2013 Buick Enclave Leather on 2040-cars

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GM earnings rise 1% as buyers pay more for popular pickups

DETROIT — General Motors said Thursday that higher prices for popular pickup trucks and SUVs helped overcome slowing global sales and profit rose by 1% in the second quarter. The Detroit automaker said it made $2.42 billion, or $1.66 per share, from April through June. Adjusting for restructuring costs, GM made $1.64 per share, blowing by analyst estimates of $1.44. Quarterly revenue fell 2% to $36.06 billion, but still beat estimates. Analysts polled by FactSet expected $35.97 billion. Global sales fell 6% to 1.94 million vehicles led by declines in North America and Asia Pacific, Middle East and Africa. The company says sales in China were weak, and it expects that to continue through the year. In the United States, customers paid an average of $41,461 for a GM vehicle during the quarter, an increase of 2.2%, as buyers went for loaded-out pickups and SUVs, according to the Edmunds.com auto pricing site. The U.S. is GM's most profitable market. Chief Financial Officer Dhivya Suryadevara said she expects the strong pricing to continue, especially as GM rolls out a diesel pickup and new heavy-duty trucks in the second half of the year. "We think the fundamentals do remain strong, especially in the truck market," she said, adding that strength in the overall economy and aging trucks now on the road should help keep the trend going. Light trucks accounted for 83.1% of GM's sales in the quarter, and pickup truck sales rose 8.5% as GM transitioned to new models of the Chevrolet Silverado and GMC Sierra, according to Edmunds, which provides content to The Associated Press. As usual, GM made most of its money in North America, reporting $3 billion in pretax earnings. International operations including China broke even, while the company spent $300 million on its GM Cruise automated vehicle unit. Its financial arm made $500 million in pretax income. Suryadevara said GM saw $700 million in savings during the quarter from restructuring actions announced late last year that included cutting about 8,000 white-collar workers through layoffs, buyouts and early retirements. The company also announced plans to close five North American factories, shedding another 6,000 jobs. About 3,000 factory workers in the U.S. whose jobs were eliminated at four plants will be placed at other factories, but they could have to relocate. GM expects the restructuring to generate $2 billion to $2.5 billion in annual cost savings by the end of this year.

Buick applies the GS treatment to an electric Electra

A sporty Buick in the 21st century? A contradiction, some might think. But the product planners at Buick — usually the most conservative brand in General MotorsÂ’ stable — apparently think otherwise. Earlier this month, GM filed an application with the United States Patent office for the Electra GS nameplate, pairing the “Gran Sport” badge with a name that dates back to the first Electra model that debuted more than six decades ago. GM showed an Electra EV concept in 2020 in China and a sleek Buick Electra-X concept SUV this summer. As part of its plans to go to a fully electric lineup by 2030, Buick announced in June that an electric Electra — nice fit, no? — would be shown later this year and released in 2024. The addition of the prestigious Gran Sport badge refers back to the Buick muscle cars of the mid-Sixties, including the Skylark GS and the Riviera GS. It since has been applied to other Buicks, including the Regal GS. The brand has also indicated that it will launch at least two electric SUVs next year, but that plan might not entice some dealers to continue to sell and service Buicks: GM last month said it would offer dealerships in the United States buyouts if they balked at investing in the considerable upgrades required to service EVs. “Not everyone necessarily wants to make that journey, depending on where theyÂ’re located or the level of expenditure that the transition will demand,” Buick Global Vice President Duncan Aldred told the Wall Street Journal. “So if they want to exit the Buick franchise, then we will give them monetary assistance to do so.”       

Junkyard Gem: 1962 Buick LeSabre 2-Door Sport Coupe

American car shoppers looking for a full-sized hardtop coupe in 1962 couldn't go wrong with the offerings from The General. Chevrolet would sell you a snazzy new Bel Air sport coupe for just $2,561 (about $23,800 today), but those Joneses next door wouldn't have felt properly shamed if you put a new proletariat-grade Chevy in your driveway. No, to really stand tall during the era of Alfred Sloan's Ladder of Success, you had to go higher up on the GM food chain. For the B-platform full-sized cars of 1962, that meant the Pontiac Catalina/Bonneville beat the Chevy, the Oldsmobile 88 was the next step up the ladder, and at the very top was the Buick: the hot-rod Invicta and its swanky LeSabre sibling. To go beyond that, you had to move up to a C-platform Buick Electra or Cadillac. Today's Junkyard Gem is a once-luxurious '62 LeSabre, now much-faded in a northeastern Colorado boneyard. The reason GM shoppers got so bent out of shape about the "Chevymobile" episodes of the late 1970s, in which some GM cars received engines made by "lesser" GM divisions, was that each division had its own family of V8 engines during the 1950s and 1960s and they weren't supposed to be mingled. The '62 LeSabre got a 401-cubic-inch (6.5-liter) Nailhead engine (so called because the valves were unusually small), rated at 265, 280, or 325 (depending on what kind of compression ratio and carburetion you wanted). That's not crazy horses for a big-displacement, two-ton luxury coupe of its era, but the small valves allowed for combustion chambers optimized for one thing: low-rpm torque. This 401 has the two-barrel carburetor, so it made either 412 or 425 pound-feet of torque. That's just a bit less than the mighty Cadillac's engine that year, and definitely sufficient to get this car moving very quickly. You had to pay a fat premium on the Chevrolet, Pontiac, and Oldsmobile B-bodies to get an automatic transmission (a three-speed column-shift manual was base equipment in those cars), but a Turbine-Drive (formerly known as the Dyna-Flow) automatic was standard issue on the 1962 LeSabre. This was an interesting transmission design that traced its origins back to the 1942 M18 Hellcat Tank Destroyer and used torque-converter multiplication to provide a CVT-like experience with no perceptible shifts (the driver could select a separate low gearset manually, so the shifter looks just like the one on the true two-speed Powerglide transmission).