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

DETROIT, June 1 /PRNewswire/ -- 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 investment.

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 carried.

"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 Operations.

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)

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

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

    Powertrain
    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
     Virg.
    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 www.gm.com.

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 media.gm.com/manufacturing.

    CONTACTS:
    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
    Lynda.Messina@gm.com            Chris.T.Lee@gm.com

Service and Parts Operations:

Pam Flores

GM SPO Communications

810.606.3107

pamela.flores@gm.com

SOURCE General Motors Corporation