GM to invest about $890 mln in plant upgrades

Tuesday, April 27, 2010

Source: Reuters

  • Upgrades for next-gen V8 engines for pickup trucks
  • GM spending on plants up since bankruptcy (Adds company confirmation, plant spending since bankruptcy, details on new engines)

DETROIT, April 27 (Reuters) — General Motors Co [GM.UL] on Tuesday said it would invest about $890 million to upgrade five North American plants to build the next-generation V8 engine for its full-sized pickup trucks.

The investment will allow GM to retain laid-off workers, and perhaps create new jobs. In all, about 1,600 jobs would be restored or created, GM said.

Since emerging from bankruptcy, GM has committed to invest $2.3 billion at 22 U.S. and Canadian sites, restoring or creating about 9,100 jobs, the company said.

The automaker will invest $400 million at its plant in Tonawanda, New York; $235 million at St. Catharines, Ontario; $115 million at Defiance, Ohio; $111 million at Bedford, Indiana; and $32 million at Bay City, Michigan.

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