May 2006 sales figures

[GregFarz78]

GM, Chrysler, and Ford continue to slide and Toyota and Honda continue to climb

DETROIT (Reuters) - U.S. sales for General Motors Corp. (NYSE:GM - news) and Ford Motor Co.(NYSE:F - news) were stuck in the slow lane in May, hurt by gas prices and soft demand for large sport utility vehicles, even as Japanese rivals raced ahead, analysts said on Tuesday.

Poor sales and new-model changeovers could force GM and Ford to announce third-quarter production cuts when automakers report their May U.S. sales results on Thursday, a development that would cut into earnings, analysts said.

Japanese automakers Toyota Motor Corp. (7203.T) and Honda Motor Co. Ltd. (7267.T) are expected to have seen strong gains because of the popularity of their passenger cars and a reputation for quality and fuel-efficiency.

Overall sales were expected to weaken to a seasonally adjusted annual rate of 16.2 million to 16.5 million, analysts said. That would be down from a rate of 16.7 last month and down from 17.7 million last May.

Most analysts estimated both GM and Ford could cut third-quarter production by a percentage in the high single digits.

Merrill Lynch analyst John Murphy said higher gas prices likely swayed consumers toward smaller cars and crossovers and away from large SUVs in May.

Most analysts expected GM's sales to be down between 10 and 15 in May, while Ford sales were forecast to slip as much as 11 percent. Sales of DaimlerChrysler AG's (DCXGn.DE)(NYSE: DCX - news) Chrysler Group was expected to post a decline as much as 15 percent.

By contrast, sales of Toyota and Honda were seen up in double digits, according to analysts. Nissan Motor Co (7201.T) could see a decline of about 5 percent, they said.

JP Morgan analyst Himanshu Patel, who expected GM's production to be down 6 percent, said the automaker was likely to temporarily idle production lines for its outgoing GMT 800 line of pickup trucks from time to time during third quarter.

The market for large SUVs, like GM's Suburban and Ford's Expedition, shrunk 1.7 percentage points to 3.2 percent in May, while the market share of cars increased 2.5 points to 18.2 percent, Toprak said.

GM, which is launching its GMT 900 series of SUVs this year, began offering an incentive program in late May that subsidizes gas purchases for consumers in Florida and California, two U.S. markets where it has lagged.

[Vintalage]

Sales data are out... i'll post GM in here:


GM May Sales Down 16%


FOR RELEASE: 2006-06-01

GM Delivers 345,157 Vehicles In May

DETROIT - General Motors dealers in the United States sold 345,157 new cars and trucks in May, down 16 percent compared to year-ago levels, reflecting continued strategic reductions in incentives and daily rentals, which were down 28 percent.

Total car sales were down 19 percent, and truck sales were down 13 percent. While high gas prices continue to have some impact, consumers have responded favorably to GM's new products, particularly the all-new 2007 Chevy Tahoe (11,689 sales), Avalanche (1,692) and Suburban (5,128), GMC Yukon/Yukon XL (7,965) and Cadillac Escalade (2,945) and Escalade ESV (1,097), resulting in a combined 41 percent sales increase compared to April.

"The overall industry in May was dampened by rising fuel prices and interest rates. GM is actively addressing consumers' concerns with its segment-leading fuel economy and a pilot program like the 'Fuel Price Protection Program,' which helps consumers battle the uncertainty of gas price fluctuations," said Mark LaNeve, General Motors North America vice president, Vehicle Sales, Service and Marketing.

A very encouraging trend was the continued success of GM's new vehicles. LaNeve explained, "Our launch vehicles continue to post strong sales results, as evidenced by the sales gains of our all-new full-size utilities and strong retail sales of important new products including the Chevrolet Impala, HHR and Cobalt, Buick Lucerne, Pontiac G6 and Torrent." LaNeve added, "Our May sales volume was not where we need it to be. It clearly was impacted by our reduced reliance on daily rental sales and broad-based incentive programs to drive the business."

"Our customers have told us that success in the marketplace depends on a combination of great new products, strong brands and segment-leading fuel economy, and that is exactly the turnaround strategy we are executing," LaNeve said.

GM's luxury utilities posted strong sales in May, up 34 percent compared to year-ago levels. H3 sales led HUMMER to its thirteenth consecutive month of year-over-year sales increases. Total HUMMER sales were up 53 percent. Cadillac Escalade sales rose 50 percent in May, paced by continuing brisk demand for the all-new 2007 model. Cadillac Escalade ESV sales started strong with 1,097 sold.

The newest additions to GM's small utility lineup, Chevrolet HHR and Pontiac Torrent, helped push total small utility sales up 34 percent.

