GM has disbanded its high performance vehicle division in a bid to further cut costs in what is proving to be a painful restructuring for the troubled Detroit automaker.
On Wednesday, GM scrapped its High Performance Vehicle Operations unit and re-assigned its engineers to other positions within the company.
The shut down is another step in GM's attempt to prove its viability as a business. On Tuesday, the company submitted a restructuring plan to the US Treasury in order to secure more government loans to keep the automaker operating without having to declare bankruptcy. GM is asking for a further 16.6 billion US dollars, on top of the more than 9 billion in emergency loans it has already received.
The High Performance Vehicle Operations unit was responsible for low-volume, specialty vehicles for auto enthusiasts such as a V8 Chevy Colorado pickup, the Chevy Cobalt SS, Chevy HHR SS and the V-series Cadillac CTS.
According to GM spokesman Vince Muniga, the division may be revived someday once the financial situation improves for the company.
jagervw
February 19, 2009 6:37 PM
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