GM Exits Bankruptcy, CEO Vows Better Performance

"Talking Head"?

A leaner and meaner General Motors arose on Friday, making an unusually quick exit from bankruptcy with ambitions of making money and building cars people are eager to buy.

Once the world's largest and most powerful automaker, the new GM is now cleansed of massive debt and burdensome contracts that would have sunk it without federal loans. The U.S. government owns a majority stake - although the Obama administration says it has no plans to run the automaker (I would give anything to see Obams's face coined on the hubcaps of the new models).

At a news conference, CEO Fritz Henderson said the new GM will be faster and more responsive to customers than the old one and it will make money and repay government loans faster than required.

Henderson said GM completed its 40-day stay under court supervision far faster than anyone thought it could. He said it would repay about $50 billion in government loans ahead of a 2015 deadline.

The new GM will also build more cars and trucks that consumers want and launch them faster than in the past, the CEO said. (I think the guy will probably say just about anything).

"We recognize that we've been given a rare second chance at GM, and we are very grateful for that. And we appreciate the fact that we now have the tools to get the job done," he said. Yada yada yada.

The new company arose from the ashes Friday as the bulk of General Motors Corp.'s assets were transferred to a company controlled by the U.S. government.

He said Bob Lutz, a legendary industry executive, was "unretiring" to become a vice chairman responsible for all creative elements of products, marketing and customer relationships. Lutz had previously planned to retire at the end of the year after more than four decades in the auto business. (oh God please help us).

The automaker is launching a "Tell Fritz" Web site to allow owners and the public to share their concerns with senior management and he planned to go out on the road every month, Henderson said. (The question is: will senior management actually hear the concerns? Yea right).



"Business as usual is over at General Motors."


"We need to listen to the questions, ideas and the concerns of the people who matter the most," Henderson said.

"We all want to win and we are going to win," Whitacre said.

The company's logo will emain blue with white underlined GM letters. Henderson said GM has no plans to change the background color to green. "It's not in my plans actually," he said. GM has considered the change to represent its new environmental focus.

* Even thinking of changing the GM logo color to green has to be the biggest suck-up to Pelosi so far from the GM execs. (I would probably throw-up something green).



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Following is a college paper emailed to me and reprinted by permission. It cites this blog as an informational source. Scary.

Task Name:

SCI205-0902A-06 Environmental Science

Task Name: Phase 4 Individual Project
Deliverable Length: 2 pages


Details:

You have been assigned to a scientific commission whose mandate is to research ways of reducing air pollution from motor vehicles.

Your specific assignment is to research the types of alternative-fuel vehicles that are currently under development, examine the advantages and disadvantages of each, and decide which would have the least environmental impact.

* Electric
* Natural gas
* Hydrogen
* Fuel Cell

Use the Library and Internet to research each type of vehicle. Discuss the environmental and economic advantages and disadvantages of each type and select the one that, in your opinion, provides the best environmental impact at a reasonable cost. Provide evidence to support your selection.

Please submit your assignment.

Objective: Explain the importance of atmospheric pollution.


Submitted paper (probably an A):


Environmental Science

Phase 4 Individual Project

SCI205-0902A-06



Results for the scientific commission from the research done on ways to reduce air pollution from motor vehicles: Research topics: Electric, Natural Gas and Hydrogen
Fuel Cell:


The first production motor vehicle designed to reduce air pollution was first sold in 1999 and was called the Honda Insight. The car achieved 61 mpg in the city and 70 mpg on the highway (About.com 2009). Called a “hybrid car”, it combines the best of an electric car with the best of a conventional gasoline burning car. A hybrid car reduces air pollution by using the power of the electric motor for initial starting and acceleration and switches over to the gasoline motor only when the car accelerates to a certain speed.


A hybrid car has been the first step toward the development of a totally electric car. An advantage of an electric car over a hybrid car is that the electric car produces zero emissions and is therefore cleaner that a gasoline hybrid car. Current electric car technology uses electrical power secured from the electrical grid to onboard batteries or from the sun. There are much fewer moving parts on an electric car which means fewer parts to wear out or break. Advantages of electric cars are primarily higher efficiency and lower emissions (Hybrid Cars 2009).


