GMC Archives

GM's eAssist hybrid system has been tasked with improving the fuel efficiency of some of GM's models like the Buick Regal and upcoming 2013 Chevy Malibu. It's also being reported that the Chevy Equinox and GMC Terrain crossovers will also get the eAssist system for the 2014 model year.

GMI is reporting that the GM crossovers will get the same system as the Buick Regal, LaCrosse and Chevy Malibu sedans. It was originally planned that the crossovers wouldn't get the eAssist system until their full redesign later this decade, but due to the extra supply GM is anticipating, the system will be offered sooner. The 2013 Chevy Malibu is launching with the eAssist system in the Malibu Eco, but once the new 2.5L Malibu is released later in 2012, GM expects demand for the Eco model to drop. In order to keep production of the eAssist system steady, the system is going to be offered in the crossovers.

GM's sales for September have just been reported with a total 207,145 vehicles sold in the U.S. That's a 20 percent increase over the same period last year.

"For GM, all of the factors that say this is a good time to buy a new vehicle outweigh the bad news that appears to be slowing down the broader economic recovery," said Don Johnson, vice president, U.S. Sales Operations. "We're well positioned going forward because we have momentum and another wave of fuel-efficient passenger cars launching over the next several months at Chevrolet, Buick and Cadillac."

Sales of GM's passenger car sales increased 12 percent, crossover sales increased 7 percent and truck sales, which include full-size pickups and SUVs, increased 34 percent.

GM has announced the introduction of the auto industry's first ever front center air bag that is designed to protect drivers and front passengers in far-side impact crashes where the affected occupant is on the opposite, non-struck side of the vehicle.

The new front center air bag will be standard on the 2013 Buick Enclave, GMC Acadia and Chevy Traverse crossovers. The front center air bag deploys from the right side of the driver's seat. It's designed to provide protection in passenger-side crashes when the driver is the only front occupant and also acts as an energy absorbing cushion between the driver and front passenger in both driver- and passenger-side crashes.

GM's analysis of NHTSA's reporting found that far-side impact crashes, accounted for 11 percent of the belted front occupant fatalities in non-rollover impacts between 2004 and 2009. Far-side fatalities also 29 percent of all the belted front occupant fatalities in side impacts.

"The front center air bag is not required by federal regulation, and no other air bag in passenger vehicles today offers the type of restraint and cushioning this air bag is designed to provide for front occupants," said Scott Thomas, senior staff engineer in GM's advanced restraint systems.

The 2012 GMC Sierra 3500 HD pickup recently won PickupTrucks.com's "Heavy Duty Hurt Locker" comparison test.

"We procured similarly equipped trucks from Ford, Ram and GMC and put them through the paces, towing up and down some of the toughest grades in the country covering a total of 2,200 miles," said Mike Levine, editor of PickupTrucks.com. "When we analyzed the data, the GMC Sierra 3500HD simply outperformed the trucks from Ford and Ram."

"Customers choose full-size trucks for their capabilities," said Rick Spina, vehicle line executive for full-size trucks. "For 2012, we built on the foundation we created in 2011, with engineering changes and additional validation designed to make the most capable heavy-duty pickup even better. Based on PickupTrucks.com's test results, it looks like we got the job done."

For enhanced fifth-wheel towing, engineers strengthened the pickup box sills and other box structures, rear springs, u-bolts and box mounts, and upgraded the shock tuning. As a result, Sierra 3500HD now has a best-in-class tow rating of 23,000 pounds, up from 21,700 pounds in 2011.

GM is set to finally follow the trend of sharing a small number of platforms across several models. GM has officially announced plans to cut the number of platforms it currently has by more than half, from 30 down to 14 over the next seven years.

The ultimate goal is to have 90 percent of its global models built off shared platforms, which is up from 31 percent last year. The number of engine variants will also be reduced from 18 to 10 by 2018. The news was announced at GM's 2nd Annual Global Business Conference for investors and financial analysts.

