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GM to close Shreveport, La., assembly plants by 2012

Wednesday, June 24, 2009

GM to close Shreveport, La., assembly plants by 2012

Robert Snell / The Detroit News

General Motors Corp. told workers today it will shutter its assembly and stamping plants in Shreveport, La., no later than June 2012.

The assembly plants, which employ more than 1,400 hourly and salaried workers, produce two Hummer models as well as the Chevrolet Colorado and GMC Canyon mid-size pickup trucks.

The moves are part of GM’s court-ordered restructuring, which will cut 21,000 U.S. factory jobs by the end of next year. The plants were added to a list of facility closings announced June 1, the day GM filed Chapter 11 bankruptcy.

There has been much speculation about the fate of the plants since GM reached a memorandum of understanding earlier this month to sell the Hummer brand to Chinese-based Sichuan Tengzhong Heavy Industrial Machinery Co. Ltd.

The plants were not initially included on the list because the memorandum of understanding has not been reached at that time.

GM will continue to produce the Hummer H3 and H3T on a contract basis for an undetermined amount of time, GM spokesman Chris Lee said.

But the plants will not get new products beyond the life cycles of the Colorado and Canyon.

"When the products end, the plants will close," Lee said. "It’s a very difficult decision impacting employees as we accelerate plans to create a leaner and stronger GM," Lee said.

GM has sold 5,113 Hummers through May, down 63.7 percent compared to last year, the steepest drop among the automaker’s eight brands.

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