General Motors Corp. has extended its interest-free financing program for 2002 and 2001 models for 18 more days, putting pressure on its Ford Motor Co. and Chrysler Group rivals to match the costly incentives, according to a story by Joe Miller in the Detroit News.

The GM program, which had been scheduled to end Oct. 31, will continue to be offered on all Buick, Cadillac, Chevrolet, GMC, Oldsmobile, Pontiac and Saturn models through Nov. 18. Only Hummer and Saab are excluded from the extension.

GM credits the program -- called "Keep America Rolling" -- with boosting new vehicle sales since the Sept. 11 terrorist attacks on New York City and Washington, D.C., threatened to undermine consumer confidence.

GM's U.S. market share in September rose to 29.9 percent from 28 percent in September 2000, with a strong sales surge following the Sept. 19 rollout of no-interest financing.

On Oct. 17, Martin Inglis, Ford Motor Co. chief financial officer, characterized the incentives as costly but said Ford is considering extending its own zero-financing program beyond Oct. 31.

"These marketing cost levels are not healthy for the industry," Inglis said. "I do not think they are sustainable."

GM CEO Rick Wagoner last week insisted GM has offset the costs of zero-financing by eliminating other expensive marketing programs. The program is not expected to have an impact on GM's third quarter earnings scheduled for release Oct. 18.

DaimlerChrysler AG's Chrysler Group, which only reluctantly matched GM's initial financing deals on some vehicles, is also considering extending its own zero-financing program. At the same time, it has been trying to pull back on new vehicle incentives in an ongoing quest for profitability.

Zero percent financing has very proven popular with consumersat GM and Ford, pushing new vehicle sales in October to near-record levels.

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