GM offers big discounts to boost Volt sales

My Way News - GM offers big discounts to boost Volt sales
GM executives have conceded from the start that they were losing money on the Volt, and that was before the big discounts. Now the losses could be even higher. It costs $60,000 to $75,000 to build a Volt, including development, manufacturing and raw materials, estimates Sandy Munro, president of Munro & Associates, a Troy, Mich., a company that analyzes vehicle production expenses for automakers. Much of the cost comes from an expensive combination of two power systems - electric and gasoline. With a sticker price of $40,000, minus the $10,000 the company pays in incentives, GM gets roughly $30,000 for every Volt. So it could be losing at least $30,000 per car. "It certainly wasn't a rousing success," says Carter Driscoll, senior analyst for CapStone Investments who follows electric cars, discussing the Volt.