(Updates with comments from Toyota and Chrysler)
DOW JONES NEWSWIRES General Motors Corp. (GM) said in a conference call Tuesday that media speculation over the fate of its brands was hurting sales, while still pointing to the overall economic crisis and credit freeze as other detriments.
Meanwhile, Toyota Motor Corp. (TM) and Chrysler LLC said successful incentives would be a key to growth in separate conference calls later Tuesday.
Mark LaNeve, GM's vice president of vehicle sales, service and marketing, continued to dismiss bankruptcy rumors, saying the entire industry was being battered by the same factors and that the speculation is nothing new.
"We are not working on any plan involving bankruptcy," LaNeve said. "There is not a plan in the company to deal with bankruptcy that I know of."
The largest U.S. auto maker noted during the conference call that all major auto makers posted U.S. sales declines in excess of 30% in November versus a year ago, adding that while the economy was in recession, the auto industry was hit particularly hard.
GM posted a 41% plunge in November sales and lowered its fourth-quarter production forecast, underscoring why the struggling auto maker and its Detroit rivals are seeking federal assistance. GM said auto makers suffered from a dropoff in sales as speculation rose as Congress weighed in on the industry's business.
November sales for Chrysler and Toyota were down 47% and 34%, respectively.
Mike DiGiovanni, GM executive director of global market and industry analysis, said the company's market share remained consistent between 20% to 21%, and that consumer confidence and access to credit and liquidity were key to the industry's health.
But LaNeve said the company was experiencing an "unprecedented decline" in the secondary markets, with lower volume and a drop in rental-car usage.
Toyota said its drop in sales was across all categories, and that consumers were "simply not shopping."
Bob Carter, group vice president and general manager of Toyota Division at Toyota Motor Sales, said incentives in the current economic climate weren't as efficient as in the past.
Still, the company said it would continue to offer APR leasing and cash incentives but would shift its marketing to highlight its new products with regional incentives.
Meanwhile, Steven Landry, executive vice president of North American sales at Chrysler said monthly sales comparisons year-to-year are becoming a smaller focus for the auto maker, stressing market share growth in its production as a key figure the company would evaluate looking ahead.
Landry said the company was hopeful it would get an additional boost from the agriculture and farming industries, which are performing relatively well, noting tax incentives before year-end could boost truck purchases.
Ford Motor Co. (F), GM and Chrysler presented their turnaround plans to Congress on Tuesday, weeks after legislators balked at passing an aid package worth $25 billion.
GM shares were up 2.3% to $4.96 in after-hours trading, while Toyota shares were down 0.2% to $61.84.
-By John Kell, Dow Jones Newswires; 201-938-5285; john.kell@dowjones.com
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(END) Dow Jones Newswires
December 02, 2008 17:33 ET (22:33 GMT)

Publié le 02 Décembre 2008 Copyright © 2008 Dowjones