Hybrids not moneymakers

General Motors Corp. President and CEO Rick Wagoner, Ford Motor Co. head of North American Automotive Operations Martin Inglis and DaimlerChrysler Corp. President James Holden appear in agreement about hybrid-powered vehicles: Their respective companies aren't planning on profits from their initial hybrid efforts.

Mr. Holden says that DC projections of a 100,000-unit build for its now-prototype hybrid Durango show the vehicle would have to sell at a price "penalty" of $1,500 to $3,000 - meaning the company would lose that much on each one it sold.

Ford's Mr. Inglis intimates that when it launches a hybrid-powered version of its new Escape SUV in 2003, Ford also will have to sell its hybrid SUV at a loss.

Mr. Wagoner, without mentioning how these cost concerns relate to GM's recently announced plan to sell hybrid-powered pickups in 2004, adds that the business case for hybrids "might be more compelling in other countries, particularly in Europe," where high fuel costs could inspire customers to pay a premium for hybrids.