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As the Crankshaft Turns…
18th December 2009
GMC gets its 3rd General Manager in a month…GM announces the “small car” it will build at its Orion Township plant…Obama signs dealer arbitration bill…GM speeds development now that it actually has cash to spend. All this and more on today’s episode of As the Crankshaft Turns.
As The Slandy Report told you, Mike Richards, hired to lead Buick-GMC, left after only 8 days on the job. Well, now Buick-GMC has a new leader. Brian Sweeney, formerly Buick-GMC sales manager, takes over the division after months of turmoil. The division is desperate for sales, and chairman Ed Whitacre has said that executives will not have long to show results. Sweeney has been replaced by Jennifer Costabile, 47, a 25-year GM veteran.
In May, GM announced after a competition between 3 plants, that it would build an unnamed new small car at its Orion plant in suburban Detroit. The unnamed has now been named. The next generation 2011 Chevy Aveo will be built at the plant next year. The present Aveo is made in South Korea, and the next version was supposed to be made in Mexico or China. A big win and a new small car for the US!!
President Barack Obama on Wednesday signed legislation that would give rejected GM and Chrysler dealers access to neutral arbitration if they want to be reinstated, kicking off a a 6½ months arbitration process.
GM and Chrysler now have 30 days to send letters to the owners of about 2,150 rejected dealerships informing them of their rights under the new law and spelling out the reasons that their franchise agreements were terminated.
With Obama’s signature, the eliminated dealerships have 40 days to give notice that they intend to seek arbitration.
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