Copyright 2005
Hummer H2 SUT :
Overview:
It was only a few years back that the Hummer H2 came to market and kids started leaning their heads out of car windows to catch a glimpse one of these leviathans, the neighbors lined up with apple pies and handshakes to have a look at the lucky, enviable dude--and it seemed it was always a guy--who got one of the first H2s. The sheer size of the vehicle, combined with a refined interior and aura of indomitability made it one of the most exciting cars to be seen on America's roads in years.
For a moment, it seemed that General Motors was ingenious for buying AM General and expanding the Hummer lineup. Meanwhile, floundering Jeep, DaimlerChrysler's manly off-road brand, couldn't get out of its own way, and the new redesign of its aging Grand Cherokee was still two long years away.
Ah, how quickly the tide turns.
Today the Hummer H2 has become a symbol of all that's wrong with America--or at least some people see it that way. Gas prices are lower now than they were a few months back, but oil dependency is a phrase that rolls off the tongue in conversations about terrorism and the war in Iraq. Considering that an H2 gets a paltry 13 mpg on the highway and 10 mpg in the city, it has become a lightning rod for those who feel we haven't done enough to shed ourselves of our ties to the Middle East. Even if you're not part of that camp, the Hummer limo name continues to tarnish from reports that these tough-looking trucks weren't armored well enough to protect American soldiers in Iraq. And, if any vehicle has staked its reputation on toughness, it is the H2, cousin of the military's all-purpose tactical vehicle, the massive Humvee.
The final blow may be a somewhat misreported factoid--the revision of Section 179 of the tax code this past fall. That's the part of the law which states that, if you're using a 6,000-pound-plus vehicle for work, you can take a same-as-purchase-year deduction, rather than the year-by-year deduction available for lighter vehicles. The maximum allowable credit rose to $102,000 in 2004, which let H1 buyers claim the bulk of the purchase price as a deduction. Congress acted in October of last year to tighten this loophole--but it wasn't altogether eliminated. Rather, to claim the maximum deductible, vehicles must now weigh more than 14,000 pounds. However, buyers of any sport utility vehicle (SUV) weighing more than 6,000 pounds can still claim up to $25,000. And, you still get a better break for buying that heavy SUV than you would for a comparatively-priced sedan.
Still, not only will H2 buyers probably end up spending most of that tax break at the pump, they will also find that their friends and neighbors no longer consider it as cool and conscientious as they once may have. It's possible that many H2 owners may suddenly find themselves wishing they had bought something a little smaller and more discreet. This change in attitude goes a long way toward explaining why total Hummer sales in the U.S. sank from 35,259 in 2003, to 29,345 last year--a drop of 17%.
What may help--and it's hard to see how it could hurt--is the entry of the $51,995 Hummer H2 sport utility truck (SUT), an H2 that features a mini pickup bed that is large enough to handle major and minor chores. If you like the look of the H2 SUT and don't care what your hybrid-driving neighbors think, the important question is whether it is the best use of your money? To find out, read on.
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