"Today's GM has strong brands and fuel-efficient products that customers around the world truly value," said Chairman and CEO Dan Akerson. "To reach a higher level of performance - for our customers and stockholders - we are accelerating our efforts to simplify and strengthen our processes to improve efficiencies and achieve our vision, which is to design, build and sell the world's best vehicles."

GM is currently focusing its attention on releasing fuel efficient cars like the Chevy Cruze and upcoming 2013 Malibu. GM is going to continue to release key car models across its four brands, but in 2013 GM will shift its focus to launching new trucks.

In 2013 GM will launch its next-generation full-size pickups and SUVs as 2014 models. As with GM's latest cars, the new trucks will also focus on improved fuel economy. GM is expected to offer a new eight-speed transmission and turbocharged engines in its new trucks. GM is also going to add its eAssist hybrid technology to more models.

Buick and GMC are getting a version of the MyChevrolet system called the Buick/GMC IntelliLink. The IntelliLink system is similar to Ford's SNYC.

IntelliLink uses Bluetooth or USB to connect the driver's smartphone to a new 7- or 8-inch, high-resolution, full-color touch screen display radio. The system allows smartphone control via voice activation and steering wheel-mounted controls. It also enables streaming stereo audio from the phone through services like PANDORA Internet radio and Stitcher SmartRadio.

"Today's tech-savvy consumers expect more from their cars' infotainment systems," said Tony DiSalle, U.S. vice president of Buick Marketing. "They want a system that allows them to customize their in-vehicle experience with smartphones and other portable media devices. The availability of IntelliLink on every Buick sedan in 2012 and every Buick model in 2013 takes connectivity and media personalization to a new level."

Owners that don't have a smart phone can still connect to the system via system a Bluetooth-enabled cell phone, USB flash drive or digital audio player.

The Buick IntelliLink system will be available on the 2012 Regal, LaCrosse and Verano models. The 2012 Terrain will be the first vehicle to offer GMC IntelliLink.

GM has released a single teaser photo of the next-generation Chevy Colorado pickup. GM is set to debut the Colorado show truck t the Bangkok Motor Show in Thailand on March 25th.

The Colorado show truck is a preview of the all-new Colorado. According to GM, the reason why Thailand was chosen as the place to hold the global debut of the new truck is because of the popularity of pickup trucks in Thailand. In 2010 the pickup truck segment accounted for 43 percent of the vehicles sold in Thailand.

GM officially unveiled the GMC Granite concept at the Detroit Auto Show last year and by the summer there were reports that the Granite had been approved for production. Of course GM's PR team officially killed those rumors, but now there are reports that the concept has been given the green light.

The latest sources claim that the GMC Granite has been green-lighted and that it will go into production with the suicide doors featured on the concept. Don't expect to see it in dealerships anytime soon, since it's not expected until the 2013 or 2014 model year. The Granite will be based on the same platform as the Chevy Orlando, Volt and Cruze. It's most closely related to the Orlando, which is not coming to the US.

The small pickup market isn't what it used to be and today is largely only dominated by the Toyota Tacoma. Ford is actually ditching the market with the upcoming death of the Ranger in the US. But it looks like GM still sees demand in the segment since sources are now reporting that work has begun on the next -generation Chevy Colorado and GMC Canyon pickups.

The current Colorado and Canyon will end production in June 2012 at GM's Shreveport plant, but that doesn't mean that they are dead. PickupTrucks is reporting that work has already begun on the next-generation 2014 Colorado and Canyon that will be based on GM's all new GMI 700 body-on-frame global small truck platform. The new platform is expected to be unveiled at he 2011 Thailand International Motor Expo in Bangkok. When the new Colorado and Canyon launch production is expected to shift to GM's Wentzville plant that currently builds the full-size Chevy Express and GMC Savana vans.

