In the recent weeks, the company has announced to the public that it will ...

General Motors are delaying the production of the Chevrolet Cruze and other vehicles as company executives are making decisions on a day to day basis. The cut in product development finances will save GM a hefty $1.5 billion.

In the recent weeks, the company has announced to the public that it will be cutting its budget for product line expansion for as much as two years with a greater percentage of belt-tightening happening in 2009.

Experts see the move as an anxious step to stay afloat amid the credit crunch. This means that dealerships will not get the cars that they are supposed to sell on time, cars which will help GM recover.

Officials of GM reveal that capital expenditure portions for engineering, design, and other things will mean money going out from the GM books and needs to be cut. They have disclosed that the current global financial disaster is one of the toughest challenges faced by the company.

Cars like Camaro and Chevrolet Volt will not be delayed but most of the range of cars will. Auto industry experts say that holding production is a threading on dangerous waters since this may mean falling short of sales goals in the future.

Some are speculating that GM has reached a critical level of cash flow. Sources say that with full blast production the company uses up around $1 billion per month. The company has only $17 billion left of its funds thus the development delays might be signs of desperation.

GM needs around $14 billion to maintain full operations and financial experts are seeing a very difficult winter ahead for the car manufacturer.

There will still be debuts in 2009. These will be the GM vehicles that have been developed like the Buick La Crosse and the Camaro from Chevrolet. The Chevy Volt is also expected to hit the market by next year. Some industry experts are wondering why the Cruze, expected to bring in the volume of sales, will be delayed.

GM officials expressed their urgency for a financial aid expressing that ...

The financial crisis takes its toll on the global economy with the US car industry feeling the grip on its neck. Car manufacturers have reported major losses and seek urgent help from the federal government but the Bush administration rejected the low interest loan sought for by the industry.

President-elect Barack Obama dances to the same tune playing during his campaign recognizing the need for more loans for the car industry. Obama revealed during a television interview that he has delegated his staff to study the potential solutions to the looming crisis making life difficult for car producers.

The auto industry is identified by the US president-elect to be the spine of American manufacturing and promises to prioritize the problem if the Congress will not be able to take action during their November 17 session.

The car industry was given a $25 billion funding by the government but this is to be allocated for developing more fuel efficient vehicles and not to resolve the cash flow problems experienced by big car manufacturers like GM.

GM officials expressed their urgency for a financial aid expressing that the situation might not be able to wait for the new president to take his seat in the oval office in January.

In exchange for funding, the car manufacturer offers to give the government preferred stock options, determine salary caps for its top executives, and accelerate their program for the production of fuel efficient cars.

GM sends the distress call as it reports cash burning amounting to $6.9 billion dollars in Q3 which decreases their reserves to $16.2 billion. The car manufacturer needs to have reserves of at least $11 to $14 billion to stay afloat.

Saab Aero X designer wins fashion magazine award

Hong Kong. GME Designer Anthony Lo has been named Asian Designer of the Year at the ELLE Magazine Style Awards 2007 in Hong Kong. He was honored for his work on the Saab Aero X concept, which was presented for the first time at the Geneva Motor Show in 2006.