G.M Holden had $8.4M loss

Press, 25 February 1978, Page 19

G.M Holden had $8.4M loss

NZPA Sydney General Mbtors-Holden, Ltd. Australia’s largest motor vehicle manufacturer, lost SB.4M in 1977. The loss resulted from a further decline in the group’s sales volume, and its inability to increase selling prices sufficiently to cover rising costs. The Victorian power strike delayed the introduction of its new — and very successful — HZ product range. It was the first loss by GM-H since 1946, and also the first time the group has lost money since it began manufacturing an allAustralian car in 1948. Although GM-H retained

its lead over other car manufacturers in Australia in 1977, its unit sales were lower for the fourth year in a row. In 1976. GM-H earned a profit of $16.3M. This compared with the profit of $22.5M earned by Ford in Australia for 1976. Despite the loss. GM-H’s managing director (Mr C. S. Chapman) remained confident about the immediate outlook for the company, which is a wholly owned subsidiary of the General Motor group of the United States. Mr Chapman said that capital expenditure in 1978 would be even higher than the SS3M invested last year.