GM has issued a recall of almost 100,000 2011 Chevy Equinox, GMC Terrain and Cadillac SRX crossovers due to seatbelt buckle anchors that may fracture and separate during a crash.

Since the seatbelt buckles may fracture, the seatbelts will not restrain the occupants in a crash.

The GMC Sierra All Terrain HD Concept looks like GM's answer to the successful Ford F-150 SVT Raptor.

The GMC Sierra All Terrain HD Concept is going to debut next month at the Detroit Auto Show. GM started with the Sierra HD as the basis for the concept. It's powered by the 6.6L Duramax diesel V8 that puts out 397 horsepower and 765 lb-ft. of torque. The engine is mated to a six-speed automatic and four-wheel-drive. From there the ground clearance has been increased by three inches and the width of the track is now 73 inches wide. It also gets specially constructed Fox off-road shocks and Custom front upper and lower control arms. The concept rides on 35-inch-tall BFGoodrich KM2 "mud terrain" tires mounted on 20-inch machined aluminum wheels.

GM insists that the Sierra All Terrain HD Concept is purely a concept.

"The design of the All Terrain HD is an expression of its capabilities - strong, functional and absolutely professional grade," said Carl Zipfel, design manager. "We're excited about the design elements and exploring how they could apply to future GMCs."

This morning GM celebrated its return to the NYSE for the first time since the automaker emerged from bankruptcy last year.

Chief Executive Officer Dan Akerson and other top GM members visited Wall Street this morning to witness the event in person. Shares quickly hit $35, which is higher than the initial $33 that the shares were priced at Wednesday evening. By late morning the shares were trading at $35.58.

The Federal Treasury is selling of more than 400 million shares of GM, which will reduce its stake in GM from 61 percent to 33 percent. In order for the government to break even the remaining shares will have to be sold for an average of $50 a share.

GM has announced the pricing for the 2011 GMC Acadia Denali, which is headed to dealerships now. For a mere $43,220 the Denali version of the Acadia is differentiated from the other Acadia models with a chrome honeycomb grille and monochromatic exterior, 20-inch two-tone chrome wheels, HID headlights, head-up display and heated and cooled driver and passenger seats.

GM has announced that its current CEO, Ed Whitacre is going to step down on September 1, 2010 and that his title of Chairman of the Board will terminate at the end of 2010.

Whitacre is going to be replaced by Dan Akerson, who has served on the GM board of directors since July 2009.

"My goal in coming to General Motors was to help restore profitability, build a strong market position, and position this iconic company for success," said Whitacre. "We are clearly on that path. A strong foundation is in place and I am comfortable with the timing of my decision."

"There are remarkable opportunities ahead for the new GM, and I am honored to lead the company through this next chapter," said Akerson. "Ed Whitacre established a foundation upon which we will continue building a great automobile company."

The Hebrew University of Jerusalem that owns Albert Einstein's publicity rights is suing GM for the unauthorized use of his image in an ad for the GMC Terrain.

The university sued GM in U.S. District Court in California on May 19 for more than $75,000. Einstein willed his publicity rights to the university before he died in 1955.

This is just another marketing issue for GM following the recent commercials which featured Chairman and Chief Executive Ed Whitacre discussing the fact that GM had repaid its federal loans. He was accused of stretching the truth. GM has also switched ad agencies for the Chevy brand twice in the recent months.

According to GM's spokeswoman, Ryndee Carney, GM purchased the right to use Einstein's image from a "reputable firm." GM's ad agency Leo Burnett created the ad which ran in People magazine's "Sexiest Man Alive" issue last September.

Although the segment is much smaller than it was in the 80's and other manufacturers are pulling out, GM is working on a new small truck. According to sources GM is working on a new compact truck that will be similar to the originial S-10.

GM's current small trucks, the Chevy Colorado and GMC Canyon have been losing sales over the past few years and the future of the two trucks is uncertain. GM currently plans to end production of at the Shreveport plant where the two trucks are produced in 2012.

