GM Fire Sale Gathers Pace: Everything Must Go!

The Detroit News reports that previous reports reporting GM’s attempts to sell its Strasbourg factory– oh, and the HUMMER brand– are part of a wider campaign to throw the rest of the furniture at the cash conflagration burning down the house. “The Detroit automaker has sold hundreds of acres of land in recent months — including a plant where World War II fighter planes were built — and has several blockbuster deals in the works to sell shuttered facilities and land nationwide to net millions for the company. That’s money GM desperately needs to fund vehicle development and manufacturing, pay bills, and weather a credit crunch that has prevented some buyers from financing new cars, analysts said.” Hey! That’s us! But hang on; how can any real estate deal forged in the current market possibly be considered “blockbuster?” Anyway, the DetN has the full catalog, and, as you’d suspect, GM spinmeisters are whirling like dervishes. “When we can sell surplus property or get it off our books, there are certain benefits from a business standpoint,” GM spokesman Dan Flores told his hometown paper. “It allows us to reduce our operating costs. But our real estate strategy does not drive the business. The company’s focus is to generate cash. We’re not doing anything different than what we always do.” How scary is that?