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article imageGM To Shut Down Most US Plants for 9 Weeks this Summer

By Carolyn E. Price     Apr 22, 2009 in Business
Breaking News: It is being reported by AP that sources at General Motors are telling them the company is preparing to shut down most of its US plants for up to nine weeks this summer.
Just a few days ago, GM announced that it was to cut 1,600 jobs and last week, GM was forced to recall 1.5 million of their vehicles.
There is a growing inventory of unsold cars on the lots of dealerships and at factories all across Canada and the US and sales are still very slow and those two factors are forcing the once mighty auto giant to close most, if not all of its US plants for up to nine weeks in the summer of 2009.
Announcements about operations in Canada have not been made. AP reports that officials from GM did not know exactly when the closures will happen but will happen around the annual summer plant shut down of two weeks.
An independent auto-lobbyist, Tom Libby, believes that if this rumor is true, GM must not believe there is going to be any measurable sales increases in the foreseeable future. Sales at General Motor's were down 49 percent in the first quarter of 2009 when compared to 2008 first quarter sales numbers.
In January of this year, Ward's AutoInfoBank reported that GM had a 162-day supply of cars and trucks. That has dropped down to a 123-day supply at the end of March. However, the AP report notes that GM has about a six-month supply of several vehicles including the Pontiac G5 compact and the Chevrolet Silverado hybrid pickup truck.
More about General motors, Shut down, Plants, Nine weeks summer
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