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Hummer H3T Pickup Will be in Showrooms by Q3 2008

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GM has confirmed that the Hummer H3T pickup truck will arrive in dealers sometime in Q3 2008.

The new truck will be built in Shreveport, LA and the automaker is investing $73 million in the plant. GM remains quiet on the final details of the new truck. The H3T concept was unveiled in 2003, but according to recent spy photos the truck will most likely be a four-door.

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PRESS RELEASE:
GM Investing $73 Million in Shreveport, La. Truck Plant for Production of HUMMER HT3

SHREVEPORT, La. – General Motors today confirmed that it will invest approximately $73 million into its Shreveport, La. truck assembly plant to prepare the plant for production of the all-new HUMMER H3T.

"GM's $73-million investment in Shreveport is further proof that the community remains an important part of GM's manufacturing plan," said Troy Clarke, GM Group Vice President and GM North America President. "The H3T is unique for HUMMER because it is the brand's first true pickup. Like every HUMMER model, the H3T delivers capabilities unparalleled in the marketplace and will carve out a new niche in the truck market. I'm happy to say that the men and women of Shreveport will be a big part of this new growth."

Cal Rapson, UAW vice president and director of the GM Department, also voiced strong support for the project.

"This investment is a testament to the members of UAW Local 2166 for their hard work and commitment to build high quality products," Rapson said. "UAW members at the Shreveport plant are an important part of the team that is bringing this exciting new GM vehicle to the market."

Larger than a midsize truck, smaller than a full-size, the H3T delivers attitude, versatility and capability. And more important, with a fully functional truck bed and one of the industry's broadest range of personalization accessories, the H3T provides a new level of lifestyle functionality to the HUMMER portfolio and will draw new customers into the brand. The H3T is scheduled to arrive in dealerships by third quarter 2008.

"I am delighted that GM has once again chosen to increase investments in Louisiana by expanding operations in Shreveport," Governor Blanco said. "Louisiana looks to partner with companies interested in doing business in our state who will not only positively impact the region's economy with their activity, but will also provide quality jobs with good benefits to our workers. Thank you for helping us move Louisiana forward."

In the last several years, GM has invested approximately $1.5 billion in the Shreveport facility. This investment along with the plant's annual payroll of $160 million and annual taxes of $4.5 million, demonstrates that GM will continue to be an economic force in the local community and state of Louisiana for years to come.

Shreveport Assembly has built trucks since 1981, beginning with the Chevy S-10. The plant presently produces the HUMMER H3 and Chevy Colorado and GMC Canyon mid-size pickup trucks. Shreveport Assembly employs approximately 2,100 employees.

General Motors Corp. (NYSE: GM), the world's largest automaker, has been the annual global industry sales leader for 76 years. Founded in 1908, GM today employs about 280,000 people around the world. With global headquarters in Detroit, GM manufactures its cars and trucks in 33 countries. In 2006, nearly 9.1 million GM cars and trucks were sold globally under the following brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel, Pontiac, Saab, Saturn and Vauxhall. GM's OnStar subsidiary is the industry leader in vehicle safety, security and information services. More information on GM can be found at www.gm.com.

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Comments (26)

Chris:

I don't even care for Hummers, but I enjoy the fact that this will kill off a few hybrid driving CAFE supporting global warming believing latte sipping liberals via way of heart attacks and aneurysms.

gm0n3y:

Good god, what a hideous monstrocity. Given that I only see about 1 hummer a week, I can't see this selling well. Why won't the hummer brand just die?

Hummer H3T SUPER CAR www.automobilist.org

Steadler and Waldorff:

Any chance of ever be taken serious, is lost.

Goodluck with US93+/barrel (its stable against the Euro, though)

Allen:

gm0n3y: because enough people either think they really need this kind of off-road capability, or enough men have problems with self-image that they think they need this kind of off-road capability.

Seriously though, this truck will command WAY to high of price range to make its way into the hands of the people who really will use it anytime soon. I can tell just by the size of the truck and the way that it looks that GM engineers imagined that for the people who drive Land Rover Defenders around the African Savannah today will be driving this in 20 years.

But they won't even be using this then, as it won't sell in high enough numbers (too expensive) to make its way into people's hands for export, and in foreign countries they use cars that parts can be found much easier than this for. So why were those engineers told to make this? Because enough execs at GM thought another niche market model was worth the time and effort to produce.

Seriously, with all these niche items, how can GM make money? This was a $73million investment. One can easily look at that number and say "GM only needs to sell 2067 of these trucks at $28,000 each (invoice price not retail is what the manufacturer makes) to match its investment." But remember, a car manufacturer works out of its profits, not revenues.

