[MotorCity]

Some info I found on the net:

Myth: The demise of the American auto industry won't really affect the American way of life.

fact: What happens to the U.S. auto industry matters on Main Street.

From plants to parks. From dealerships to driveways. From gas stations to grocery stores. What happens in the automotive industry affects each and every one of us. In fact, the collapse of the U.S.-based auto industry wouldn't just impact the more than 239,000 Americans directly employed by the Big Three. One out of every 10 people in America is employed in a service that is related to the U.S. auto industry. If a plant closes, so does its suppliers, the local stores, the hot dog vendors, and the local restaurants.

The effect would be devastating in ways of which you never have thought:

Nearly 3 million jobs would be lost in the first year alone – with another 2.5 million to follow over the next two years

Personal income in the United States would drop by more than $150.7 billion in the first year

The cost to local, state, and federal governments could reach $156.4 billion over three years in lost taxes, and unemployment and health care assistance

Domestic automobile production would more than likely fall to zero – even by international producers, due to supplier bankruptcies

The credit crisis that is affecting us all is wounding the U.S. auto industry in many different ways. Carmakers can’t get loans to restructure and to produce new advanced technology vehicles. Suppliers and dealers can’t get loans for routine business, and customers can’t get loans for new cars.



Myth: GM is going to go bankrupt

Fact: Clearly, GM faces unprecedented challenges related to uncertainty in global financial markets and weakening economic fundamentals in key regions. But bankruptcy protection is not an option GM is considering.

Bankruptcy would not be in the interests of our employees, stockholders, suppliers or customers. We believe speculation about a possible filing is exaggerated and unconstructive.




Myth: GM doesn’t make cars that people want to buy

Fact: GM cars and trucks have improved significantly over the past decade. Critics are taking note, and customers are responding.

In 2007, the Saturn Aura and Chevy Silverado won North American Car and Truck of the year.

In 2008, the Chevy Malibu was named North American Car of the Year, The Cadillac CTS was Motor Trend’s 2008 Car of the Year.

Customers have responded just as enthusiastically as the critics. Although total U.S. vehicle sales are down almost 13% so far this year, a number of GM cars and crossovers have enjoyed significant sales increases:

Saturn Vue +5%
Chevy Cobalt +6%
Pontiac G6 + 8%
GMC Acadia +8%
Saturn Aura +10%
Cadillac CTS +25%
Chevy Malibu +36%
Pontiac Vibe +39%
Buick Enclave +124%

Customers these days are watching their pennies, and they recognize the style, quality, value and fuel efficiency of new GM vehicles. As a result, GM market share has increased each quarter this year.

Myth: GM no longer matters to the U.S. or its economy

Fact: The U.S.-based auto industry remains a vital part of the economy. It generates more employment, annual economic output, exports, and retail business than any other industry. It directly employs a quarter of a million Americans, and supports another 5 million at dealerships, suppliers and service providers.

U.S.-based carmakers spend more on R&D than any industry – more than $12 billion annually. We also provide healthcare benefits to 2 million Americans, and support nearly 800,000 retirees and spouses with pension benefits.

In short, the economic impact of this industry is substantial, and reaches every state in the nation.

There is also the matter of national pride. GM is one of a handful of U.S.-based manufacturing companies that compete head-to-head with the world’s best in global markets. We are proud that we have become a truly global company, and proud that we are a leader in fast growing markets like China, Brazil and Eastern Europe. We are also proud that American brands like Chevrolet and Cadillac are known and admired around the world.