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GM to Cut 1,100 Jobs at Lordstown Assembly in 2009

There was lots of good news this summer for the GM Assembly plant in Lordstown. Over a thousand new jobs were added when the plant started a third shift. And in August, Ohio's top officials met to celebrate GM plans to produce the new Chevrolet Cruze in Lordstown in 2010. But after months of low sales, the US auto industry is fighting for survival. Chris Lee is a GM spokesman.

Chris Lee: The plant will go from about 1,500 vehicles a day to 1,100 vehicles a day to align production with market demand as a result of the shrinking market which includes not only GM but other manufacturers as well.

GM's CEO Rick Wagoner said that plans for the new Chevrolet Cruze are still on schedule. But the company's earnings release warns that the automaker could run out of cash by early 2009 unless it can raise cash either by selling off parts of the company, gaining access to capital markets, or convincing the government to help with a bailout. Wagoner said the company is focusing on its immediate cash crisis and has "put aside" plans for a long-rumored purchase of competitor Chrysler. Mhari Saito, 90.3.

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