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GM going way off-road
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June 30, 1999: 11:48 a.m. ET
Carmaker to market the Hummer, civilian version of military vehicle
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NEW YORK (CNNfn) - General Motors Corp. said Wednesday it will market and distribute the Hummer line of rugged military-type vehicles whose celebrity owners include Dennis Rodman, Arnold Schwarzenegger and James Earl Jones.
With a final agreement, GM (GM), the nation's largest carmaker, will market and distribute the four-wheel drive ultimate off-road Hummer vehicles to retail and commercial customers in 2000.
Financial details weren't disclosed.
The Hummer's maker, AM General Corp., will continue to manufacture the vehicles and market and distribute them for military use.
For GM, selling the Hummer, a civilian version of the military Humvee, gives them rights to an expensive vehicle line with a devout cult following.
"Few brands in the last ten years have made the impact and created the kind of focused marketing excitement as Hummer," said Ron Zarrella, GM North America president. "Our new agreement presents us with the opportunity to build on this foundation in a variety of ways to reach new customers."
photo from AM General
The Hummer
The Hummer, which played a role in operation Desert Storm, has been offered to retail and commercial customers since 1992. New models sell for about $75,000. The company lists more than 30 celebrity owners, many of them athletes.
According to AM General, one of the most frequently asked question is: "Can I get it with a machine gun?"
"Not unless you join the Army!" the company replies. "The military equips some of their Humvees with machine guns and even rocket launchers. Those aren't part of the commercial Hummer's optional accessory list."
Privately held AM General, based in South Bend, Ind., is owned by the Renco Group, Inc., a holding company based in New York City.
GM shares rose 7/16 to 64-9/16 in early trading Wednesday. 
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