company that not only has an amazing record of turning a turd company back into profit....but can do it with nobody "the fat" to tell them no. Stop swinging an American Flag, I love America but if an American company can't run them selves than i'd rather see a Foriegn company jump in and save them. I bet some of you think Chrysler would be fine today if Mercedes didn't buy them too.
For one thing GM was in worse shape in the late 80's/early 90's but they were able to come out of that ok without merging with another company. I'd rather see the company in American hands or dead instead of under Foreign control anyday which is why I choose not to buy any Daimler Chrysler vehicle since the merger. Jeep would've been perfectly fine but as for the rest of Chrysler who knows. While were on the subject I just love how those germans are taking credit for inventing the 4x4 drive that has underpinned Jeeps since the beginning of Jeep in the Dr.Z commercial.
I'll take GM's designs over austintatious anyday. Those things are gross.
Cadillac has great designs. The new sky/solstice, and most of the new Saturns are coming along nicely. The only vehicle that GM's makes that I think is just stupid is the uplander. And we got one as a rental car and the inside is just as stupid. That vehicle is a disaster in cheapness.
But back on point. Those vehicles suck. They look more like toys than any GM vehicle ever made. If that influence starts showing up in their cars, I'll move to Ford. and if Ghosn goes there, well DCX may not be American anymore, but at least Merc's look decent.
I wrote this post a long time ago, a real long time ago, back in 94.
Meh.. to each their own.
But yes... other then Cadillac, GM trucks, Corvette and a handful of Pontiacs the rest of GM's exteriors and interiors are ho-hum.
Hell, GM has to go to Germany to bring some interesting designs here and try to save a nameplate.
I strongly believe DCX lost big when Benz bought them and Benz gained witht them. I can only say that Benz did well was when Benz gave their cargo van to dodge and putting in a Diesel in the Liberty oh and the rear suspension for the LX platform from the previous E-class.
Edited 1 time(s). Last edited Friday, July 14, 2006 10:56 AM
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-----The orginal Mr.Goodwrench on the JBO since 11/99-----
id rock out with my cawk out , with this 1, in a different color though , a nice shade of bright blue in a mettalic
if that cawk head wouldnt have poped off like hid did GM wouldnt have to look into talking with anyone , granted they do have to look out for the stock holders , but no need to have to rush into talking with anyone
rushing into things usually makes a bigger mess outta stuff
Edited 1 time(s). Last edited Friday, July 14, 2006 2:55 PM
Id deffinitely drive that clio v6. Expecially with the gm badge on it. Perhaps it coming with a turbo eco?
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I would hope it did not come with a Eco, unless it is a LNF-Eco.^
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