One of the main reasons for the decline of the segment is that the current players like the Toyota Tacoma have gotten bigger and more expensive. Former small truck buyers have moved into the full-size segment because the price tag is often close to that of the current midsize trucks.

GM now sees room for a new small truck that would get better fuel economy than the larger trucks and also be much cheaper. The small truck would be similar in size to the compact pickups of the 1980's.

Ford is planning on Ranger next year, which means Ford truck buyers will have to make due with the F-150. But even though Ford is pulling out of the segment, Chrysler is hoping to produce a successor to the soon to be dead Dodge Dakota. Toyota's Scion is also considering a small truck as well.

Last week GM announced that it paid off its government loans early and now GM has announced plans to invest $890 million a new generation of fuel efficient small block truck and car engines.

"GM is investing in our plants, restoring and creating jobs and making progress toward our vision of designing, building and selling the world's best vehicles," said Mark Reuss, president of GM North America. "These latest investments show our commitment to improving fuel economy for buyers of every GM car, truck and crossover and giving them the best possible driving and ownership experience."

The next generation small block engines will be more fuel efficient thanks to direct injection and an all-new advanced combustion system design. The engines will also use aluminum engine blocks and be E85 ethanol capable.

The investment is expected to create or retain more than 1,600 jobs.

GM Chairman and CEO Ed Whitacre announced this morning that the automaker has made its final payment of $5.8 billion to the U.S. Treasury and Export Development Canada, ahead of schedule. The announcement was made at a ceremony to highlight an investment of $257 million at GM's Fairfax, Kansas, and Detroit Hamtramck assembly centers.

"GM is able to repay the taxpayers in full, with interest, ahead of schedule, because more customers are buying vehicles like the Chevrolet Malibu and Buick LaCrosse we build here in Fairfax," said Whitacre. "We are now building some of the best cars, trucks, and crossovers we have ever built, and customers are taking note. Our dealers are increasing their sales, we are investing in our plants, and we are restoring and creating jobs."

The U.S., Canadian, and Ontario governments gave GM loans of $8.4 billion and took equity stakes in the new GM. Today's payment of $5.8 billion ($4.7 billion to the U.S. Treasury and $C1.1 billion to Export Development Canada) completes the payback of the loans.

"GM's ability to pay back the loans ahead of schedule is a sign that our plan is working, and that we are on the right track. It is also an important first step toward allowing our stockholders to reduce their equity investments in GM," said Whitacre. "We still have much hard work ahead of us, but we are making progress toward our vision of designing, building, and selling the world's best vehicles.

GM also stated that sales of GM's four brands are up 36 percent through March versus the same period in 2009.

GM's Vice Chairman Bob Lutz recently spoke to journalists in Los Angeles where he spoke about GM's strong portfolio. But he failed to mention the Chevrolet Colorado and GMC Canyon pickups. PickupTrucks asked him what the future holds for the small pickups and he said:

"It's uncertain at this point," Lutz said. "They may well [go away]."

GM has yet to announce a plan for its small pickups. Last year Louisiana Gov. Bobby Jindal said that GM plans to end production at its Shreveport plant in 2012 where the trucks are produced.

It looks like the GM pickups may be on their way out following the Ranger and Dodge Dakota pickups.

GM has announced plans to invest $494 million to produce the next generation Ecotec engines. The investment will also create nearly 550 jobs.

There will be three plants involved in the investment, Tonawanda, NY; Defiance, OH and Bay City, MI. At the Tonawanda plant, GM plans to invest a whopping $425 million, which is where the engines will be produced. In Defiance, GM will invest $59 million and the Bay City plant will get $10.5 million.

