GM Offers to Buy Back Volts From Owners

General Motors Co. will buy back Chevrolet Volts from any owner who fears the car is a fire risk amid a U.S. safety investigation of its lithium-ion battery, the auto maker said Thursday.

The offer comes along with to GM's move this week to offer loaners to 6,000 U.S. Volt owners in an effort to reassure customers after three crash-tests resulted in fires or sparks from the vehicle's complex battery pack days or weeks after they sustained damage.

As of Thursday morning, 33 Volt owners asked for loaners, GM said. The company has been telling customers since Monday that they could return the cars, but so far no one has taken GM up on the offer, GM spokesman Selim Bingol said.

"If someone asks, we'll snap it up in a second," Mr. Bingol said. He said GM is confident the car is safe, but wants to ensure Volt customers are comfortable with their vehicle.

GM said Thursday it will miss a target to sell 10,000 Volts in 2011. The company said it will likely hit that number early next year.

The company sold 1,139 Volts in November, bringing sales to 6,142 this year. GM has around a four month's supply of Volts in inventory, which is considered high.

GM has 134 days' supply of the Volt, while Nissan has a 21-day supply of the Leaf, the only other electric car on sale in the U.S. mass market.

GM is weighing whether to redesign the Volt's battery pack. One option may be a sturdier casing around the battery similar to the way Nissan's Leaf electric car is built, according to people familiar with the situation.

Source: Sharon Terlep, The Wall Street Journal