Bob Lutz says GM will be returning to leasing the luxury cars

Posted on Thursday, 30 July 2009 , 11:07:24 byEmil

Filed under gmlutzleaseleasingluxuryindustrynewsgmacGM

Bob Lutz says GM will be returning to leasing the luxury cars

Bob Lutz says the GM Company will be returning to leasing business, focusing on all the luxury cars.

'We will get back into leasing, but we are not going to use massive subsidized leasing to drive volume because it’s volume without profitability' Lutz reported to Automotive News. 'We’d rather sell less at higher profit than sell more at lower profit. The luxury end of the market is very heavy on leasing and as credit frees up, it would be very logical to get back into the portion of the market that we currently don’t compete in, which is the lease market'. Bloomberg and the Wall Street Journal reported that General Motors plus all its affiliate there GMAC could be returning to leasing vehicles quite early - in 1st of August.

Lutz said nothing about the reports plus... he was unsure as when General Motors will be returning on leasing the cars. LeaseTrader shows this: the leases demand for Cadillac Escalade raised 22 % over last year and for the Enclave from Buick - 18 %.