GM sports cars also posted solid May sales results, with a 44 percent improvement compared to year-ago levels. Corvette led the lineup with a 3.5 percent increase with 3,317 deliveries. Pontiac Solstice and Saturn Sky are selling briskly, with Solstice remaining on dealers' lots an average of 13 days and Sky remaining on lots 2 days.

Total sales of all GM launch vehicles were up 12.5 percent compared to April and accounted for 24 percent of GM's total deliveries for the month. The success of GM's launch vehicles is another critical component of GM's North America restructuring plan.

GM will continue to introduce an array of new vehicles throughout 2006, including the all-new Chevrolet Silverado and GMC Sierra full-size pickups, the fuel-efficient Saturn Vue Green Line Hybrid to be introduced this fall, and GMC Acadia and Saturn Outlook crossovers coming late this year.

Certified Used Vehicles

May sales for all certified GM brands, including GM Certified Used Vehicles, Cadillac Certified Pre-Owned Vehicles, Used Cars from Saturn, Saab Certified Pre-Owned Vehicles and HUMMER Certified Pre-Owned Vehicles, were 44,522 units, up 12 percent from last May. Total year-to-date certified GM sales are 220,097 units, up 2 percent from the same period last year.

GM Certified Used Vehicles, the industry's top-selling manufacturer-certified used brand, posted 38,471 sales, up 15 percent from last May. Year-to-date sales for GM Certified Used Vehicles are 191,523 units, up 4 percent from the same period in 2005.

Cadillac Certified Pre-Owned Vehicles posted 3,316 sales in May, up nearly 6 percent from last May. Used Cars from Saturn sold 1,845 units, down 17 percent. Saab Certified Pre-Owned Vehicles sold 801 units, down nearly 13 percent. In its fifth month of operation, HUMMER Certified Pre-Owned sold 89 units.

"May proved to be another terrific month for GM Certified Used Vehicles sales, increasing 15 percent over May 2005, marking the third consecutive month of double-digit sales increases," LaNeve said. "With sales of 38,471 units in May, GM Certified Used Vehicles, the industry's top-selling certified brand, continues to lead the certified segment and is on track to set another all-time sales record for the category."

GM North America Reports May Production, 2006 Second-Quarter Production Forecast Revised, and 2006 Third-Quarter Production Forecast Set

In May, GM North America produced 425,000 vehicles (154,000 cars and 271,000 trucks). This is up 17,000 units or 4 percent compared to May 2005 when the region produced 408,000 vehicles (150,000 cars and 258,000 trucks). Production totals include joint venture production of 23,000 vehicles in May 2006 and 21,000 vehicles in May 2005.

The region's 2006 second-quarter production forecast is revised at 1.225 million vehicles (455,000 cars and 770,000 trucks), up 25,000 units from last month's guidance. In the second quarter of 2005 the region produced 1.247 million vehicles (458,000 cars and 789,000 trucks). Additionally, the region's initial 2006 third-quarter production forecast is set at 1.05 million vehicles (400,000 cars and 650,000 trucks), down 8.4 percent from third quarter 2005 actuals.

http://media.gm.com/servlet/GatewayServlet?target=http://image.emerald.gm.com/gmnews/viewmonthlyreleasedetail.do?domain=74&docid=26343

[GregFarz78]

This is the best quote "The overall industry in May was dampened by rising fuel prices and interest rates" how is honda and toyota sales up in the double digits for may? lol At least they have good used car sales, people wait till the value drops in half then buy.

[Vintalage]

It's gonna get worse for GM this month because this time last year, the Employee Discount program kicked off.

[bigbenSC]

^ Haha, June sales numbers are going to look extremely bad compared to those of last year. GM needs a strong sales gimmick across the country!

[crazypontiac03]

I like how they Use Rising Gas price's and interest Rates as a back bone. There is a hell of alot more Problem then than that. Umm It could also be that because of Higher Gas Price's, People are holding on to what they have, Since More $$ is being dropped in the tank.

Interest Rate's are on the rise on not just car's but anything. Housing is becoming more and more expensive with the riseing rates. If u took out a Variable Loan at 3% 5yrs ago, that was great so people bought a bigger house then what they needed. Now that the rate is up at 6%. Ur nice 1300 Mortage Just went up to 2000.

Or it could be the fact they Cost of living has gone up so much in the last few year's. Our Take home is still only avg 3% Compared to the cost of living going up 6%.

There's alot of Problem. Its not GM/Ford, or any other Companies fault for lack of sale's right now. a Company can only do so much in a little time frame. Its going to get alot worst, Not just For Car Companies, But everything else is also going to drop.