"GM is transforming its product portfolio to reduce fuel consumption and emissions, and the next generation Ecotec engine is an integral part of that transformation," said Denise Johnson, vice president - labor relations. "The investment in state-of-the-art four-cylinder engines is another example of GM's commitment to replace larger-displacement engines with more compact, advanced four-cylinder engines that optimize fuel savings and performance. We look forward to working with our union partners at these three plants to make this investment a success."

Currently the Ecotec engines come in 2.0, 2.2 and 2.4L displacements.

Trucks produce large profits for automakers, especially the Detroit automakers. The truck market has been badly hurt with the economic downturn, especially since the housing market is dead. But it will come back, which explains why GM is going to spend $1 billon bucks on redesigning its Chevy Silverado and GMC Sierra pickups.

Chairman and Chief Executive Edward Whitacre recently approved the project. GM is betting big that the full-size truck market will eventually come back strong. The Chevy SIlverado and GMC Sierra are currently the oldest trucks out of the Detroit automakers, even though they were redone in 2006.

The current plan would bring GM's new trucks to market between 2012 and 2013.

At this year's Detroit Auto Show, GM is going to unveil the smallest GMC ever, the Granite Concept.

"Granite was conceived as a new type of vehicle from GMC - one that could stretch people's ideas of what a GMC can be," said Lisa Hutchinson, product marketing director for GMC. "We call it an 'urban utility vehicle' and our goal was redefining what the GMC name could mean to a new generation of customers looking for both bold design and functionality."

The Granite is a full two inches shorter than the GMC Terrain and is aimed at young professionals. The concept is powered by GM's new turbocharged 1.4L four-cylinder engine mated to a six-speed transmission. In the Chevy Cruze the engine puts out138 horsepower and 148 lb-ft. of torque. The Granite concept features a four-door design with suicide doors. Since the concept doesn't have a B-pillar there is easier access to the passenger area.

GM hasn't announced if the Granite concept is destined for production.

GM has released teasers of a new GMC concept dubbed the GMC Urban Utility Concept. The concept was previously mentioned as the GMC Granite, which is based on the Chevrolet Orlando.

"We've designed a new breed of truck that's as efficient as it is chic, innovative as it is functional," says Frank Saucedo. "Our goal was to create the next generation of urban mobility, fusing a flexible, functional social space with an urban-box design that's equally at home at the cabin or the club."

Think of the concept as GMC's as a Kia Soul, Nissan Cube and Scion xB competitor. Either way the concept hints at a new direction that GMC may eventually enter. Would you buy it?

GM has unveiled the first ever GMC Denali crossover, the 2011 GMC Acadia Denali.

The 2011 GMC Acadia Denali stands out from the rest of the Acadia lineup with a mono-color exterior and chrome honeycomb grille, a feature on all GMC Denali models. The exterior also features unique lower front and rear fascias, HID headlamps, Denali badges and 20-inch chrome wheels and dual chrome exhausts.

Inside there are perforated leather seats, heated and cooled driver and passenger seats, the Dual SkyScape sunroof system, Tri-zone automatic climate control, Rear-seat DVD entertainment system, a rear view camera, etc.

The Acadia Denali is powered by a 3.6L direct injection V-6 engine that is mated to a six-speed automatic transmission.

The 2011 GMC Acadia Denali will be available in the third quarter of 2010.

Wow that was fast! GM's CEO Fritz Henderson has stepped down. This has been quite a year for GM, since this is now the second CEO that GM has lost this year.

It's not exactly known why Henderson has stepped down, but the past few months GM has had a rough time offloading Opel, Saab and Saturn. All three deals that were expected to conclude fell through. It's also being reported that there was some clashing between Henderson and Chairman Ed Whitacre.

Chairman Ed Whitacre is going to act as the interim CEO until a replacement is found.

Motor Trend has announced the list of SUV contenders for its "SUV of the Year" award.

Of course this award is great to whomever wins, due to all of the bragging rights that come along with it. It's usually heavily used in every ad campaign. Last year the Subaru Forester took home the award.