In the fourth quarter of 2006 GM reported profits of $950 million, $770 million due to the sale of a 51% stake of its GMAC arm (thats not all it made on the sale, but thats all being reported for the quarter). GM stated it would of made $180,000,000 had it not been for that sale. It produced 1.107 million vehicles for 4th quarter 2006. I cannot find data on the exact number of sales, so lets go with the production numbers (if you do find exact sales, let me know!).
180,000,000/1,107,000 is $162.60 of profit per vehicle sold.

With that as an average profit, it would take sales of 448,955 H3T's during that trucks lifetime of production in order to be worth the investment. I expect the H3T to have a much higher profit margin than the average I computed (which, again, is based wrongly on number of cars produced, I should use data of actual sales but GM did not publish sales in its 4th quarter for 2006, on their website I only find individual monthly data and 1st and 3rd quarter sales for 2006). But even so, what if the average profit was $1000? Thats 73,000 H3Ts that need to be sold for the amount of profit to equal the amount of investment.

I expect that over its LIFETIME the H3T will sell perhaps that well. The reason the H2 remains popular is because at its price tag upper-middle-class can afford one and wealthy clients several: and then they customize them or use them once a month. The H2 is not a high volume seller either.

The H3? Well that has never flown off the lots either, its perhaps recouped its investment but with Hummers increasingly poor image its not going to get better out there.

In the end the biggest benefit to producing this car for GM is that they have an updated plant in Shreveport to work with later, and if they sell it then they make a profit on the equipment (less depreciation).

Still, its bad business policy for GM to hope to make their money after the plant depreciates.

The H3T is going to attract slightly-higher-than-usually-paid rednecks, and that is it. Oh, and the occasional suburban dad who doubts his manhood.

So here is another niche market item from General Motors, who, at the rate its blowing its turn-around cash, will be remembered as the Pension Company that flailed about madly as its loss-making nuisance of an automotive company side drowned in legions of small production, costly niche models. *Raises Glass of Champagne*

Allen:

*Throws it back like a shot glass*

Well now, even if GM could make $2000 off this car after all expenses, it'd be 36500 sales before this car paid for itself. But does GM need a car that sells 36500 at $2000 or 100,000 at a $1000. The second one of course. It needs to gain market share and grab more profit.

Thats what GM isn't getting I think. They are acting like they are trying to enter new markets with these niche models, but what they seem to fail to understand is that everyone who needs a car or truck HAS ONE if they could afford it already. It doesn't matter if the H3T suits 36500 customers needs, those 36500 customers already were purchasing trucks because they needed them. If this truck suits them better than great, but there is a chance even that GM will steal some sales from its own full-size trucks with the production of the H3T. Maybe then a few F-150 sales, or even a few Toyota Tundra TRD editions will remain on the lots for people who buy H3Ts. But honestly, its not going to steal ALL those cars sales, if very many at all.

Steadler and Waldorff:
Please provide me with data that the price of Oil has risen in Dollars but not Euro. Your words do not make sense: the price of Oil is set in dollars, so the price of Oil in Euro would be a direct conversion of Dollars to Euro. If the Price of oil per barrel is $93, then with the Euro at $1.40 the price of oil in euros its 66.43 Euro. If the Euro trades at $1.4 and oil is at $70 a barrel, then in Euros the price is 50. Only if the Euro rose at the rate of the price of oil could it be said that the price of oil is "stable against the Euro." But the Euro has been valued around $1.4 for some time, so the price of oil in Euro's has definitely risen now for some time.

Also, for some reason we are not seeing record gasoline prices in the US yet. Around where I live the price is still $2.63 a gallon. Lower profit margins on oil all of a sudden or lower consumption, you take your pick...

mf:

This reminds me of the old cherokee trucks.

If they wanted to sell these things, they should have put a 6 cylinder diesel in it.

Dan:

just shoot me. please. get it over with now before some jackass driving this thing runs me off the road while on a cell phone sipping starbucks.

Chris:

Allen:

Rednecks wouldn't touch this with a 10 foot pole.

It's all the glamor chasing MTV yuppies and 'balling' Mexicans that buy these things and stick 30" 'dubs' with .001" profile tires and 15 sub woofers in them.

Chris:

Dan:

How about you shoot the individual idiots instead on a case by case basis, seeing as how a motor vehicle is considered a deadly weapon.

In my book, being irresponsible with a motor vehicle, which is classified a deadly weapon by law, is no different than someone waving a gun in my face. Both are defensible with justified deadly force.

Allen:

Chris:

Still, I think if your just shooting motorists, no matter how crazy they were driving you are going to be charged with at least involuntary manslaughter.

