This is in efforts to save GM an additional $1 billion a year by 2010. By 2010 GM is hoping to have cut costs by $15 billion a year. The plants affected are Oshawa, Ontario; Moraine, Ohio; Janesville, Wis.; and Toluca, Mexico. The closing of these plants eliminates 2500 jobs, but in an act of good faith. They can return later this year thanks to 19,000 buyouts and early retirments that will leave towards the end of 2008.
Now what caugt me, was the mention of GM discontinuing the Hummer brand. It's mentioned by GM, but is not quoted anywhere in the article by Rick Wagoner. Of course it's no surprise since gas is nearly $5 a gallon in parts of the country. And the shift to smaller, economical cars is permanent said Wagoner.
But what about Hummer? You'd figure if the CEO actually dropped this bomb in an interview with MSN that there would be a quote in there somewhere outlying the fate of Hummer. So who knows how much truth there is to the article other than the plant closings, confirmation of high gas prices, and yet another confirmation that we'll see the Chevy Volt in 2010. We'll keep following this one til we get some answers. In the meantime, here's the article. Read it and draw your on conclusions as to how AP missed this one.