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GM Sales Jump Nearly 50%

What happened? Did GM start making good cars again?
General Motors on Tuesday reported that U.S. sales increased 49 percent last month, aided by sweeter financing and lease deals that drew a response from other major automakers.

The biggest U.S. automaker said its dealers sold just over 207,000 cars and trucks in February, a huge increase driven by sales of newer models from small cars to heavy-duty pickup trucks.

GM boosted incentives such as low-interest financing and lease deals by $400 per vehicle from December to January and continued the deals into February.

With other automakers yet to report sales, it was unclear yet whether a price war had broken out. But the auto industry website TrueCar.com estimated that automakers raised incentives 5 percent from January to February to an average of $2,708 per vehicle. Chrysler, Ford, Hyundai/Kia, Nissan and Toyota all sweetened deals by more than 6 percent for the month, the site said.

Industry analysts expect overall U.S. sales to rise about 20 percent from February of last year.