Early Monday, a report from Reuters claimed that the Chevrolet Volt was taking huge losses per vehicle sold. However (and kind of expectedly), General Motors is now denying the allegations, noting that Reuters’ math is terribly inaccurate.
Is General Motors losing $49,000 on every Chevrolet Volt electric car it sells?
If so, it could be bad news for taxpayers who helped bail out GM and now own a third of an automaker that has seen its shares plunge 30% since it went public in 2010.
A Reuters report Monday said GM's plug-in hybrid was a big money-loser. GM, though, disputed the contention, saying Reuters' research "is grossly wrong" and accusing the news agency of bad math. The automaker said the news agency incorrectly "allocated product development costs across the number of Volts sold instead of allocating across the lifetime volume of the program, which is how business operates.” Read More