Tough year at Bowling green....

Tough year at Bowling green....

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Vet Guru

Original Poster:

2,181 posts

246 months

Thursday 17th December 2009
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Confirmation Of Tough Year: Corvette Plant Was Down 26 Weeks; Line Rate Now = 8/Hour



As 75 more workers were indefinitely laid off from General Motors' Corvette assembly plant in this western Kentucky city, those who remain say 2009 has been one tough year.

GM's Bowling Green Assembly Plant was temporarily shut down for a total of 26 weeks this year, according to The Daily News of Bowling Green. Among the only good news: word that no temporary shutdowns are scheduled for 2010.

"It's almost positive news because there's not as much negative news," Bowling Green plant manager Bob Parcell said.

As demand has dwindled for luxury vehicles such as the Corvette, the plant has been forced to slow production.

Last year, the plant churned out 18.5 cars per hour. That rate was cut to 15 cars an hour in October 2008 and then to 11 cars an hour in March, according to Andrea Hales, communications manager for the local plant.

Now, production lines are transitioning to eight vehicles an hour.

Earlier this year, the plant halted production of the Cadillac XLR.

By the beginning of this month, the plant employed 486 workers — fewer than half the 1,100 workers it once employed.

Employee morale is "not very high," Parcell said. "You look at 2009 ... and the plant's been down as much as it's been run. It's hard to come to work all fired up."

This year, employees like Patrick Klein have watched co-workers get laid off or struggle through plant shutdowns.

"It's hard for anybody to keep their chin up when they know they're going to get laid off," said Klein, a 20-year veteran of General Motors and vice president of the United Auto Workers Local 2164.

And even though the company recently released better-than-expected sales figures, Corvette sales are still low, Klein said. "And that's what directly affects us here," he said.




ringram

14,700 posts

254 months

Thursday 17th December 2009
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Camaro ate the Corvette sales IMO

Godzilla

2,033 posts

255 months

Saturday 19th December 2009
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Very sad. The beginning of the end?

With no money whatsoever set aside for developing the C7, what is the future for Corvette?
It's always been an innovative brand, it needs to do something radical or it will die IMO. frown

Vet Guru

Original Poster:

2,181 posts

246 months

Saturday 19th December 2009
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David, I think if you look at every brand has had trouble in the last year even Bentley and Aston are way down, Corvette has been around for over 50 years and always stated true to a two seater sports car. A lot of owners come and go in any car make and model but the real hardcore owners stick with it. Look at the ZR1 not many car makers would have the guts to make something so ungreen in today's climate, Sell your Datsun and buy a ZR1!!!!

jeff m

4,060 posts

264 months

Saturday 19th December 2009
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Godzilla said:
Very sad. The beginning of the end?

With no money whatsoever set aside for developing the C7, what is the future for Corvette?
It's always been an innovative brand, it needs to do something radical or it will die IMO. frown
Sales may be down, but the Vette is far from "out", I was talking to a Dealer he said "you would be suprised how little financing we do, it's all cash."
I think the US would cut it's space program before cutting the Corvettebiggrin

With regard to the Camaro cutting into sales, that is a different market more in the Mustang Challenger bracket. The Corvette demographic is older with quite a few females.

ringram

14,700 posts

254 months

Saturday 19th December 2009
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jeff m said:
With regard to the Camaro cutting into sales, that is a different market more in the Mustang Challenger bracket. The Corvette demographic is older with quite a few females.
The demographs will overlap dude. To state that zero sales will go to Camaro is clearly wrong.

anonymous-user

60 months

Saturday 19th December 2009
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Definitely a tough year right across the motor industry and especially in areas which haven't benefitted much from "cash for clunkers", so larger cars (below footballer level) and commercial vhicles.

Sure, some overlap between Corvette and Camaro buyers - especially with American Carriage sitting Camaros on their forecourt at £43,000 which sounds a lot like Corvette money!

Radical revision of Corvette to survive? Doubt it. My bet is a gentle update of C6 into C7 with a slightly smaller V8 (5.5 litre?), less weight, about the same power and even better economy. Meanwhile I'm sticking to my old cars with low road tax, low insurance and low maintenance!

Biggest question for UK Vette-fans will be how the government raises taxes. If they don't play every green card they can find and nail the owners of all cars above a 1.1 Fiesta I'll be amazed! Large engined sportscars could end up about as popular as a Jensen Interceptor in 1974.

In the meantime.... driving

jeff m

4,060 posts

264 months

Saturday 19th December 2009
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ringram said:
jeff m said:
With regard to the Camaro cutting into sales, that is a different market more in the Mustang Challenger bracket. The Corvette demographic is older with quite a few females.
The demographs will overlap dude. To state that zero sales will go to Camaro is clearly wrong.
confused I didn't say zero sales.....

vetteheadracer

8,271 posts

259 months

Sunday 20th December 2009
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I think part of the problem is that Corvettes have been getting steadily a lot more expensive over the last 6 years for example a Z06 is now $86,000 whereas in 2003 it was $51,000 now even my basic maths says that it a lot. Even the base model has risen in price way over inflation rates during the same time period.

