IH buys GM medium duty truck line

Discussion in 'Heavy Equipment & Pavement' started by ksss, Jan 1, 2008.

  1. ksss

    ksss LawnSite Fanatic
    Posts: 7,129

    I found this on the net. Surprising to say the least. Sorry I don't have the link. I am not sure what this means to medium duty GM owners. I guess IH will take over building the truck and I hope that they don't monkey with it too much. I like my 5500. There is room for improvement but if I wanted an IH I would have bought one. I actually looked into an IH they were 20K more money for an equivalent truck.
     
  2. Fieldman12

    Fieldman12 LawnSite Bronze Member
    Posts: 1,504

    It kinds of does not surprise me that GM sold them. They just sold the Allison Automatic transmissions a while back also except the one in the pickups. You would think they would be money in trucks for GM but I guess not. I have a budy I was talking to tonight that said he does not like his 5500. He said it has had 18 injectors put in it so far and it is a 2007. I guess the money is in the big trucks like KW and Peterbilt.
     
  3. janb

    janb LawnSite Senior Member
    Posts: 254

    yes, this is probably "Too Bad" for GM owners who are loyal and prefer them. It looks to be one of those "corporate" $$ things... GM doesn't see an immediate way to make big profits in this division, tho it may have been a nice money generator and beneficial to long term company engineering / economic diversity. Obviously it was better to sell and get immediate dollars to impress stockholders. IH has not been too competitive, and certainly not the design leader. It is like the Dell computer of truck manufacturers. Leverage the R&D of other companies, and buy the most affordable components, even if it may be a cluge. (not that Dell is bad... but... it IS MUCH cheaper to run that type of business model)

    Kind of like WalMart... If it doesn't churn out quick revenue, they don't stock it.

    My ex-employer is doing similar things, selling very prime real estate and leasing back space for high $$. Looks good for short term finances... but it's essentially 'funny-money'; with long term negative to book value. a-kin to 'spray paint' rebuilds in our industry, or booking advance sales... (that doesn't last long...).
     
  4. ksss

    ksss LawnSite Fanatic
    Posts: 7,129

    If had replaced 18 injectors I would not be happy with either. I have had two warranty issues with mine. What does suck is if it does need work I have to take it to a med. duty dealer which is about 60 miles away. Major PINA. The 4500 and 5500 are nearly identical the 4500 can be worked on by any dealer the 5500 by med. duty dealer only. That is stupid. The pluses are it is a very solid platform. Unlike the Ford and Dodge it is med. duty truck to start with. You can sure tell when you tow heavy with one. The other is its off road ability. Amazing is all I can say. I have a huge logo on mine, looks awesome, very good for projecting a positive business image. The downside: The interior was done on the cheap, rough riding, mileage sucks without help from a programer.
     
  5. qps

    qps LawnSite Bronze Member
    from Indy
    Posts: 1,484

    how about some pics of your stuff ?????...:weightlifter:
     
  6. Scag48

    Scag48 LawnSite Fanatic
    Posts: 6,067

    Yeah, I agree. Let's see those square nose beuties!
     
  7. tnmtn

    tnmtn LawnSite Bronze Member
    from NE Tn.
    Posts: 1,021

    i have been looking at the 5500's for a while. just can't seem to pull the trigger. what gets me is the gcvw for a 550 isn't much more than a 3500. i know the truck can tow heavier but for some reason they leave it low. the 3500 with the dmax/allison has been amazing to me with the 3.73 gearing. it would seem a 5500 with the 5.13 would be that much better for the heavier loads. it has me leaning strongly toward an international in the next couple months.
    good luck,
     
  8. ksss

    ksss LawnSite Fanatic
    Posts: 7,129

    The GVW is considerable 11,900 vs 19,500. Your right the GCVW is not as great 18000K vs 24000K (these numbers are approx.). There is a huge difference in the way they handle a load. I have both so it is easy to compare. The 5500 is much heavier duty, although not as comfortable. I wanted the capacity of the 5500, combined with room (crew cab) and 4X4. Not as many options with that kind of criteria. I will post a picture of it.
     
  9. SiteSolutions

    SiteSolutions LawnSite Bronze Member
    Posts: 1,114

    GM has been in deep 5h1t financially and selling things off is what happens when you can't pay your bills. I don't think they are doing this to pad anyone's wallet; they are doing it to survive.
     
  10. Fieldman12

    Fieldman12 LawnSite Bronze Member
    Posts: 1,504

    I come from a GM family. Most of my family members are retired from there. GM is trying hard to stay on top in the US as number one. It is obvious there main focus is cars, and then pickup trucks and as you can now see not any farther than that when it comes to bigger trucks. GM claims with all these changes that they will be really strong in the next ten years. Who knows what the correct thing for them to do is. I just feel especially with the Allison sale that they sold one of the better things they have.
     

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