After eight consecutive months of sales increases and an $865 million profit for Q1 2010, it’s fairly obvious (to us, anyway) that General Motors is well on the road to recovery. Steven Rattner, former auto industry adviser to the Treasury and the man responsible for the resurrection of GM as we know it today, seems to agree with us. In fact, Rattner thinks GM is doing better than he expected they would a year ago. He also correctly predicted that our favorite auto maker would report a first quarter profit in 2010.
What’s more, the former head of the automotive task force things that the trading price of Old GM bonds may give us an idea of how much the government could recover once it begins selling GM stock. Today, he estimates that amount to be right around $40 billion.
Since GM’s bankruptcy a year ago, things are looking on the up-and-up – not only for The General, but for the automotive industry as a whole. GM’s product portfolio has also become much stronger, with additions such as the Buick Regal and LaCrosse, Chevy Equinox, GMC Terrain, and the upcoming CTS Coupe, not to mention GM’s new Heavy Duty pickup trucks. Now if only The General could solve its marketing and brand positioning issues, we’d be all set![Source: Automotive News via Autoblog]