In one month using its GM Employee Discount for Everyone promotion, General Motors reduced its excess supply while other automakers strained from their loads.
GM reduced its supply to 48 days on July 1 from 73 days a month earlier and helped bring the industry's supply down to 58 days on July 1 from 61 on June 1.
"GM's inventory correction is over," said John Casesa, a Merrill Lynch analyst in New York, in a note to investors. "The auto industry's inventory correction is over - bullish news for production schedules and earnings starting in 2006."
Among GM brands, the biggest drop was at GMC. The GMC supply slid to 44 days on July 1 from 92 days a month earlier.
The Chevrolet Division dropped to 46 days from 69 days a month earlier.
Even Hummer improved, with a 47-day supply on July 1, down from 77. The Saab division remained a sore spot for GM with a supply of 91 days, although that was down from 138.
GM's two domestic competitors didn't fare as well. Ford Motor Co. and the Chrysler group have since offered their own versions of GM's employee discount incentive.
DaimlerChrysler's supply leaped to 73 days on July 1 from 64 a month earlier. The Chrysler group carried the heaviest load with a 75-day supply, up from 65 on June 1, and an 81-day supply of light trucks, up from 73.
Ford Motor went into July with an 80-day supply, up from 75 a month earlier.
One Ford problem is light-truck supply - 92 days on July 1, compared with 89 days on June 1.
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