General Motors has begun life in bankruptcy protection with the announcement it has agreed to sell its Hummer brand.
Last year’s sales of the thirsty SUVs fell by half compared to the previous year as customers tried to reduce their spending on petrol. GM has not said who it has agreed to sell Hummer to, nor for how much, but did specify that the deal should be complete by September. Also on Tuesday a court gave GM the go-ahead to sell its best assets to a new entity that it hopes will become the ‘New GM’ supported by the US treasury. The company will have to shed much of its excess weight before coming out of bankruptcy protection in two to three months. It will keep its Cadillac, Chevrolet, Buick and GMC brands, but others will have to go. GM has already confirmed the end of the line for the Pontiac.