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GM ANNOUNCES PLANT CONSOLIDATIONS

 GM ANNOUNCES PLANT CONSOLIDATIONS
 DETROIT, Feb. 24 /PRNewswire/ -- General Motors (NYSE: GM) today


announced that it has begun implementing the accelerated consolidation and idling of selected plants in the United States and Canada to bring capacity of its North American operations more tightly in line with overall market demand and help restore corporate profitability.
 Following is a list of the operations affected by today's announcement, current employment statistics, products produced by those facilities and target dates:
 -- Willow Run Assembly Plant, Ypsilanti, Mich., with 4,014 employes. It produces the Chevrolet Caprice sedan and wagon, Oldsmobile Custom Cruiser wagon and Buick Roadmaster Estate wagon. Production of these vehicles will be consolidated with production at the plant in Arlington, Texas. Consolidation will be completed, and the Willow Run plant will cease operations by the summer of 1993.
 -- Tarrytown Assembly Plant, North Tarrytown, N.Y., with 3,456 employes. It produces the Chevrolet Lumina APV, Pontiac Trans Sport and Oldsmobile Silhouette. Production of these vehicles will cease at Tarrytown in the summer of 1995. At that time, a new model van will be produced elsewhere.
 -- Flint, Mich., V8 Engine Plant with 4,036 employes. The plant will cease operations in 1995, with production to be consolidated at the Romulus, Mich., engine plant.
 -- Moraine, Ohio, Engine Plant with 549 employes. Operations cease at the Moraine plant in the summer of 1995, and production will be consolidated in Toluca, Mexico.
 -- Saginaw, Mich., Grey Iron Foundry Head Castings, with 600 employes. Head castings will be consolidated from Saginaw Grey Iron with the Defiance (Ohio) Casting Plant by the summer of 1994.
 -- St. Catharines, Ontario, Canada, 3.1L V6 Engine with 165 employes. Production of the 3.1L V6 engine will be discontinued at St. Catharines in the fall of 1992. Production of other V6 and V8 engines will continue at St. Catharines.
 -- Detroit Plants 55 and 57 with 435 employes. Plant 55 is a maintenance facility and is part of the Gear and Axle complex. Work at Plant 55 will be relocated in the Gear and Axle complex by the end of 1993. Plant 57 makes components for brakes and axles. Work at Plant 57 will be relocated within the complex by the end of 1992.
 -- Delco Chassis, Dayton, Ohio, Plant 20 with 249 employes. This plant produces machine control systems. Operations will cease by the end of 1992.
 -- Delco Remy, Anderson, Ind., Plant 10 with 375 employes. Operations at this plant, which produces horns, are being discontinued and will cease by the end of the first quarter of 1992. Production is being consolidated within the Delco Remy Anderson complex.
 -- St. Catharines, Ontario, Canada, Casting Plant with 2,150 employes. This plant produces castings for blocks, heads and camshafts. Operations at this plant will cease in the spring of 1995. Production will be consolidated at the Saginaw, Mich., Grey Iron, and Defiance, Ohio, foundries.
 -- Die Construction at Lordstown, Ohio, with 270 employes. Operations at this facility will cease in 1992. The work will be consolidated at other GM tool and die shops.
 In its Dec. 18, 1991, announcement, GM said production of V6 engines in Lansing (Mich.) plants One and Three would be discontinued starting in 1993. Coupled with today's announcement, a total of 14 plants are part of the 21 assembly and manufacturing operations which GM said in December would be idled over the next few years.
 Also announced in December, the number of plants producing mid-size (A/W) vehicles in various locations will be reduced from five to no more than four. The decision has not been made on what plants will be affected.
 Additionally, GM Chairman Robert Stempel said GM is pursuing the sale of operations at the Danville, Ill., foundry which produces castings for brake rotors, exhaust manifolds, etc. There are 1,449 employes at Danville.
 In the December announcement, it was explained that the goal is to reduce the combined hourly and salaried work force by approximately 74,000 employes by the mid-1990s. The work-force reduction will be achieved primarily through attrition, retirement and a special early retirement program for salaried employes.
 Where there were choices among facilities performing common work, Stempel said, the plants that will remain in production are those that GM believes will be more competitive in the long term in the areas of quality, cost, speed-to-market and overall customer satisfaction. In making this determination, he said, GM looks at such things as location, facilities and employe relations.
 "The plant decisions were based on internal factors and the economic realities of the world automotive market," Stempel said. "Political considerations were not part of our decision process."
 Stempel said extensive analyses are under way to determine which additional facilities will be affected. Most announcements of closings, idlings and consolidation are planned to be complete by the first quarter of 1993. As plans are finalized, employes will be notified and appropriate announcements made. "We do not expect to have any further announcement for several months," he said.
 "The timing of our actions and the income security provisions provided for employes will lessen the immediate impact on families and communities," Stempel said. "The income and tax flows are not cut off, but rather phased out over time, providing a transition."
 All employes affected by today's announcement have extensive income- security nets provided by either corporate policies or collective- bargaining agreements with the various unions. Affected employes have been advised of the changes that will involve them, and they will be fully informed about benefits and all available assistance programs.
 -0- 2/25/92
 /CONTACT: John F. Maciarz of General Motors, 313-556-2030/
 (GM) CO: General Motors Corporation ST: Michigan IN: AUT SU:


DH-ML -- DE018 -- 1803 02/24/92 10:35 EST
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Date:Feb 24, 1992
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