P. M. BRIEFING : Olds Cuts Prices of 2 Models

The Oldsmobile Division of General Motors Corp. today made rare price cuts of as much as $500 on the price of two of its models in an unusual attempt to spur sales in a sluggish auto market.

While the nation’s Big Three auto makers all have incentives in effect to boost sales that have slumped since the model year began in October, Oldsmobile spokesman Gus Buenz said he did not believe the others had cut base prices this year.

“As far as I know, this is the first time that I can recall that GM has, and certainly Oldsmobile, reduced prices in the model year,” he said. “Normally, when it occurs, it is at the introduction of a new model year.”

“It’s certainly not the trend. It is unusual,” PaineWebber Inc. of New York analyst Ann Knight said. “It’s not unprecedented. It’s done when the models are slow. The sales on those models have been weak.”

Effective today, the price of Oldsmobile’s Ciera S coupe drops $200 to $12,195, while the Ciera S sedan’s price drops $500 to $12,495. The Cutlass Ciera S accounts for 12% of total Oldsmobile sales, which totaled 163,208 between Oct. 1 and Feb. 10, the current model year.