GM TO DISCONTINUE XUV!

By Robert Sherefkin and Rick Kranz---Automotive News / February 18, 2005

DETROIT -- So much for hauling grandfather clocks. General Motors has decided to kill the GMC Envoy XUV, an SUV with a power-operated sliding roof over the cargo area. The roof enables the XUV to carry tall cargo, such as a grandfather clock. That was touted in XUV advertising. Bo Andersson, GM's vice president for worldwide purchasing, told suppliers Feb. 11 that GM will stop Envoy XUV production at its Oklahoma City plant on March 31. He said the plant started production of the seven-passenger Envoy XL Denali last week. GM had high expectations for the XUV because of its versatility and novelty. The company was expecting the XUV to account for one-third of Envoy sales. Last year, that would have been about 45,000 of the Envoy's 134,897 total. But the five-passenger SUV's best year was 2003, when 13,873 units were produced in four months. Production started in September 2003. Only 12,390 units were assembled in 2004. This year, through Friday, Feb. 18, about 700 were assembled. GM does not break out GMC Envoy XUV sales numbers. The base sticker of the 2005 Envoy XUV is $30,465, including the destination charge. GMC is offering a $3,000 cash rebate. Last month Jim Bunnell, Pontiac-GMC's marketing general manager, said the automaker was nearing a decision on the XUV's future because of poor sales. "Pet owners absolutely love it, as do antique dealers and contractors, because it is so functional," Bunnell said. But he said families prefer seven seats. Pet owners like the XUV's cargo area because it can be washed out with a garden hose. Drains are built into the floor.