GM yet to hold talks over Hummer sale

Posted Thu Aug 21 2008 7:11 AM by Viknesh Vijayenthiran

Despite the multitude of reports claiming General Motors has been negotiating with a number of companies over a sale of its Hummer brand, the company’s general manager has reassured dealers that no talks have taken place yet. In a video sent to dealers on Tuesday, Hummer’s Martin Walsh confirmed that GM had received expressions of interest from various entities but had not solicited any offers nor negotiated with any parties.

He labeled as "just speculation" media reports that GM has engaged in talks with Indian companies Mahindra & Mahindra and Tata Motors, as well as Russian billionaire Oleg Deripaska's Russian Machines, reports Bloomberg.

GM revealed back in June that the Hummer brand was under review and that the company was open to all options for it. This led to concerns from numerous Hummer dealers who were upset about the carmaker’s seeming lack of care for the predicament they had been placed in by the comments and the potential loss of the multi-million dollar investments made in their stores.

Hummer sales in the U.S. fell more than 44% in July on levels one year ago – the biggest drop among any major auto brand in the U.S.

MotorAuthority