This morning, Toyota announced that it expects its first operating loss in 70+ years during 2009. The company also admitted that selling hybrid cars, including the Prius, is a money-losing proposition. Hybrid cars are so expensive to make that they lose money on each one they sell.
Interestingly, during the recent testimony of the auto company CEO's before Congress, they promised to build more and more hybrid cars. If these companies, including Toyota, can't build a hybrid and sell it profitably, then how will the Big Three American can companies become profitable by promising to build and sell more hybrids?
