GM sweetens truck rebates

General Motors Corp. is offering cash incentives of as much as $6,500 on 2007 and 2008 large pickups this month to clear slower-selling older models from dealer lots.

The rebates are a combination of existing offers and dealer and cash inducements for some versions of the GMC Sierra and Chevrolet Silverado and Avalanche pickups, GM dealers said. Combined sales of the three fell 6.1 percent last month, according to Autodata Corp.

The Detroit-based automaker is using the program even as it tries to trim total spending on incentives to help raise resale values and boost average profit per vehicle. GM lowered average incentive spending per vehicle in January by 2.5 percent from December, according to Edmunds.com.

Through Feb. 13, GM is offering to take $2,000 off pickups made on or before Sept. 1, in addition to existing rebates of up to $3,500, for the largest diesel versions of the trucks, GM spokesman John McDonald said. The latest program started Feb. 1.

McDonald said the pickups produced on or before Sept. 1, known as "overage," represent a "small portion" of GM's inventory. He didn't provide details.

Industrywide sales of large pickups fell 6.6 percent in January, according to Autodata. Detroit News