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Posted: Thursday, 21 August 2008 4:48PM

GM Looks To Turn A Profit On Chevy Cruze



DETROIT (WWJ)  -- General Motors Chairman and Chief Executive Officer Rick Wagoner Thursday announced that the company will invest more than $500 million in the U.S. to build the Chevrolet Cruze (pictured above), an all-new global compact car.

The vehicle will be built at GM's Lordstown, Ohio plant beginning in 2010.  That plant now builds the Chevy Cobalt compact (pictured below) and production at the facility will be increased.





















"One of the key reasons for the success of the Chevrolet Cobalt and Pontiac G5 is the Lordstown workforce and the strong partnerships with the UAW and local and state officials," Wagoner said in a statement.  "Based on the quality of work and these strong partnerships, we are pleased to announce our plans to invest another $500 million in the Chevy Cruze product program in the U.S., including more than $350 million in Lordstown."  

Reports say engines for the cars will be made at a plant in Flint. 

UAW Local 1112 President Jim Graham said they are cranking out Cobalt vehicles as fast as they can. 

"We just put on 1,400 more people and we ran them through orientation and started the shift within a month.  And to my knowledge it's never been done where you put on a shift in a month, in essence," Graham told WWJ Autobeat reporter Jeff Gilbert.

Many of those new workers at the Lordstown plant transferred from GM truck plants that have been cut back. 

Graham feels the Cruz can compete with any import on the market.

The new Cruze will be launched in Europe and Asia Pacific next year.  It's scheduled to make its European debut at the Paris Motor Show in October. 
 
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