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It's in the Reuters article, as quoted here, just attributed to a statement from LG. Seems odd to me though, not sure why LG would be making a statement about that.
Perhaps that is based off GM's old position about this. It kind of sounds like outdated INFO to me.
 

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The stories do not line up. Since this is really all LGs fault I think it is more than fair that they should foot the ENTIRE amount.
 

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Since this is really all LGs fault I think it is more than fair that they should foot the ENTIRE amount.
Some of this is business...
I am guessing GM wants to make sure they can get maintain some good battery availability and pricing in the future...
 

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Its all financial guestimates at this point. GM has put aside reserves and the final cost and split will be settled after all the batteries that are going to be replaced are installed. The good news for GM is that it will have a fairly minimal financial impact. Time will tell on the impact to their near-term EV business model.
 

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The stories do not line up. Since this is really all LGs fault I think it is more than fair that they should foot the ENTIRE amount.
No doubt both GM and LGE have product defect insurance. So, a room full of lawyers from at least 2 insurance companies, GM, LGE are hashing through all of this. Likely LGE and their insurer will bear the brunt of the cell manufacturing costs, but GM is likely to bear the labor costs, or a big part of it.
 

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If true it reinforces the line of thinking that the folks with 2017 model year cars are in the best shape here, many, many years of use out of their cars ;)
 

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Have not seen details, but the $1.9 could be a pretax number, with the $1.2 being after tax.
 

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GM did have to fix LG's poor line quality and train them on, hopefully, components tracing to avoid future mass recalls. And LG knows they have years of Ultium income which softens this quite a bit.
 

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What I found interesting is reading that LG Chem's stock price closed higher after the news broke, attributed to the removal of uncertainty from the equation. What an interesting world we live in...
 

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I'm glad that LG has been saddled with this bill, not because I think they deserved to be "punished" but because it means that they have skin in the game. If they don't bear the financial burden for their manufacturing mistakes then there's little incentive for them to clean up their act.

Money is a great motivator, and because they're bearing the financial ramifications of their mistake it makes me more inclined to believe that they'll try to avoid this kind of debacle in the future.

That's important not just for GM and us Bolt owners, but for the entire EV industry. LG is pretty pivotal since their product is used by so many manufacturers.
 

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Every official website from general motors has always said only the bad cells in the newer versions will get replaced.
 

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No doubt both GM and LGE have product defect insurance. So, a room full of lawyers from at least 2 insurance companies, GM, LGE are hashing through all of this. Likely LGE and their insurer will bear the brunt of the cell manufacturing costs, but GM is likely to bear the labor costs, or a big part of it.
"So, a room full of lawyers from at least 2 insurance companies, GM, LGE are hashing through all of this."

That's why I've been inclined to regard the various theories that have been floated by people who aren't in that room (including me) about what GM is really doing and why they're doing it as 99% speculation. Billy Tauzin, the former Louisiana congressman and Big Pharma lobbyist, is sometimes credited with saying "If you don't have a seat at the table it means you're on the menu."
 

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IMHO, the key word is 'refurbished packs' meaning they could repackage USED and NEW BUT PRODUCED BEFORE 66kWh modules that passes re-inspection. For the initial groups, meaning 2017-2019 owners, definitely more likely to get actual NEW cells... Those with 2020+ getting replacements first should also get NEW cells... those in the latter group may be getting USED and REINSPECTED cells.
 

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IMHO, the key word is 'refurbished packs' meaning they could repackage USED and NEW BUT PRODUCED BEFORE 66kWh modules that passes re-inspection. For the initial groups, meaning 2017-2019 owners, definitely more likely to get actual NEW cells... Those with 2020+ getting replacements first should also get NEW cells... those in the latter group may be getting USED and REINSPECTED cells.
Assuming there's a non-destructive way to inspect cells to determine that they do not have a defect. It might be possible at a central location with specialized equipment.

Let me ask you this: is a new cell from the factory automatically better than a used cell that has experienced real-world testing and has been determined to be without the defects? If you're familiar with the bathtub curve of product failures, it might actually be better NOT to be the very first user of 288 brand new battery cells.
 
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