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.March 17, 2004
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This Week:

• The Birthplace of the Minivan Takes on a New Persona 

• Toyota and Ford Conclude Licensing Agreements for Hybrid System and Emissions Purification Patents

• GM Celebrates Start of Construction On New $800 Million Lansing Area Assembly Plant

• Successful financial year 2003 for the BMW Group: Proposed dividend increase

• New smart models increase the pleasure of driving with the wind in your hair

• Renault Modus Concept

• Chrysler Announces Pricing for New 2005 Crossfire Lineup

• 2004 Ford F-150 Regular Cab, Supercab, Supercrew, Receive Government's Highest Rating For Frontal Impact

• Successful development of Volkswagen subsidiary Sitech

• Honda Delivers its Fuel Cell Vehicle FCX to Idemitsu Kosan Co., Ltd.

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GM Celebrates Start of Construction On New $800 Million Lansing Area Assembly Plant
 

Delta Township, Michigan - General Motors and the UAW today celebrated the start of construction of a new vehicle assembly plant in Delta Township that is driving an investment of more than $800 million. The new facility will be a state-of-the-art, highly flexible, people focused production complex that will incorporate GM's leading manufacturing strategies. When adding in GM's new Lansing Regional Stamping plant in Delta Township, GM's combined site investment is more than $1.1 billion dollars. The Lansing Delta Township Assembly Plant will be the second totally new vehicle assembly plant built by GM in the greater Lansing area. The first was the Lansing Grand River Assembly Plant, which began production in late 2000. In addition, a 500,000 square-foot contiguous metal center is already operational at the site. This facility provides most of the major sheet metal to Lansing Grand River and will support the new assembly plant.

The State of Michigan, City of Lansing and Delta Township governments are providing GM with the required infrastructure for the new site, as well as various tax incentives and training support.

Site preparation and construction started in late 2003 and production at the plant is scheduled to begin in late 2006. Products for the new plant have not been announced; however, the plant will have the capability of building numerous products and architectures.

"Our decision to build a whole new assembly plant is the result of developing a business case for an all-new product that has tremendous potential in North America," said Gerald L. Elson, GM vice president and general manager of vehicle operations. "An important element of the business case was the work and cooperation of our employees, the United Auto Workers, the State of Michigan, local governments, and the greater Lansing community. As we do business in the extremely competitive global marketplace, the product and the manufacturing process -- combined with our people and the community working in a cooperative manner -- are all essential to develop a business solution that makes sense for everyone."

"Once fully operational, the GM complex in Delta Township will employ approximately 2,500 employees," said Randy Thayer, Lansing Delta Township Assembly plant manager. "Working with our union partners, we will strive for world-class performance in the areas of safety, quality and productivity."

The Lansing Delta Township Assembly Plant will consist of three buildings covering approximately 2.4 million square feet. Construction has already started on the

Paint Shop and work will begin on the Body Shop and General Assembly building later this year.

"Both GM and the UAW recognize that teamwork is critical to the success of the new plant," said Art Luna, President of Local 602. "Our membership is committed to working as a team to achieve the highest standards in safety and quality. We have proven our abilities at Lansing Car Assembly and we look forward to our future at Lansing Delta Township."

The state-of-the-art facility will be based on GM's best manufacturing processes, focusing on maximum performance in the areas of safety, people systems, quality, customer responsiveness and cost. The new plant will adapt and build on lean manufacturing techniques learned in GM's greenfield plants around the world.

(March 9, 2004)