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GM Wentzville plant not affected by cuts; plant in Hazelwood being converted

The General Motors Car Assembly Plant in Lansing, Michigan in an undated photo.
The General Motors Car Assembly Plant in Lansing, Michigan in an undated photo.

By AP/KWMU

St. Louis, MO – General Motors announced major changes to its operations this morning (Monday), including the closing of nine factories.

GMs plant in Wentzville is not affected, but a Parts Distribution Center in Hazelwood is.

The center will be converted to a collision center facility next year.

It's not known whether that will mean any job losses or gains.

The world's largest automaker is hoping hte moves will save the company $1 billion by the end of next year.

Chairman and CEO Rick Wagoner says he hopes job cuts can be made through attrition and early retirement.

GM has been crippled by high labor, pension, health care and materials costs as well as by falling demand for sport utility vehicles and by excess plant capacity.

Plants that will close are in Oklahoma City; Lansing, Michigan; Spring Hill, Tennessee; Doraville, Georgia; and Ontario, Canada.

GM's market share has been eroded by competition from Asian automakers led by Toyota; it lost nearly $4 billion in the first nine months of this year.

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