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What Do GM's Troubles Mean for the Corvette?

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What Do GM's Troubles Mean for the Corvette?

Posted Today 05:05 AM by Matt Stone
Motor Trend Magazine Editorial

Between dialing for dollars on Capitol Hill, dealing with PR flaps over corporate jets, getting the Volt to market, picking up the tab for decades of mistakes, the world financial crises, and just trying to keep the lights on, I doubt Rick Wagoner and Company have had much time to worry about a little deal like the Corvette. But I have my concerns.

A few weeks ago, it was announced that several key players in the Corvette's existence will be "taking retirement" as of November 1. They are Vehicle Line Executive Tom Wallace (program director and chief engineer), Gary Claudio (Corvette marketing guy), Ron Meegan (Chief Engineer for the LS3, LS7 and LS9 engines), and John Heinricy, (serious car dude, sports car racer, former C4 Chief Engineer, etc.).

Previous VLE David Hill brought us the C5 and C6, and although the ZR1 came to market under Wallace's watch, we never really saw what he could or would do with America's Sportscar. But he sure asked a lot of questions, and the right ones: "Should we do a mid-engined car? Should we develop a dual-clutch gearbox? Should we make the car lighter? What sort of special editions should we do?" Claudio exhibited the typical, never ending exuberance you'd expect of a marketing guy, but he loved his car and his job. Meegan told me things about engines I never new, flew the flag overhead valves, and helped the latest versions of the Small-Block Chevy V-8 become as sophisticated as they have. Heinricy is a legit performance car and racing legend, surely with Bowtie logos tatoo'd on his heart.

Will the Corvette live on? Yes, but there's no question that its development will stutter, and likely be pushed back several years beyond the C7's projected 2012 launch date. Ongoing C6 technology development and such will slow, crawl, or may even stop altogether for the foreseeable future.

I remember when Zora Arkus Duntov handed the Corvette over to his replacement, Dave McLellan, everyone said the Vette was dead. But McLellan brought us the C4, impressive for its day, with a serious focus on handling that had never been achieved before.

The new VLE for Corvette is Gene Stefanyshyn, who was GM's Global Rear Wheel Drive Vehicle Line Executive, and a major player in the engineering of the 2010 Camaro. I know Gene; he's a darn decent guy and a smart engineer who knows how to bring home a development program. But does he have the heat for this assignment? Does he have the vision (and will he have the team and the budget) to take the car forward? This remains to be seen. It also disturbs me that, as I understand it, Stefanyshyn will retain responsibility for other performance nameplates, and not be focused solely on the Vette, as have been his predecessors most of the time.

While we're at it, I say the Corvette really needs to leap ahead from a design and technology standpoint. Stop copying Ferrari (360 Modena headlights, the ZR1's peek-a-boo engine window just like on the F430, except it looks down on a piece of plastic, not the actual engine or blower). Give the car a world class cabin. And don't make its butt any bigger than it already is. Celebrate the Vette's wonderful history without being beholden to it. Don't follow, Gene - lead.

I for one hope things right themselves, and the Vette can continue on the road is has blazed for 55 years. But there are bumps ahead, and the ride will be rough for a while.
 
Actually, as long as GM doesn't go BK to the point of Chapt 7, I think the Corvette will continue indefinitely. Now, the form it takes might be different, but it probably will endure.

That said, if we look at that question outside of the issue of GM's fiscal trauma and consider it from the perspective of what's changing in Washington, I think Corvette--all "performance" cars for that matter--as we know it today is in jeopardy.

While Pres.-elect Obama seems to be starting off trying to govern as a centrist Democrat, the Congress is moving left and that means a significant minority of the Congress is now way, way left (to the point of being socialist) and example is the changing of leadership at the House Committee on Energy and Commerce. This is, basically, the entity which controls the initiation of legislation related to the auto industry. The previous Chair, John Dingell, while a somewhat liberal Democrat, generally supported the auto industry. Waxman, on the other hand, is a business-hating far left liberial environmentalist who despises the automobile. You can bet that any legislation that Waxman allows out of his committee onto the House floor will never be pro-industry. Many enviros in Congress would like nothing better to prohibit any car company from selling a "performance" car.

It's that mentality which could ban the sale of cars like Corvette, Camaro, Impala SS, Mustang, GTR, 911, M-series and etc.

In the long term, I fear radical environmentalists almost as much as I fear Islamo-Fascist terrorists.
 
In the long term, I fear radical environmentalists almost as much as I fear Islamo-Fascist terrorists.
I do too! :eek:hnoes(Maybe even more so.) I wasn't in the automotive industry but I was in the petroleum industry for 28 years...
28SEP2008007.jpg
 
Actually, as long as GM doesn't go BK to the point of Chapt 7, I think the Corvette will continue indefinitely. Now, the form it takes might be different, but it probably will endure.

That said, if we look at that question outside of the issue of GM's fiscal trauma and consider it from the perspective of what's changing in Washington, I think Corvette--all "performance" cars for that matter--as we know it today is in jeopardy.

While Pres.-elect Obama seems to be starting off trying to govern as a centrist Democrat, the Congress is moving left and that means a significant minority of the Congress is now way, way left (to the point of being socialist) and example is the changing of leadership at the House Committee on Energy and Commerce. This is, basically, the entity which controls the initiation of legislation related to the auto industry. The previous Chair, John Dingell, while a somewhat liberal Democrat, generally supported the auto industry. Waxman, on the other hand, is a business-hating far left liberial environmentalist who despises the automobile. You can bet that any legislation that Waxman allows out of his committee onto the House floor will never be pro-industry. Many enviros in Congress would like nothing better to prohibit any car company from selling a "performance" car.

