GM Pulls Ahead U.S. Plant Closures; Reaffirms Intent to Build Future Small Car in U.S.

    14 U.S. Manufacturing Plants & Three Service and Parts Operations
Warehouses Impacted

    DETROIT, June 1 /CNW/ -- General Motors Corp. (NYSE:   GM) today announced
details of its accelerated manufacturing plan to improve capacity utilization
and flexibility for the New GM.  GM also reaffirmed it will build a small car
at one of its U.S. assembly plants on standby capacity status.

    The manufacturing plan reduces GM's total number of assembly, powertrain
and stamping facilities in the U.S. from 47 in 2008 to 34 by the end of 2010
and 33 by 2012.  These totals reflect GM's recently announced plans to build a
future small car in the U.S. Under this plan, the New GM will achieve full
capacity utilization of its assembly operations in 2011, two years ahead of
what was scheduled in its Feb. 17 viability plan submission.  This will result
in lower fixed costs per vehicle sold, and lower and more efficient capital

    The New GM, under agreement with the U.S. Treasury, will consist of GM's
strongest operations and brands from around the world, resulting in
substantially less debt and lower operating costs than GM historically has
    "Our manufacturing operations, which already are among the most
productive in the industry, will emerge even leaner, stronger and more
flexible, as part of the New GM," said Gary Cowger Group Vice President of GM
Global Manufacturing and Labor Relations. "Flexible manufacturing enables us
to quickly respond to consumer preferences and changing market conditions."

    GM's Service and Parts Operations (SPO) announced today that it will
cease operations at three Parts Distribution Centers in Boston; Columbus,
Ohio; and Jacksonville, Fla. - by Dec. 31, 2009.

    "As GM strengthens its aftersales business, we're aggressively pursuing
strategies that allow us to continue fast parts delivery to our dealers and
distributors, and improve our warehouse capacity utilization," said Kevin W.
Williams, GMNA Vice President and General Manager, Service and Parts

    Additionally, GM will build a future small car in the United States
utilizing a UAW-GM assembly plant on standby capacity status, with major metal
stampings supported from a UAW-GM U.S. stamping plant also on standby
capacity.  This new small car will play a vital role in GM's plans to improve
the fuel efficiency of its vehicle fleet.  Small cars represent one of the
fastest growing segments in both the U.S. and around the world. The re-tooled
assembly plant will be capable of building 160,000 cars annually. Selection of
the site will be determined in the future.

    The list of impacted U.S. GM plants follows:


    June 1, 2009 U.S. GM Manufacturing Optimization Plan Actions

    Plant                         Status / Timing (date listed or sooner
                                   depending on market demand)

    Orion, Mich.                  Standby Capacity - September 2009
    Pontiac, Mich.                Close - October 2009
    Spring Hill, Tenn.            Standby Capacity - November 2009
    Wilmington, Del.              Close - July 2009

    Grand Rapids, Mich.           Close - June 2009 (previously announced)
    Indianapolis, Ind.            Close - December 2011
    Mansfield, Ohio               Close - June 2010
    Pontiac, Mich.                Standby Capacity - December 2010

    Livonia Engine, Mich.         Close - June 2010
    Flint North Components, Mich. Close - December 2010
    Willow Run Site, Mich.        Close - December 2010
    Parma Components, Ohio        Close - December 2010
    Fredericksburg Components,    Close - December 2010
    Massena Castings, N.Y.        Closed - May 1, 2009 (previously announced)

    Service & Parts Operations
     (SPO) Warehousing & Parts
     Distribution Centers
    Boston, Mass.                 Close - December  31, 2009
    Jacksonville, Fla.            Close - December 31, 2009
    Columbus, Ohio                Close - December  31, 2009

    General Motors Corp. (NYSE:   GM), one of the world's largest automakers,
was founded in 1908, and today manufactures cars and trucks in 34 countries. 
With its global headquarters in Detroit, GM employs 234.500 people in every
major region of the world, and sells and services vehicles in some 140
countries.  In 2008, GM sold 8.35 million cars and trucks globally under the
following brands:  Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, Hummer,
Opel, Pontiac, Saab, Saturn, Vauxhall and Wuling.  GM's largest national
market is the United States, followed by China, Brazil, the United Kingdom,
Canada, Russia and Germany.  GM's OnStar subsidiary is the industry leader in
vehicle safety, security and information services.  More information on GM can
be found at

    Genuine GM Parts are sold under the GM, GM Performance Parts, GM
Goodwrench and ACDelco brands through GM Service & Parts Operations, which
supplies GM dealerships and distributors worldwide. GM engines and
transmissions are marketed through GM Powertrain.

    Assembly, stamping and powertrain fact sheets are available at

    Lynda Messina                   Chris Lee
    Manufacturing and Labor         Manufacturing and Labor
     Communications                  Communications
    586-986-9530                    586-986-9520
    313-378-8690 - cell             586-899-3021 - cell  
    Service and Parts Operations:
    Pam Flores
    GM SPO Communications


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