GM repays its loans
We have more bankruptcies in the past and this is the least we can say. While GM has avoided bankruptcy thanks to the billions injected by the American, Canadian and Ontario governments, but now the manufacturer announced, barely a year later, he has to pay 5.8 billion tranche has these governments on a initial $ 8.4 milliars.
In addition, GM announced an investment of $ 257 million for the development of the new Chevrolet Malibu has the Fairfax plant in Kansas and Hamtramck in Detroit.
The gossips say that the new leadership of the new General Motors can-not be satisfied as long as the meager salary that they are assigned, following a government order authorities. So, we'll see very soon if they will return to salaries and bonuses especially GRANTED a million shots, as formerly.
Here is the statement issued by General Motors-
GM repays its loans to governments in full and announces a Fairfax and Detroit Hamtramck
o GM repays its loans to the U.S. Treasury Department and What Export Development Canada.
o high sales and a promising future allow refund before the date foreseen.
o Investment of $ 257 million for the Malibu Fairfax, Kansas, and Detroit Hamtramck.
KANSAS CITY, KANSAS - The president and CEO of General Motors, Ed Whitacre today announced that GM has made its final payment of $ 5.8 billion to the U.S. Treasury and Export Development Canada What to fully repay its government loans and before the date foreseen.
The announcement was made here on the occasion of a ceremony during which GM announced an investment of $ 257 million to its assembly plant in Fairfax, Kansas, and Detroit Hamtramck. The investment will be used to prepare the Fairfax plant for the production of the new generation of the Chevrolet Malibu Award-Winning and make Detroit Hamtramck plant one second production facility in Malibu to ensure that Chevrolet can meet a market demand for this popular intermediate sedan.
"GM is able to repay the taxpayers in full, with interest, ahead of schedule, because more customers are buying vehicles like the Chevrolet Malibu and Buick LaCrosse we build here in Fairfax," stressed Mr. Whitacre. "We currently produce some of the best trucks, crossovers and cars we've ever built and customers are well aware. Our dealers superior record sales, we are investing in our factories and we bring more jobs to create. "
The governments of the United States, Canada and Ontario, through the launch of the new GM, made loans of $ 8.4 billion and took an equity stake in the new company. Today's payment of $ 5.8 billion ($ 4.7 billion to the Treasury and American CA $ 1.1 billion Export Development Canada) completes the repayment of these loans.
"The repayment of these loans by GM before the date foreseen confirms that our business plan is working and that we are on the right track. It also marks an important first step was to allow our shareholders to reduce their equity stake in GM, "says Whitacre has. "We still have much work ahead, but we are rapidly approaching our goal to design, build and sell the best vehicles in the world.
"We appreciate the support that gives taxpayers a GM, and our great new products are tangible results of that support. "
Sustained sales to stimulate production and employment
Strong sales of new vehicles from Chevrolet, Buick, GMC and Cadillac feed a regular increase in production to allow a GM to answer the growing demand.
Sales of four GM brands were up 36% as of March since the beginning of the year compared to the same period in 2009, and many new cars and crossover vehicles, including the Equinox, Camaro and the Chevrolet Traverse; Terrain and GMC Acadia; Buick LaCrosse and Cadillac SRX remain short supply at GM dealers.
The Fairfax plant currently produces two of the most popular GM cars, the Chevrolet Malibu and Buick LaCrosse. During the first three months of the year, the American book dealers over 49,000 Malibu and LaCrosse 14,000, which represents an increase of 58% compared to the same period last year. In response to this demand, the Fairfax plant has added a third shift of approximately 1,050 employees, bringing the total number of plant about 3,800 employees.
The Fairfax plant will become the main source of production of the new generation of the Malibu. The Detroit Hamtramck plant, which builds the Buick Lucerne and Cadillac DTS, will be equipped to produce both Malibu, ensuring that Chevrolet can meet the demand.
Detroit Hamtramck plant will also produce the electric vehicle Chevrolet Volt extended range to be launched this year. March 31, the plant celebrated a major step, the production of the first Volt pre-series regular on the chain assembly.
Investments related to the production of the Malibu, $ 136 million Fairfax and $ 121 million Detroit Hamtramck, used for plants, machinery, equipment and tooling.
Since the launch of the new GM last July, the company announced an investment of over $ 1.5 billion in 20 facilities in the United States and Canada. These investments have reduced or create more than 7,500 jobs and an unwavering commitment testify in the future of GM and to the United States and Canada.
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