It's that mentality which could ban the sale of cars like Corvette, Camaro, Impala SS, Mustang, GTR, 911, M-series and etc.

In the long term, I fear radical environmentalists almost as much as I fear Islamo-Fascist terrorists.

I can't agree more!. 1000% the President elect Barrack Obama, I believe is pro-Detroit guy, but the U.S./ envrio-congress is looking for ways to return America to 1977 with the maxium engine output at 90 Hp and the only fuel is corn syrup 85 octane, if that. It's a shame because they are eliminating a huge market segment of potential customers who will have nowhere to look other than overseas for a performance automobile. I see a lot of 'Gray' cars starting to flood the marketplace in the next ten years. This is really disheartening as the American Automobile industry right now needs every avenue of future sales opened to them. Personally, I'm too old to accept that. If it's a gray market porsche or a Colbalt SS, even a used one, the I'm in a Colbalt, I won't buy a foreign car as long as a American company is still in business.;shrug
 
didn't Gm already have an EV EV1???? what ever happened to it, and why didn't it go into production. Anyone?
 
The EV1 did go to production...back in the 90s. Only a small amount were built and they were never sold. All were leased. After several years, GM decided the car, while a reasonable engineering success for a modern electric car, the product was not a commercial success. It ended all the leases and moved on to develop other products, such as hybrids and later the coming Chevy Volt.
 
GM is going to be beat over the head about spending development money on cars like the ZR1,CTS-V caddy etc instead of developing economy cars the liberal congress wants. i think that is why tom wallace made a hasty exit from GM as he was in the liberals gun sights as head engineer of these gas guzzling driver killer cars. people had better wake up because they want change this last election and i don't think the car enthusiast is going to be happy with the change they are going to get. read this. http://www.detnews.com/apps/pbcs.dll...03/1148/AUTO01
 
I for one, am anxious to see what the big 3 present to Congress tomorrow.

Hopefully, Federal loan conditions won't inlcude restrictions on Corvette.
 
I'm always surprised at the right leaning thinking that pops up on the forum.

The Prius gets 40+ mpg.

If Toyota can do it, so can GM. In fact, we're the folks who put a man on the moon in nine years, built the Internet, wrote the Constitution. Let's go for 50+ mpg.

Gas will be $4 again and we've got better places for our money to go than overseas. Personally, I'll pay $4 a gallon to drive my Vette, I'll pay $6 a gallon to drive my Vette, because driving my Vette is not just transportation, its my hobby and transportation in one package. Some people spend money on sport diving, skiing or golf. I spend money on my Vette and that includes gasoline. But I don't want to pay the bakery $8 for a loaf of bread to pay for their $4 a gallon gas. I really don't think that the Vettes et al are going to be outlawed any more than this country would outlaw drinking alcohol, (whoops).

But anyway, fear the folks who state their intentions to kill us because we are the devil incarnate more than you fear the folks who have dreams of outlawing performance cars.
 
Soooo, if Corvette is sold off to another company, would you buy one? Maybe the quality would be the same, better or worse, what would you do?

Fuel is relatively cheap right now, this is going to change as soon as demand increases...maybe sooner.
 
Wow, Corvette sold to another company! Never thought of that one!! I would be surprised if they sold the Vette rather than stop production. It just would seem sacrilegious to sell the name to another car company.
 
If the Corvette name was sold I would imagine that the new company could not build the car for the same price. Even if they bought all the tooling it would be a very large investment that would need to be reflected in the price of the car.

Comment on the "Window" in the hood of the new Corvette. - If they use the same type of material that is used as headlight covers, you can expect them to milk over in a matter of a few years. I am surprised at the number of cars and trucks that have "Milked" over headlights. Even foreign cars are showing this problem.:w
 
I watched the big 3 hearings today, and I think Ford and GM can make the position for a 'Loan', but Chrysler in my opinion, is just trying to make themselves look better to someone to purchase them in the very near future. Their own parent company won't pump money into Chrysler? On the hood window of the new ZR-1, I believe I in read in Motor Trend that it's painted with a very special coating that cost $60.000 a gallon. On Corvette, and I don't see GM selling the corvette in any way, shape or form. They may have to shut down the brand for a few years, or redesign it drasticly, but I don't think it would be sold off. The big problem for GM and Ford is DEBT, they agreed to years ago when their market share was better. Debt to the union, to suppliers and to R&D and retirement funds. Until they can get out from underneath this huge debt and obligations, any money pumped into them is simply a band aid fix ! However you have to wonder what effect their going bankrupt would cost the country?
 
If they went bankrupt it would be the 11 not the 7. 11 lets them re-organize and keep operating. I bet after this "loan" they will be back for more. Let them file chap. 11. reduce GM to chevy and caddy. Fire upper mgmnt, and get rid of UAW. Stock would be worth zilch but pay the line people $20 per hour and 65% of thier health care. Also pay them 1 share of stock per hour. Company does well and stock goes to $50 then you will reap the rewards.

Upper management can get $100K per year plus 10 shares of stock per day. Same deal as the line workers. Work hard and you will be rewarded.

Bankruptcy would not be that bad of a thing.
 

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