Vet Guru

Original Poster:

2,181 posts

246 months

Sunday 20th December 2009
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Nigel remember the option list alone has got bigger even the standard spec, sat nav, six speed paddle shift Z51, side air bags, bigger wheels, push button start, loads more spec and even the engine has got bigger a standard c6 is almost as quick as an older Z06!

v8yea

579 posts

228 months

Sunday 20th December 2009
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I would agree to a certain extent,bigger wheels mean a using about $2 worth more alloy,the casting costs the same,same with tyres probably $10 each more,bigger engine? simply castings again.As with all these arguments,a car needs an engine,needs wheels etc,small increments in the size doesn't mean you can charge for a new engine on top of the previous complete car price.
But you can't blame them for trying to make a profit,if it wasn't for GM's endeavours you wouldn't have a car to drive that you actually wanted.
Still a lot cheaper than European offerings (and much better value)

Vet Guru

Original Poster:

2,181 posts

246 months

Sunday 20th December 2009
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If that was the case nobody would also want more money for their house they bought about 10 years ago, Asking more money for the same thing!
irked

v8yea

579 posts

228 months

Sunday 20th December 2009
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Vet Guru said:
If that was the case nobody would also want more money for their house they bought about 10 years ago, Asking more money for the same thing!
irked

Remember the old saying ; Buy land ! They're not making it anymore ! (Mark Twain)
You can't live in a car (comfortably !)

franv8

2,212 posts

244 months

Tuesday 22nd December 2009
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Price rises - I think it's supply and demand - my feeling is Corvette have a more appealing proposition (not quite so weardy beardy American die hard enthusiast only now) - and so they've been able to start pushing prices to where some of the other cars are now these days.

As for marginal increase in cost for higher performance/bigger engines, we have to remember that making luxo - exec cars is an attractive one to all marques - they make much larger margins on them.

Admittedly now demand has dropped over the last year, it is a tough question to eradicate a margin in favour of sales or wait it out until the market returns.

Unless they've messed up and allowed their costs to increase whilst the sales were good, and now can't drop the price...

G4HKS

2,673 posts

225 months

Tuesday 22nd December 2009
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And sales in the UK of new Corvettes helped in this country by who in 2009 exactly?! In fact read 2006/7/ & 8! Whilst I appreciate the Manchester outlet's experience in the brand, there wasn't one Corvette sign, used or new car in fact anything relating to the marque on a recent trip up the country to Scotland. Looked all very Italian to me. Ultra professional (as you would expect from BM) and must have cost a fortune to re-fit but Corvette has be "deleted". If I missed something then apologies, it certainly wasn't obvious. And who can blame them?

Godzilla

2,033 posts

255 months

Tuesday 22nd December 2009
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G4HKS said:
And sales in the UK of new Corvettes helped in this country by who in 2009 exactly?! In fact read 2006/7/ & 8! Whilst I appreciate the Manchester outlet's experience in the brand, there wasn't one Corvette sign, used or new car in fact anything relating to the marque on a recent trip up the country to Scotland. Looked all very Italian to me. Ultra professional (as you would expect from BM) and must have cost a fortune to re-fit but Corvette has be "deleted". If I missed something then apologies, it certainly wasn't obvious. And who can blame them?
Er, was this a reply to a deleted post?

anonymous-user

60 months

Tuesday 22nd December 2009
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franv8 said:
Unless they've messed up and allowed their costs to increase whilst the sales were good, and now can't drop the price...
IMO that's where the Grand Sport makes good sense for the manufacturer. Build cost will be very close to the base model but the car sells at an enhanced price (even if it ends up having to be discounted).

RDMcG

19,450 posts

213 months

Tuesday 22nd December 2009
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One of the issues is that they do not have a production plan for a replacement platform in the wings, and its not clear how much they can stretch the current one.Ed Whitacre is not a car guy, and not clear if he would put money in unless there is a clear profit.

G4HKS

2,673 posts

225 months

Wednesday 23rd December 2009
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Godzilla said:
G4HKS said:
And sales in the UK of new Corvettes helped in this country by who in 2009 exactly?! In fact read 2006/7/ & 8! Whilst I appreciate the Manchester outlet's experience in the brand, there wasn't one Corvette sign, used or new car in fact anything relating to the marque on a recent trip up the country to Scotland. Looked all very Italian to me. Ultra professional (as you would expect from BM) and must have cost a fortune to re-fit but Corvette has be "deleted". If I missed something then apologies, it certainly wasn't obvious. And who can blame them?
Er, was this a reply to a deleted post?
Yep so it seems!!!!