General Motors Corp. followed up Tuesday's announcement of price cuts or freezes on more than half of its 1983 models by announcing today a dealer incentive program ranging from $500 to $2,500 on selected 1982 models.
GM said the program -- effective immediately through Sept. 22 -- is projected to be worth some $65 million in savings to new car buyers at dealer showrooms.
Dealer incentives are: $500 for Chevrolet Citation, Pontiac Phoenix, Oldsmobile Omega and Buick Skylark compact X cars; $600 for Chevrolet Chevette and Pontiac T-1000 subcompacts; $700 for Chevrolet Celebrity, Pontiac 6000, Oldsmobile Cutlass Ciera and Buick Century mid-sized A cars; $900 for Chevrolet Cavalier, Pontiac 2000, Oldsmobile Firenza and Buick Skyhawk subcompact J cars; $1,000 for Cadillac Cimarron subcompact J cars; and $2,500 for Cadillac Seville full-size cars.
GM said dealer incentives on small and light-duty trucks continue. An incentive of up to $350 is offered to dealers on 1982 Chevrolet S-10 trucks and 1982 GMC S-15 trucks, and an incentive of up to $400 is provided on selected 1982 full-size light-duty GMC and Chevrolet trucks.
On Tuesday GM said it will cut $250 from the prices of its 1983 A cars and up to $500 from comparably equipped J cars. The price of the 1983 Cadillac Cimarron will remain the same, but $400 worth of equipment will be added.
Prices will be frozen for the 1983 subcompact Chevrolet Chevette and Pontiac 1000 and the compact X cars. But GM also will increase prices by between $357 and $686 on 60 of its 1983 full-size cars, luxury models, some mid-size cars, and the sporty Chevrolet Camaros and Pontiac Firebirds, which have been selling well this year.
The price reductions and freezes on the 1983 models are meant "to promote an early recovery in auto sales, while holding down inflation," GM said on Tuesday.
So far in 1982, GM car sales are down 13.3 percent from a year ago despite dealer incentives during late summer and rebates and low interest rates earlier in the year. The 1982 models' prices were 6 percent higher than 1981 models.
The automaker also said on Tuesday that it will improve the powertrain warranty on diesel engines to 36 months or 50,000 miles, with a $100 deductible after 12 months or 12,000 miles, whichever comes first. Last year GM offered a 24-month, 24,000-mile warranty, with a $100 deductible after 12 months or 12,000 miles.
GM has reduced the price of optional diesel engines on cars by up to $275, the statement said.