Some disadvantages of electric cars are limited driving range due to battery power limitations, long battery recharge times and high costs that come with the continual charging of the battery(s) that power the electric motor. Solar – electric cars have longer ranges due to batteries that are charged by the sun, but they are still dependant on batteries which have weight and size limitations. Disadvantages of electric cars have much to due with their range. Hybrid Cars (2009) states that today’s electric cars are limited to about 100 miles between charges. Once battery life is extended and recharge times improve, the electric car will be the technology used in cars of the future.


Compressed Natural gas is touted as the “cleanest burning alternative fuels available” (Gas 2.0 2009). This is because of the simplicity of the methane molecules in relation to fossil fuel molecules. The burn is smoother and reduces tailpipe emissions by 35 – 95%. Advantages to using CNG – ready vehicles are a significant reduction in greenhouse emissions as compared to gasoline vehicles and the fact that deposits of natural gas worldwide are almost infinite. Natural gas is also a renewable fuel with technology already developed to collect it from landfills. Gas 2.0 (2009) shares that landfill collected “bio-methane” could supply enough fuel for 11 million natural gas vehicles, or 5% of the U. S. fleet.


Disadvantages to using compressed natural gas consists mainly supply and distribution of both the vehicles and the fueling stations. The only CNG vehicle for sale to the public is the Honda Civic GX, and is only available for sale in New York and California. Gas 2.0 (2009), states that “Honda cannot build them fast enough”. Additionally, other than California, New York and Utah, it would be hard to find a refueling station for your CNG vehicle.


Hydrogen Fuel Cell Vehicles or FCV’s are different from electric vehicles in that FCV’s create their own electricity onboard while EV’s store power in battery packs. This is a big advantage in weight reduction for the FCV. A fuel cell creates electricity by a chemical reaction between compressed hydrogen atoms and air from the outside. Power moves the car and the only byproduct is pure water which drips out the tailpipe (fueleconomy.gov 2009).


Disadvantages are similar to the compressed natural gas vehicles in that there is a shortage of FCV vehicles for sale and a shortage of re-filling stations. A main disadvantage also is the cost of producing the compressed pure hydrogen needed to power the vehicle. Producing pure hydrogen in a form needed to be used by an FCV, uses much electricity taken from the grid which was in part generated by the burning of fossil fuels such as coal. Once hydrogen can be manufactured without the damage to the environment, an FCV might be the vehicle of tomorrow.


My findings conclude that in the near future, electric cars will provide the biggest environmental gain at the most reasonable cost. Chevrolet (2009) announces the 2010 release of the Chevy VoltI. Unlike all other currently produced electric cars, the Volt has a “revolutionary propulsion system”. It has a 40 mile range on its electric battery and a gasoline engine to continue past that point. The average American does not drive over 40 miles in a day. With the Volt designed to “drive 75 % of America’s daily commuters without a drop of gas” (Auto Industry News 2009), General Motors should secure dominance of the next decade’s economy car market provided it fixes its financial problems. As the advertising slogan proclaims: Chevy Volt: Fully Charged 2010.



References:


About.com (2009). The History of Hybrid Vehicles. Retrieved on May 5, 2009 from:
http://4wheeldrive.about.com/cs/buyacaronline/a/hybridcarstruck_4.htm.


Auto Industry News (2009). Chevy volt. Retrieved on May 5, 2009 from:
http://autoindustrynews.blogspot.com/2007/12/chevy-volt.html.

Chevrolet (2009). Electric Cars. Retrieved on May 5, 2009 from:
http://www.chevrolet.com/electriccar/.


CTU Online. (Ed). (c. 2009). Phase 4 Multimedia Course Materials. Colorado Springs,
CO: CTU Online. Retrieved on May 5, 2009 from CTU Online Virtual
Campus, SCI205-0902A-06, Environmental Science.


Fueleconomy.gov (2009). Fuel Cell Vehicles. Retrieved on May 5, 2009 from:
http://www.fueleconomy.gov/feg/fuelcell.shtml.


Gas 2.0 (2009). Natural Gas Cars CNG. Retrieved on May 5, 2009 from:
http://gas2.org/2008/04/29/natural-gas-cars-cng-fuel-almost-free-in-some-parts-of-the-country/.


Hybrid Cars (2009). Hybrid Automobile FAQ. Retrieved on May 5, 2009 from:
http://www.allabouthybridcars.com/suv-hybrid-autos.htm.




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