Which SUV do you think should win this year's award?

The general manager for Buick GMC, Susan Docherty recently did a web chat on the GM FastLane blog where she stated that the new GMC Terrain is not going to be offered with a diesel engine or a Denali version.

Docherty also stated that GM has no plans to produce a Buick version of the Chevy Equinox/ GMC Terrain. GM originally planned to produce a Buick version, but pulled the plug in late August due to negative feedback. Docherty called out the early success of the Terrain by announcing that there has been limited availability, which should improve in October.

GM has reportedly killed plans to produce a unibody pickup after figuring out that it wouldn't get really get better fuel economy than its current trucks. GM's vice chairman of global product development, Tom Stephens, told the Automotive News that the unibody pickup would have had less capability, but not better fuel economy.

A new study by Consumer Reports claims that 81 percent of respondents who stated that they are looking to buy a new car, would consider a domestic brand. This compares to only 47% for an Asian vehicle and 46% for a European brand.

Of course not every domestic automaker is equal. Ford has benefited the most with a 17 percent increase compared to a year ago. GM interest is only up 6 percent, while Chrysler is down 25 percent among new car buyers.

"The Detroit 3 have been in the spotlight all year," said Rik Paul, automotive editor, Consumer Reports. "Ford was the only one of the Detroit 3 that did not seek federal assistance, and this has likely helped bolster its reputation among car buyers."

Out of those surveyed only 9 percent are likely to buy a car in the next year compared to 19 percent a year ago.

In a surprise move, GM has decided to stop putting the silver corporate logo on its vehicles in an attempt to emphasize the four brands that survived GM's bankruptcy.

The decision was made earlier this month and will start with the 2010 model year.

"We are just really focused on the four core brands and this provided us with another opportunity to make sure they were at the forefront," GM spokesman Terry Rhadigan said.

According to Rhadigan people outside the midwest do not always link Cadillac or Chevy with GM.

In addition to the announcement about the Volt and the 25 new models that GM is planning on releasing, the automaker also announced the launch of "The Lab," a microsite featuring future projects by GM's Advanced Design team. The microsite currently features two new concepts that are being developed, the Bare Necessities Truck and the Bare Necessities Car.

The theme of the two concepts is to offer buyers what they want and nothing more, hence "bare necessities."

In addition to the announcement about the Chevy Volt, GM has also announced plans to introduce 25 new models between now and 2011.

Chevy is going to introduce 10 new models; Buick and GMC will also introduce 10 new models, including a a Buick plug-in hybrid compact crossover in 2011; Cadillac is introducing five new models through 2011.

One of Cadillac's new models will be a new entry-level sedan that will slot below the CTS in the lineup. The new sport sedan will be offered in rear-wheel-drive and all-wheel-drive versions.

"We are determined to repeat what CTS has already achieved in design, quality, driving dynamics, performance and fuel economy to grow our presence in this high-volume and highly competitive segment," Henderson said.

GM's new chairman, Ed Whitacre has announced that the automaker will release some new models sooner than originally planned to regain some of the market share that its lost.

GM is fresh out of bankruptcy, but received $50 billion in federal aid, which will help it regain some of its losses. GM's market share dropped to 18.9 percent last month down from 20.5, which was more that 50 percent decades ago.

"Our cash position is good," Whitacre said. "We have some flexibility."

Whitacre did not announce which models we can expect to see sooner, but GM's market share is expected to further erode since it is selling or phasing out the Saturn, Saab, Hummer and Pontiac brands.

GM has officially exited Chapter 11 bankruptcy proceedings and what's left is what GM is now referring to as the "new" GM.

"Today marks a new beginning for General Motors, one that will allow every employee, including me, to get back to the business of designing, building and selling great cars and trucks and serving the needs of our customers," said Fritz Henderson, president and CEO. "We are deeply appreciative for the support we have received during this historic transformation, and we will work hard to repay this trust by building a successful new General Motors."

