AM General announces major changes

[PARAGON]

<Table><SPAN class=standardtext><SPAN class=storyheadline>AM General announces major changes</SPAN>

<DIV class=storyimagearea>


<DIV class=caption
style="PADDING-RIGHT: 2px; PADDING-LEFT: 2px; PADDING-BOTTOM: 2px; PADDING-TOP: 2px"
align=left>NewsCenter 16 has learned some employees are being shifted, from
making the hummer H2, because of a downturn in the demand for the
Mishawaka-produced
vehicle</DIV></DIV>
<SPAN
class=storyDate>Posted: 01/03/2006 04:45 pm</SPAN>
<SPAN class=storyDate>Last
Updated: 01/03/2006 05:46 pm</SPAN>

Story filed by NewsCenter16
Reporter Stephanie Stang

Mishawaka, IN -
AM General says a reduction in demand for the H2 means some lay-offs and
shuffling of employees at the Mishawaka factory.


Late Tuesday afternoon, AM General officials told NewsCenter 16 that General
Motors is reducing the production of the H2 because of a drop in market
demand.</P>


The initial move at the H2 plant will be to lay-off up to 170 workers.</P>


However, all but 25 of thoseworkers will be assigned to other
jobs on the military vehicle side of the plant.</P>


The net result is that it appears 25 people will be withoutjobs when
the move takes effect on February 6th.</P>


It also means that the plant will be turning out fewer H2's because of the
downturn in the SUV market.</P>


For the military vehicle, though, it's a different story.</P>


AM General is actually increasing the number of Humvee’s that are being
produced and with the increase in employees on that side of the plant, they are
reducing overtime. </P>


NewsCenter 16 spoke with one AM General worker Tuesday afternoon, about the
changes. </P>


“It'd be a shame if they got laid off over there and got put out on the
street for x number of days or months or whatever. So it's good we can pick them
up, you know, we're busy and we can use them,” said Tom Pierce, who works in the
engineering department.</P>


The overall result is that AM General does not need as many workers, since
they are reducing the production of the Hummer H2, which is an unknown amount at
this time.</P>However, most, not all will be moved to the military production
side of the operation on February 6th.

Stay with NewsCenter 16 and
WNDU.com for the latest on this story.
</SPAN></Table>

[PARAGON]

<Table><SPAN class=standardtext><SPAN class=storyheadline>AM General announces major changes</SPAN>

<DIV class=storyimagearea>


<DIV class=caption
style="PADDING-RIGHT: 2px; PADDING-LEFT: 2px; PADDING-BOTTOM: 2px; PADDING-TOP: 2px"
align=left>NewsCenter 16 has learned some employees are being shifted, from
making the hummer H2, because of a downturn in the demand for the
Mishawaka-produced
vehicle</DIV></DIV>
<SPAN
class=storyDate>Posted: 01/03/2006 04:45 pm</SPAN>
<SPAN class=storyDate>Last
Updated: 01/03/2006 05:46 pm</SPAN>

Story filed by NewsCenter16
Reporter Stephanie Stang

Mishawaka, IN -
AM General says a reduction in demand for the H2 means some lay-offs and
shuffling of employees at the Mishawaka factory.


Late Tuesday afternoon, AM General officials told NewsCenter 16 that General
Motors is reducing the production of the H2 because of a drop in market
demand.</P>


The initial move at the H2 plant will be to lay-off up to 170 workers.</P>


However, all but 25 of thoseworkers will be assigned to other
jobs on the military vehicle side of the plant.</P>


The net result is that it appears 25 people will be withoutjobs when
the move takes effect on February 6th.</P>


It also means that the plant will be turning out fewer H2's because of the
downturn in the SUV market.</P>


For the military vehicle, though, it's a different story.</P>


AM General is actually increasing the number of Humvee’s that are being
produced and with the increase in employees on that side of the plant, they are
reducing overtime. </P>


NewsCenter 16 spoke with one AM General worker Tuesday afternoon, about the
changes. </P>


“It'd be a shame if they got laid off over there and got put out on the
street for x number of days or months or whatever. So it's good we can pick them
up, you know, we're busy and we can use them,” said Tom Pierce, who works in the
engineering department.</P>


The overall result is that AM General does not need as many workers, since
they are reducing the production of the Hummer H2, which is an unknown amount at
this time.</P>However, most, not all will be moved to the military production
side of the operation on February 6th.

Stay with NewsCenter 16 and
WNDU.com for the latest on this story.
</SPAN></Table>

[PARAGON]

<BLOCKQUOTE class="ip-ubbcode-quote"><div class="ip-ubbcode-quote-title">quote:</div><div class="ip-ubbcode-quote-content">Originally posted by PhilD:
Sad, but hardly surprising. Does anyone know if AMG will be manufacturing the GMT900 based H2 when it comes out? </div></BLOCKQUOTE>That's a damn good question. I think I might have to find out.

[4churchill]

<BLOCKQUOTE class="ip-ubbcode-quote"><div class="ip-ubbcode-quote-title">quote:</div><div class="ip-ubbcode-quote-content">Originally posted by PhilD:
Does anyone know if AMG will be manufacturing the GMT900 based H2 when it comes out? </div></BLOCKQUOTE>

I can't forsee that not being the case, as the H2 is an AM General product until the wheels hit the ground, then it becomes GM. I sure as hell hope this doesn't change. If it did, it would strongly azffect my attitude towards the brand