All the bankruptcy talk surrounding General Motors hasn't helped the largest U.S. automaker on the showroom floor, as sales have dropped by over 50% in 2009. Without additional incentives, GM sales may fall further with the the Obama administration's rejection yesterday of the 100-year-old company's most recent viability plan.
GM is apparently not planning on going quietly into the night, as the automaker is reportedly preparing some big-time incentives to help move metal in the midst of all this bankruptcy talk. Bloomberg is reporting that GM will unveil new incentives on April 1 (no joke) that in many ways mirror the Hyundai Assurance plan. Any worker laid off after purchasing a car or truck will reportedly be able to turn in the vehicle without taking a credit hit.
Another element of GM's reported incentive plan is backing the residual value of its vehicles. While details are still sketchy, the program would "provide some restitution for customers who are unable to resell their vehicles at a prearranged value when they want a new car or truck." Depending on the specifics, that could cost the automaker a pretty penny, as good resale value hasn't been its calling card for some time now despite recent efforts to the contrary like drastically cutting sales to fleets.
[Source: Bloomberg | Image: Spencer Platt/Getty]