Chevy isn’t losing $49,000 on every Volt it sells, for God’s sake

[one...two...tree 2,762]

Let’s say I give you a million dollars. Cool, you’d say. Probably also: Thanks.

And now I say: You need to use that money to make a product. Say, baskets. You’re all, OK, cool, I can make baskets. Good.

So you set up a system to make baskets. You invest that million dollars in a factory and some workers and so on (I have literally no idea what goes into basket-making — wicker? straw? whatever) and start cranking out baskets. You decide to sell them for $100 a piece. You make 100 to start, and sell all 100 of them. Boom. You’ve got $10,000 in hand. Not bad.

But if Reuters is doing the math, you’re losing $9,900 on every basket you sell. After all, the Reuters reporter would suggest, mansplaining away: You made 100 baskets but it cost you $1 million to make them. That’s $10,000 a piece, from which you only earned back $100.

To which you would say: What, Reuters? What? Do you need a calculator, Reuters? Reuters! Come on, man! And so on and so on, forgetting completely about your basket business, letting your clothes fall into disrepair as you gnash your teeth and wail at the unforgiving sky.

I’ll let the International Business Times explain what the hell I’m talking about.

General Motors Company loses as much as $49,000 per Chevy Volt it builds,

according to one news organization’s report

, but the article is not as self-evidently accurate as it may first appear. …

General Motors has sold approximately 21,500 Volts since the gasoline-electric hybrid was introduced in December 2010, and development costs of the high-tech car are estimated at between $1 billion and $1.2 billion by Reuters’ calculations. Production costs for the Volt are estimated at between $20,000 and $32,000, a wide margin to be sure. The Volt retails for a base price of $39,145 (before a federal tax credit of $7,500).

The issue with Reuters’ math, though, is that it only takes into account the 21,500 Volts sold so far, as if GM would never sell another one. If that is taken to be true, then each Volt sold has cost GM around $55,000 in development costs.

As expected, conservatives lapped the Reuters report up, laughin’ and hootin’ and hollerin’ and shootin’ off the guns Jesus gave them. After all, anything that might even moderately diminish the hegemonic dominance of the oil companies is an existential threat to the U. S. of A. and the NFL and Hooters.™

(In sincerity, I find conservative hostility to electric cars fairly baffling. I get that they’re wrapped into a delicious little sushi roll with cappuccinos and sandals as emblems of the decadent, self-absorbed left — but haven’t they moved into the mainstream by now? Along with coffees? If anyone should be indifferent to electric cars, it should be enviros. Electric cars are basically the natural gas of the automotive world: better than dirtier fossil fuels, but still pretty bad.) (I live in a city with good mass transit.) (Please address all complaints to Editor, Grist World Headquarters, Left Coast, USA.)

Anyway, in summary: The Chevy Volt isn’t taking the automotive world by storm — or even making money — but the company also isn’t losing the company 50 grand a pop.

Also, I need that million dollars back. I do not accept payment in baskets.

http://grist.org/news/chevy-isnt-losing-49000-on-every-volt-it-sells-for-gods-sake/

[웃 910]

I spent $65 to fill up my tank the other day at about $4.20 a gallon.

A Volt sounds real good right about now.

Imagine only hitting the gas station once a month. A fantasy? Far from it. In fact, Volt drivers who charge regularly are averaging 900 miles, or about a month between fill-ups.^†

http://www.chevrolet.com/volt-electric-car.html?seo=goo_|_2012+Chevy+Retention_|_IMG+Chevy+Volt_|_Volt+MPG_|_chevy%20volt%20gas%20mileage

[one...two...tree 2,762]

I spent $65 to fill up my tank the other day at about $4.20 a gallon.

A Volt sounds real good right about now.

Imagine only hitting the gas station once a month. A fantasy? Far from it. In fact, Volt drivers who charge regularly are averaging 900 miles, or about a month between fill-ups.^†

http://www.chevrolet...20gas%20mileage

With the $7,500 rebate, it's in the same price category as a mini-cooper or lexus ct 200h.

[I AM NOT THAT GUY 5,715]

The Chevy Volt isn't prone to catching fire after all, says the National Highway Traffic Safety Administration.

Don't forget your flame suit, and always park in a non-combustible area.

Edited September 11, 2012 by The Patriot

[JohnR! 5,495]

I spent $65 to fill up my tank the other day at about $4.20 a gallon.

