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Latest Business News

Slow Sales Intensify Pressure on GM

Saturday, November 26, 2005 9:51:07 PM
By DEE-ANN DURBIN

DETROIT (AP) - Despite a new round of discount offers, November will likely be another disappointing month for sales and profitability at General Motors Corp., intensifying pressure on the world's largest carmaker to speed up or expand the job cuts and plant closings it announced this week.

GM, Ford Motor Co. and DaimlerChrysler AG's Chrysler Group launched new price breaks in mid-November to lure customers to dealerships. The strategy worked, but not enough to counter other factors like jittery consumers and the hangover effect from a summer of near-record sales, industry analysts say.

"It seems that November got off to an excruciatingly slow start, with new incentives programs from Ford and GM just now beginning to boost showroom traffic," Merrill Lynch analyst John Casesa said this week in a note to investors.


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