Wow. There's no getting around it — this is a really big loss for the 'merican side of the German American hybrid. The automaker saw a hit to the bottom operating line of $1.4 billion during the third quarter of this year — that's over a $1.8 billion 180 degree turn from the same quarter's $393 million operating profit last year. The folks over in Auburn Hills provide two clear reasons for why they hit such a large loss in a post on its media-only site, the Firehouse:
"The operating loss was primarily due to decreased shipments (158,937 units to 504,426 units in the third quarter of 2006 compared to the third quarter of 2005), an unfavorable shift in product and market mix and negative net pricing. Third-quarter revenues decreased by 23% to $12.1 billion."
Double Wow! The 'merican side of the merger of equals saw how much of a sales drop? It's no wonder the automaker has been adding some new steel bars on the upper floor windows in the Michigan HQ tower.