GM exec lauds Lordstown

Doesn’t confirm new car for plant

By LARRY RINGLER / Tribune Chronicle
BOARDMAN — General Motors Corp. is ‘‘deeply committed’’ to having great small cars in a time of soaring gasoline prices, and it’s also pleased with the cars coming out of its Lordstown Complex, a high-ranking company executive said Thursday night.

But that was as far as GM North America Vice President Mark R. LaNeve went when discussing the next-generation small car that, according to one report, is headed for Lordstown.

‘‘I can’t commit to where any specific product’’ will be made, LaNeve said after speaking at the Youngstown/Mahoning Valley United Way’s annual meeting at Mr. Anthony’s in Boardman. ‘‘I can’t even validate that they exist. But we’re deeply committed to having great small cars, and the folks down here have done a terrific job with the current generation’’ of Chevrolet Cobalts and Pontiac G5.

Motor Trend magazine reported Thursday on its Web site that Lordstown in the summer of 2009 will start production of the next-generation of the Cobalt — a car codenamed GMX071 to be built using the Delta 2 global architecture.

Previous reports, however, had the car starting production in 2010, and GM has yet to say where it will build the car that it hopes will attract new buyers with its fuel economy and comfort. Spy photographs of the car drew comparisons with GM’s hot-selling Chevrolet Malibu, and even the BMW 5-series car.

Developing a global architecture for the cars would allow GM to sell basically the same vehicle in markets around the world, LaNeve said, saving development and production costs while appealing to different buyers.

LaNeve’s visit coincided with voting on a local labor agreement Thursday at the Lordstown Metal Center West plant. Local 1714, which represents about 1,000 workers, was scheduled to have concluded voting at 1:30 a.m. today.

A local contract with the 2,400-member Local 1112 at the east car assembly plant was said to be close.

GM has had ‘‘great performance’’ from Complex Manager John Donahoe, his management team and two UAW locals in building quality small cars, LaNeve said

‘‘I would hope we’ll have a long relationship,’’ he said.

LaNeve, the son of a steelworker family from Beaver Falls, Pa., said GM and unions at Lordstown both know the company has to be competitive.

‘‘I’m sure John is working with them on a contract keep us fully competitive at Lordstown,’’ he said.

Donahoe said the company has ‘‘great relationships with both locals, and we’re looking to get that wrapped up this month and move on.’’

LaNeve touted GM’s success with the Malibu, which he said has captured buyers from Toyota, Honda and Nissan in the midsize segment.

‘‘We’ve introduced great vehicles at the same time we’ve worked with the UAW to receive a truly historic and transformational agreement last year,’’ he told the United Way audience.

With GM celebrating its 100th anniversary this year, LaNeve said the company is dubbing the celebration ‘‘GM Next’’ to mark its future as much as its past.

That future, he said, hinges on goals that include turning around the North American business, which is still half of the company’s business; continuing to develop its global business and focusing on energy diversity.

LaNeve’s visit also came on the day GM agreed to pay $200 million to help end a 10-week strike at parts supplier American Axle and Manufacturing Holdings Inc.

The bitter strike has ended or curtailed production of trucks, sport utility vehicles and other vehicles at about 30 factories.

GM said the money would go for temporary payments to buffer reduced wages for the workers, as well as employee buyouts and early retirement packages, according to the Associated Press.

No deal had been reached between American Axle and the UAW as of Thursday afternoon, although talks were continuing.



lringler@tribune-chronicle.com