Word: pacer
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Starting off 1977, the industry's only real problem is excess capacity to make small cars. Both GM and American Motors have been offering rebates to tempt buyers into ordering models like the Vega and Pacer, and Ford Chairman Henry Ford II has complained publicly that his company must build more small cars than it wants to in order to keep the average gas mileage of its fleet within federal standards...
...past two weeks, it has unveiled a gallery of standard-size cars that on the average are nearly a foot shorter and 700 lbs. lighter than their 1976 counterparts. Ford and Chrysler by contrast are making only minor changes, and ailing American Motors is actually making its glassy Pacer longer...
American Motors, whose best hope, the squat Pacer, was a terrific sales disappointment, lost $43.2 million in 1975. It has stretched the Pacer 4 in. to make it a station wagon. Gremlins and the intermediate Matadors are newly sweetened by having some of last year's options as standard equipment...
...Pacer. Chevrolet's economical Chevette, introduced with great fanfare last October, is expected to fall well below its sales target of 275,000 to 300,000 units this year. Another disappointment: AMC's Pacer, which took off briskly when introduced a year ago, posted sales of more than 100,000 in the first ten months or so, then abruptly fell out of favor. To get sales moving again AMC is now throwing in free $425 air conditioners with all Pacer purchases...
American Motors is planning production of a station wagon version of its wide, glassy Pacer. It will also have a fresh version of its aging subcompact Gremlin; the new model will use a Volkswagen-designed four-cylinder engine. Indeed, car buyers will find an even wider range of models of all sizes in showrooms round the nation next autumn. GM alone will sell no fewer than 40 models with four different kinds of engines. Whatever kind of car the public may want, Detroit hopes to have it ready, thus coping with buyers who think small one moment and bigger...