GM announces a third shift at three assembly plants in U.S.

Article by Christian A., on September 24, 2009

To streamline its manufacturing operations, General Motors is adding a third shift at three of its assembly plants. Of those three, one is the Fairfax, Kans. facility that will become the sole provider of the Chevrolet Malibu starting November.

The Orion, Mich. facility, which will no longer be producing the Malibu, is instead retooled to produce a range of small cars for the US. The facility located at Ft. Wayne, Ind. facility currently rolls out light-duty full-size pickups, but starting April 2010, a third shift will assemble heavy-duty variants of the Chevrolet Silverado and GMC Sierra models.

Presently, production of these models is split between two plants in Michigan, and one is scheduled to close by the end of this month.

Meanwhile, GM's factory in Lansing, Mich., home to the GMC Acadia, Saturn Outlook, and Buick Enclave, will be manufacturing the similar Chevrolet Traverse, which was previously built in Spring Hill, Tennessee. In November, Traverse production in Spring Hill will cease. However, the plant will remain on standby until April 2010.

Since production of medium-duty commercial vehicles at the Flint, Mich. plant ended in July, it has extra capacity. GM plans to invest nearly $21 million in this assembly plant to produce light-duty crew cab versions of the 2011 Chevrolet Silverado and GMC Sierra. The plant also builds heavy-duty full-size pickups.

Operating from the Renaissance Center in Detroit, Michigan, General Motors Co. is engaged in designing, producing and selling cars, trucks and auto parts around the world. Its automotive operations are done through automotive segments such as GM North America (GMNA) and GM Europe (GME). In addition, GM provides automotive financing services through General Motors Financial Company, Inc. (GM Financial).

On June 1, 2009, General Motors Corp. and certain subsidiaries filed voluntary petitions for relief under chapter 11 of the US Bankruptcy Code.

On June 5, 2009, the US Bankruptcy Court for the Southern District of New York approved the sale of substantially all of General Motors Corp’s assets to NGMCO Inc., a new and independent company. On the completion of the sale on July 10, 2009, NGMCO was renamed to General Motors Company. General Motors Corp. was also renamed to Motors Liquidation Company, which would continue the bankruptcy proceedings.

General Motors Co. is owned by Motors Liquidation Corp. with 10 percent and the US government -- through the US Department of Treasury -- with 60.8 percent. The Canadian and Ontario governments hold a stake 11.7 percent. The UAW retiree medical benefit trust VEBA (Voluntary Employees' Beneficiary Association) owns 17.5 percent of GM.

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