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Frustrated GM investors ask what more Mary Barra can do

DETROIT — General Motors Co Chief Executive Mary Barra has transformed the No. 1 U.S. automaker in her almost five years in charge, but that is still not enough to satisfy investors. Ahead of third-quarter results due on Oct. 31, GM shares are trading about 6 percent below the $33 per share price at which they launched in 2010 in a post-bankruptcy initial public offering. The Detroit carmaker's stock is down 22 percent since Barra took over in January 2014. After hitting an all-time high of $46.48 on Oct. 24, 2017, the shares have declined 33 percent. In the same period, the Standard & Poor's 500 index has climbed 7.8 percent. Several shareholders contacted by Reuters said GM could face a third major action by activist shareholders in less than four years if the share price does not improve. "I've been expecting it," said John Levin, chairman of Levin Capital Strategies. "It just seems a tempting morsel to somebody." Levin's firm owns more than seven million GM shares. Barra has guided the company through the settlement of a federal criminal probe of a mishandled safety recall, sold off money-losing European operations, and returned $25 billion to shareholders through dividends and stock buybacks from 2012 through 2017. GM declined to comment for this story, but the company's executives privately express frustration with the market's reluctance to see it as anything more than a manufacturer tied mainly to auto market sales cycles. GM's profitable North American truck and SUV business and its money-making China operations are valued at just $14 billion, excluding the value of GM's stake in its $14.6 billion Cruise automated vehicle business and its cash reserves from its $44 billion market capitalization. The recent slump in the Chinese market, GM's largest, and plateauing U.S. demand are ratcheting up the pressure. GM is one of the few global automakers without a founding family or a government to serve as a bulwark against corporate raiders. In 2015, a group led by investor Harry Wilson pressed GM to launch a $5 billion share buyback, and commit to what is now an $18 billion ceiling on the level of cash the company would hold. In 2017, GM fended off a call by hedge fund manager David Einhorn to split its common stock shares into two classes. Einhorn, whose firm still owned more than 21 million shares at the end of June, declined to comment about GM's stock price. Other investors said there were no clear alternatives to Barra's approach.

Buick luxury sedan design sketch would make a great flagship

Over the Thanksgiving holiday General Motors posted a sketch of a futuristic Buick sedan to social media. In fact, the sleek wedge is just the latest in a series of illustrations that seem to point the way to a luxury EV coming in 2024 (for model year 2025). That's when Buick has promised its first fully-electric vehicle, with the promise that the entire lineup will be gasoline free.           View this post on Instagram                       A post shared by GM Design (@generalmotorsdesign) The sketch shows a low, long sedan that seems to be inspired (or perhaps served as the inspiration for) the Buick Wildcat concept revealed in June. However, there are significant differences as well. The sketch shows a profile that's more cab backward than the Wildcat's, with a gently sloping roofline that's more Audi A7 than the physical car's aggressive Nissan GT-R-like top.  The front end is less busy than the Wildcat's as well, with the chrome better integrated into the fascia and headlights. Similar brightwork appears on the rocker panels and on the fenders behind the wheel arches, cues the Wildcat concept lacks. Buick's updated logo sits at the end of a sporty BMW-esque trough on the hood. Of course, the exaggerated wheels have such little clearance they wouldn't really be able move or turn, much less survive a pothole, but we can forgive that artistic liberty. Other recent sketches shown on the GM Design account on Instagram show a more refined version of the same sedan, but without the Wildcat's Honda CR-V-esque taillights. Another super-luxurious coupe with hints of Syd Mead looks just as beautiful but is unbranded and may work better as a Cadillac. The Buick brand feels a bit redundant these days, but stunning designs like these could help differentiate the brand. The General has plenty of trucks and SUVs already. If it's going to foist crossover after crossover at us, maybe the Buick division could stand out as the sedan-and-coupe-only brand. Related video:

The 2020 Buick LaCrosse we won't get looks exceptional

GM is killing off the Buick LaCrosse in the United States after the 2019 model year, but elsewhere it lives on. Buried by all the Geneva news this week, GM quietly took the wraps off a 2020 Buick LaCrosse facelift for China. It only makes sense to keep selling the big Buick in the popular Chinese market (now Buick's largest), but we're a tad jealous of what we can't have stateside. The changes Buick has implemented make the LaCrosse into a far more handsome option. Both the front and rear get massaged here. A new horizontal patterned grille, slimmer headlights with a neat LED design, plus new lower bumper surround all work together to provide a more upscale look. The view out back is an even larger departure from the old and somewhat awkward rear end on the 2019 LaCrosse. Smaller, flowing taillights mesh well with the chrome strip on the trunk lid, then dual exhaust outlets offer a sporty flair to the squat rear end. The Buick badge looks cohesive with the look as a whole now, instead of just chilling out alone on the expansive trunk lid. An updated powertrain package goes along with the new looks, too. GM is snagging its new 2.0-liter turbocharged four-cylinder LSY engine it uses in the Cadillac XT4 for duty here. It makes 237 horsepower and 258 pound-feet of torque, and is mated to GM's nine-speed automatic transmission. China will be the only market to see this generation of LaCrosse as GM plans to exclusively produce it in its Shanghai facility. The Detroit-Hamtramck plant that previously made it for all North American markets was among those facilities GM announced would close, bringing with it the LaCrosse and other vehicles. Related video: