GM goes further down the dumper; NiHM battery supplier bro..

GM may soon be feeling some of Chrysler's pain over bankrupt
suppliers. The CarConnection reports Cobasys, supplier of the NiMH
batteries used in the light-hybrid Vue, Aura and Malibu and holder of
"a key contract in the development of GM's much-anticipated plug-in
hybrid, the Volt," is out of money. The battery maker lost more than
$76m last year and expect to lose $82m this year. To make matters
worse, the company's joint owners, ChevronTexaco and ECD, can't agree
on the 2008 budget. So Cobays' operating budget is $92m short.
Cobasys is now on GM's "distressed supplier list;" the General refuses
to comment on the situation. In the meantime, GM has struck a deal to
buy batteries for its two-mode hybrid trucks from a Panasonic - Toyota
joint venture.

Note how it's ChevronTexaco who's putting the kibosh on Cobasys by
stalling their budgeting...another move by Big Oil to stop any move
toward electric propulsion dead in its tracks. A Democratic
administration will probably have the government take over funding of
NiMH development, thus ruining this attempt by Big Oil to "defund"
competition for their products into oblivion.

To read more:

http://www.thetruthaboutcars.com/news-blog/cobasys-crisis-has-gm-buyin...atterie

DeserTBoB wrote:
> GM may soon be feeling some of Chrysler's pain over bankrupt
> suppliers. The CarConnection reports Cobasys, supplier of the NiMH
> batteries used in the light-hybrid Vue, Aura and Malibu and holder of
> "a key contract in the development of GM's much-anticipated plug-in
> hybrid, the Volt," is out of money. The battery maker lost more than
> $76m last year and expect to lose $82m this year. To make matters
> worse, the company's joint owners, ChevronTexaco and ECD, can't agree
> on the 2008 budget. So Cobays' operating budget is $92m short.
> Cobasys is now on GM's "distressed supplier list;" the General refuses
> to comment on the situation. In the meantime, GM has struck a deal to
> buy batteries for its two-mode hybrid trucks from a Panasonic - Toyota
> joint venture.
>
> Note how it's ChevronTexaco who's putting the kibosh on Cobasys by
> stalling their budgeting...another move by Big Oil to stop any move
> toward electric propulsion dead in its tracks. A Democratic
> administration will probably have the government take over funding of
> NiMH development, thus ruining this attempt by Big Oil to "defund"
> competition for their products into oblivion.
>
> To read more:
>
> http://www.thetruthaboutcars.com/news-blog/cobasys-crisis-has-gm-buyin...atterie

And GM gets to say "Gee guys we sure tried hard (!) but other factors
prevent our producing the Volt. Pause here for sounds of weeping and
wailing from GM. Volt/EV-1/Etc. all died aborning. Fast forward a
short time to where GM is a minor parts supplier to Toyota and Honda.
End of story for Detroit's incompetence.

--
Civis Romanus Sum