General Motors continues to salvage itself from the depths of corporate disaster. The company recently announced they will be adding a second shift to a Missouri plant that assembles Chevrolet Express vans and the GMC Savana, abetted in part by the United Auto Workers union. The added shift is apparently being introduced along with the manufacturing of a new mid-sized truck. But despite the humble nature of the models being built, the move says huge things about the way GM is overcoming the obstacles laid before it over the past several years.

Most analysts and experts more or less concluded that General Motors had what was coming to them in the fall of 2008. For years they failed to see the growing market desires for streamlined sporty buzzarounds that centered on fuel efficiency, such as the Mazda3. Instead they focused their industrial strength on building a legion of luxury SUVs and gas-guzzling trucks and vans nobody ended up wanting. Now that they’re returning to the utility automobile game, it’s worth noting that their chosen models are significantly smaller than those of years past.

But it also says that GM is willing to make the risky gambles again, which is a sign of strength. After the 2008 slap in the face, the company saw a complete overhaul in structure, and as a result they started making what were at the time obvious moves: make more fuel efficient models with affordable features and minimal bells and whistles. This has been their course of action ever since. But now, with the expansion in areas where they saw the most destruction – haulers and transporters – they’re showing that they see enough of a future to start building vehicles that will be sold in a predictable long-term pattern.

Unlike the big banks and stock market schmucks who were also bailed out by the benefit of the tax payer, GM seems to have learned their lessons. That’s probably got more to do with the elimination of the former corporate hegemony than humble admission, but it’s a definite improvement. With the expansion into low turnaround auto markets it’s safe to say GM is back in business.

It has been reported that GM will be bringing back the Buick Regal GS. Based on the concept from Detroit this past year, the Regal GS should sport a 2.0L turbocharged 4-cylinder with close to 255 horsepower and a 6-speed manual tranny, pushing power to all four wheels, GM predicts 0-60 in under six seconds. Rear-wheel drive would have been a trick feature, though. The adjustable Recaros will most likely be lost from the concept, most likely due to keeping the price below 40K.

General Motors have just announced that they have posted a $865 million profit for the first quarter of 2010.

The $1.66-per-share profit was far better than a loss of $6 billion, or $9.78 per share, for the same period last year.

It’s also a sign that GM may be able to back up CEO Ed Whitacre’s forecast of a full-year profit.

The U.S. government loaned GM about $50 billion to stay in business. GM has repaid $6.7 billion and hopes to pay back the rest with a stock sale. The government now owns 61 percent of the company.

General Motors announced yesterday it will recall 1.3 million vehicles in an effort to address power-steering issues linked to 14 crashes. The Pontiac G5 and Chevrolet Cobalt are the only U.S. models affected. [AutomotiveNews]

General Motors Co. has been reported to be dropping plans for a Cadillac-badged version of the Chevrolet Volt.

Apparently a Cadillac version of the Volt would be too weighed down by the expected luxury and comfort features to replicate the Volt’s 40-mile electric-only driving range without extensive extra cost, a Bloomberg report said. Sources suggested achieving even a 20-mile driving range solely on battery power might require $30,000 of added cost, the report added.

The loss of the proposed Cadillac variant of the Volt casts more doubt on the near-term applicability of the Volt’s battery-intensive, series-hybrid design.

Some GM executives had argued a Cadillac version of the Volt would help reduce costs – mostly centered around the expensive lithium-ion batteries – and speed wider adoption of the Volt’s technology.

Like GM’s Puma and a slew of other personal mobility concepts before it, Honda’s three-wheeled 3R-C is all about getting one person around in style. As a “pod car,” it’s nice and small and would run entirely off lithium batteries. It also has space for storage in the front, and its clear canopy mysteriously shifts into a windshield to offer the driver more forward visibility.

The 3R-C is just a concept for the time being, though it’s set to debut at the Geneva Motor Show next week. Maybe we’ll be seeing more of this pint-sized beaut soon?

Autoblog Green, via Engadget

General Motors and Spyker Cars NV today confirmed that they have reached a binding agreement on the purchase of Saab Automobile AB.

“Today’s announcement is great news for Saab employees, dealers and suppliers, great news for millions of Saab customers and fans worldwide, and great news for GM,” said John Smith, GM vice president for corporate planning and alliances.

“General Motors, Spyker Cars, and the Swedish government worked very hard and creatively for a deal that would secure a sustainable future for this unique and iconic brand, and we’re all happy for the positive outcome,” Smith said.

As part of the agreement, Spyker intends to form a new company, Saab Spyker Automobiles, which will carry the Saab brand forward.  The sale will be subject to customary closing conditions, including receipt of applicable regulatory, governmental and court approvals.  Other terms and conditions specific to the sale will be disclosed in due time.

The Swedish government is at present reviewing the transaction and the related request for guarantees of a Saab Automobile loan that has been requested from the European Investment Bank.  Assuming quick action, the transaction is expected to close in mid-February, and previously announced wind down activities at Saab will be immediately suspended, pending the close of the transaction.

“Throughout the negotiations, GM has always had the hope to find a solution for Saab that would avoid a wind down of the brand,” added Nick Reilly, president, GM Europe. “We’ve worked with many parties over the past year, including governments and investors, and I’m very pleased that we could come to such a good conclusion, one that preserves jobs in Sweden and elsewhere. GM will continue to support Saab and Spyker on their way forward.”

Thanks to Spyker Cars, GM’s Saab division will be spared the same fate of Pontiac and Saturn.

This is welcome news for the 1.5 million Saab drivers and fans of the brand.  Tuesday (January 26) Skyper announced in a press release that they would aquire the Saab brand.  Dutch based Skyper Cars states the deal has been in works for several months and is worth $74 million.  The deal is expected to close in about 19 days.  The last several months have been a rough road for Saab, a prior agreement with Koenigsegg failed in November.  The sturcture of the buy out ensures that the GM portion of Saab assets will be moved to a new company Saab Spyker Automobiles (the name still needs approval at the next share holder meeting).  As part of the deal two installments will be paid  to Spyker.  The first installment will take place during the closing of the deal in about 19 days.  The second will come due six months later.

If you are not familiar with the Spyker brand you owe it to yourself to head over to their site (http://www.spykercars.nl).  The Spyker C8 Aileron is a work of art.  The thing you can not help to wonder is – can Spyker change itself from a relatively small car maker to a mass auto producer?  As of June 2009 Spyker only had 134 full-time employees.  At that time they produced 21 cars and sold 23.  It will be interesting, to say the least, to see how this deal plays out.

General Motors Chairman and CEO Ed Whitacre said at a Monday morning press conference that the automaker has no announcement regarding Saab despite media reports swirling around the globe that a deal to sell the Swedish automaker to Spyker is imminent.

“As of today, we have not changed our direction on the wind-down (of Saab),” Whitacre told reporters in Detroit. “There have been advanced talks but we do not have a deal to announce this morning. If and when that changes, we’ll let you know. And that’s my only comment on that issue.”

General Motors’ China’s sales are up 60 percent year-on-year, and The General wants to keep the momentum going at its Chinese outpost. Automotive News China reports that the Guangzhou Auto Show will play host to the unveiling of the market-specific Cadillac SLS and Buick Excelle XT, the latter described as a four-door “coupé-like sedan.”

The Excelle XT will take a place between the Excelle and the new Regal. The Cadillac gets 3.0-liter and 3.6-liter engines with GM’s SIDI technology that also grace Australia’s new Holden Commodores. The luxury sedan, a lengthened version of our STS with a superior interior, will also be China’s introduction to OnStar.