The new GM consists of four core brands: Cadillac, Buick, Chevrolet and GMC, which means a total of only 34 nameplates. Less GM models will allow GM to focus more attention on making each model more competitive. In addition the new GM has a more competitive cost structure, a cleaner balance sheet, and a stronger liquidity position that will enable GM to invest in new products, key technologies, and its future.

The U.S. Treasury department reportedly owns 60 percent of the new GM, while Canada holds 11.7% and the UAW holds 17.6%.

GM has announced the start of a 72-hour sale that includes zero percent financing for up to 72 months on all Pontiacs and large Chevy and GMC trucks and SUVs.

The soon to be dead Pontiac Vibe, G3, G5, G6 and G8 are all included in the sale, which starts today and funny enough runs through July 6th. Too bad that is a little longer than 72 hours... In addition to all the Pontiac models, GM is also including the Chevy Impala, Silverado and Tahoe in addition to the GMC Yukon and Sierra models in the sale.

Other GM models will also have zero percent financing, but for only 60 months.

GM has announced the pricing for the 2010 GMC Terrain that will be available in dealerships this September.

The 2010 GMC Terrain starts at $24,995 for the front-wheel-drive model and $26,745 for the all-wheel-drive version (including a $745 destination charge). The Terrain is powered by a 182-hp 2.4L direct-injection engine mated to a six-speed automatic transmission and gets an estimated 32 mpg on the highway. A 264-hp 3.0L direct injected V6 is also available.

The Terrain comes standard with such features as a rear-view camera, a six-speaker AM/FM/CD audio system with USB connectivity and XM satellite radio, six airbags and StabiliTrak vehicle stability control.

GM has announced this morning that the former AT&T CEO, Edward Whitacre, Jr. will become chairman of the "new" GM when the company is launched this summer. GM's interim Chairman Kent Kresa will continue to serve as interim chairman until the launch.

"The appointment of Ed Whitacre as chairman represents a very auspicious beginning for the New GM," said Kresa. "We look forward to working with him to complete the reinvention of GM and maximize the enormous potential of this new enterprise."

Whitacre and Kresa will join current board members Philip A. Laskawy, Kathryn V. Marinello, Erroll B. Davis, Jr., E. Neville Isdell and President and Chief Executive Officer Frederick A. Henderson will serve as the board for the new GM. The six other members of the board will likely retire.

"I am honored to be able to serve GM at this critical juncture and take part in its reinvention," said Whitacre.

Well it was Chrysler last month and now as many people expected, GM has filed for Chapter 11 bankruptcy.

GM has officially filed for bankruptcy in a New York court citing $82 billion in assets, but an astounding $172 billion in debts. Although GM for most of its 100-year history has managed to hold the title as the world's largest automaker, the automaker has seen its sales drop almost 50 percent this year.

“Today marks a new beginning for General Motors,” GM Chairman Kent Kresa said in a statement this morning. “A court-supervised process and transfer of assets will enable a New GM to emerge as a stronger, healthier, more focused and nimbler company with a determination not to just survive but to excel.”

The process will see GM divided into two groups, good assets and bad assets. The good assets will become part of the new "leaner" GM and the bad assets will be liquidated. To aid in the process the U.S. treasury is going to provide an additional $30 billion to finance GM during the bankruptcy, which brings the total to almost $50 billion.

Just like Chrysler did yesterday, GM has announced plans to close 1,100 of its "underperforming" dealers.

Although GM has identified the 1,100 dealers that will be closed, the automaker is not closing any dealerships today. GM will be working with the dealerships over the next few weeks to come up with a long term plan. It is expected that their will be a wind-down of the affected dealers over the next year. This is in contrast to Chrysler's plans to close its affected dealers by June 9th.

GM likely to announce more dealer cuts in the future since the automaker wants to pare down its network from 5,969 stores to approximately 3,600 by the end of 2010.