If we hit them with even BIGGER cars though, its totally their fault. Let the surburban arms race re-commence!

Chris:

Allen:

Or just step on the gas and stay clear of them while their 900 HP engine struggles through 10 gears in 2 seconds just to move their 9,000 lb tank 3 feet. Oh don't forget getting 2 mpg while they are at it!

Mwahaha.

So many people around here buy trucks because they have "powerful V8s". I'm sorry but 300 HP + 5,000 lbs is not what I call powerful. Not even close.

* This is my personal opinion of these people and their trucks, however they are free to waste their life as they please and I would fight any attempt to ban or restrict them from the vehicle of their choosing.

Chris:

Seriously though, if you had witnesses or some proof that someone was intentionally trying to run you off the road or otherwise chasing you or harassing you, it's considered aggravated assault with a deadly weapon, road rage, and all kinds of stuff.

The display, and sometimes the use, of a firearm in that circumstance would be, and has been, defensible in court as justified threat and use of deadly force.

I know of two specific cases where a firearm was displayed and pointed at the aggressor and not only did it end the aggressive act without a shot being fired, it was declared lawful threat of deadly force by the courts involved.

Anyway, back on topic.

RETNIAP:

for a gasoline stand owner it's not bad, ha?

Gary:

How serious of an Off Road machine can it be with touch screen controls in the center console? I bet that'll look real nice after getting your truck unstuck and then trying to change radio stations.

I agree that the Hummer brand just needs to die.

Dan:

"Gary:
I agree that the Hummer brand just needs to die."

my friend, you said it all. thank you.

zzz:

GM and any car company needs to stop dicking around in stupid niches if they really want to make money or make cars that will actually last into a 2nd generation model

Chris:

Gary:

It's not a off road vehicle. It's a "one up the Jones with more bling bling" vehicle.

I never see a Hummer covered in mud like it should be. Don't want to get those leather seats and 30" spinners and 16 plasma TVs dirty.

They would probably sell much more if they went to a basic un-blinged military style Hummer. Thats what consumers were interested in anyway, buying all the surplus Hummers. Then someone had the bright idea to go and capitalize on it and bling it out and pack it full of Rubbermaid and ruin it.

Real Hummers are diesel and don't even have carpet.

Kell:

"Real Hummers are diesel and don't even have carpet."

/agree

I'll bet it becomes just another high maintenance bling ride that never sees a dirt road.

longdxcommuter:

I agree that the majority of these vehicles will never see dirt. But, almost the majority of SUV's never see dirt. That is the real shame, the american consumer was convinced by clever marketing (in the 90's) that SUV's were a legitimate substitution for a minivan. The reality is that they are heavier, consume more fuel, and are over designed for their minimized role for the average commuter. I had two mid-nineties Nissan Pathfinders. While they were reliable trucks( and yes they saw mud on a weekly basis...I worked on jobsites then), they suffered from a confined interior and horrible fuel economy. I bought a minivan and never looked back. (granted I won't win any style awards, but the vehicle is perfect for the average family). The Hummer brand is suffering from this fate. The majority of consumers realize that these vehicles are more for show and the Blinged out look has played itself out.

For GM, it is a clever way to utilize the capable Colorado chassis on another product and hopefully it does provide more jobs in a depressed region. I agree with an earlier post, put a 6 cyl diesel, and lose the bling, I might be a buyer then.

pat:

hummers own all. this is the best truck i've eva seen u all wish u had 1. who eva dnt lik hummers is a homosexual!

BRIAN:

I THINK THIS IS ABOUT THE COOLEST TRUCK I'VE EVER SEEN AND I'VE BEEN DRIVING TRUCKS SINCE THE 80'S I WOULD BUY THIS TRUCK TOMORROW IF I HAD THE CHANCE. THIS IS WHAT A TRUCK IS SUPPOSED TO BE. GOOD GOING GM IF YOU KEEP THIS UP YOU WON'T BE HAVING MONEY PROBLEMS FOR LONG. I WILL HAVE THIS TRUCK!!!!!!!!

joepublic denmark:

This is what the world needs in terms of creating a public outcry. Every enviromentalist will hate it, every politician will rage against it - my girlfriend just LOVES it because it is about as political uncorrect as it could possibly be, and she would love to create the reactions from tax-ridden Danes, ranging from simple envy over fear to pure hate.
Way to go, GM! - I'll take one...

dreni:

hej ju lutem nje homer me ngjyre te zez

to
hamer naj jaci
u sfjetu
braooooooooooooooooooooooooooooo
kolko ide na sat


Emad Daher:

I would like to know more about hummer h3t, h4

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