A Volt sounds real good right about now.

Imagine only hitting the gas station once a month. A fantasy? Far from it. In fact, Volt drivers who charge regularly are averaging 900 miles, or about a month between fill-ups.^†

http://www.chevrolet...20gas%20mileage

It is comfortable and surprisingly powerful for an electric car. We have a Volt and a Tesla at home and we love them both. They are great cars. However, we also love our gas guzzlers and use them on weekends just for fun.

[one...two...tree 2,762]

It is comfortable and surprisingly powerful for an electric car. We have a Volt and a Tesla at home and we love them both. They are great cars. However, we also love our gas guzzlers and use them on weekends just for fun.

You have a Tesla? Holy Toledo!

[JohnR! 5,495]

You have a Tesla? Holy Toledo!

It was my first electric. I've had it for about 5 years now. That thing is fast and it will do 90mph easily. It's a trip!!!!

[kristen_maroc 126]

I think my parents were smart. They're leasing a LEAF for $3XX/month for 3 years, and put $1000 down. My dad has a free charging station at work. It's a perfect commuter car for them, and it'll cost them... oh... $12,000 for 3 years, but no gas charges and no increased electric bills... (which is less than what he was paying to put gas in his Chevy Avalanche).

They'll have the option to buy in 2015, but by then, the new Leaf might be, what 200 miles without a charge? 300?

If I were rich, I'd totally do that as well.

[one...two...tree 2,762]

I think my parents were smart. They're leasing a LEAF for $3XX/month for 3 years, and put $1000 down. My dad has a free charging station at work. It's a perfect commuter car for them, and it'll cost them... oh... $12,000 for 3 years, but no gas charges and no increased electric bills... (which is less than what he was paying to put gas in his Chevy Avalanche).

They'll have the option to buy in 2015, but by then, the new Leaf might be, what 200 miles without a charge? 300?

If I were rich, I'd totally do that as well.

Very cool. More businesses will provide free charging stations for their employees as it will increase productivity. And when those business begin to produce a portion of their own electricity through solar power, look out.

[Gary and Alla 3,694]

I spent $65 to fill up my tank the other day at about $4.20 a gallon.

A Volt sounds real good right about now.

Imagine only hitting the gas station once a month. A fantasy? Far from it. In fact, Volt drivers who charge regularly are averaging 900 miles, or about a month between fill-ups.^†

http://www.chevrolet.com/volt-electric-car.html?seo=goo_|_2012+Chevy+Retention_|_IMG+Chevy+Volt_|_Volt+MPG_|_chevy%20volt%20gas%20mileage

So go buy one and report back to us. Otherwise you are just a bunch of hollow talk.

[Gary and Alla 3,694]

Very cool. More businesses will provide free charging stations for their employees as it will increase productivity. And when those business begin to produce a portion of their own electricity through solar power, look out.

How does charging my car for free increase productivity for the company? Wouldn't buying my gas also increase their productivity?

Please show your math calculations of both comparisons. Show how chargung my car increases my productivity on the job and buying my gas does not.

It is comfortable and surprisingly powerful for an electric car. We have a Volt and a Tesla at home and we love them both. They are great cars. However, we also love our gas guzzlers and use them on weekends just for fun.

VIN's or it doesn't exist. XXX out the last 5 numbers for privacy.

[웃 910]

So go buy one and report back to us. Otherwise you are just a bunch of hollow talk.

How does charging my car for free increase productivity for the company? Wouldn't buying my gas also increase their productivity?

Please show your math calculations of both comparisons. Show how chargung my car increases my productivity on the job and buying my gas does not.

VIN's or it doesn't exist. XXX out the last 5 numbers for privacy.

Did you wake up on the wrong side of Alla today?

Edited September 11, 2012 by ☠

[Mr. Big Dog 10,747]

VIN's or it doesn't exist.

What does that prove? That you can find a Tesla VIN on the internet. Nothing beyond that, really.

Or the VIN of a Volt. Or any other VIN you care you see.

Edited September 11, 2012 by Mr. Big Dog

[Darnell 8,479]

Reuters reports math, Reuters rarely DOES math.

Wassup with these fellas ?

Did you wake up on the wrong side of Alla today?

That's humanly impossible, Dear Sir

[I AM NOT THAT GUY 5,715]

Wassup with these fellas ?

GM didn't build that!