Shop Chairman Steve Rop and I, (President Greg Golembiewski), attended this Key Four conference yesterday in Detroit and have the following to report out to our membership.  The objective of this meeting was to give everyone on both sides an update regarding the business.

Opening Remarks:  UAW Vice President Cal Rapson and GM Vice President of Labor Relations Diana Tremblay discussed the Labor Agreement we signed last October and how things have changed since then, like:

·        Current oil and gasoline prices

·        The banking, housing, and mortgage crisis

·        GM’s stock prices

·        Also, the public’s perception continues to hurt the business

 Fritz Henderson, GM President:  Fritz spoke about the global auto industry and how that has taken a percentage of our business.  He stated that Brazil, Russia, India, and China are four of the top ten producers in the world.  Thru July of this year GM was down 318,000 truck units, which equates to two points of market share.  Fritz indicated cash is king, and we must conserve as much as we can for future products and further market downturns.  In closing, he said GM needs to self-help by acting as one GM.  The plan to win is to stay focused, adapt to change, and have balanced profitability.

Ron Gettelfinger, UAW President: 

President Gettelfinger was more optimistic about the state of the business.  He first talked about health and safety being his number one priority for our members.  Ron stated that he wants the 2007 agreement implemented as soon as possible. 

 Referencing to the VEBA, the starting date will be January 1, 2010.  In closing, Ron told GM that the UAW will continue to work with them, as they have in the past; however, he wants and expects their side to look at ways to save money as well.

Troy Clarke Group Vice President

Spoke about working together with the UAW and maintaining an open dialog.

·        He was excited about GM and future products that are in the making.  Stating that 18 out of the next 19 new vehicles will be cars or crossovers. 

·        He also talked about hybrids and the extra expense associated with them.  

·        Speaking also about the discovery of cellulosic ethanol, which is a type of fuel made from garbage.

·        Troy announced that the replacement for the Cobalt will be the Cruz, and it will be built at Lordstown.

·        Also, a new efficient four cylinder engine is slated to be built in the US. 

·        In closing he said GM needs help from the government for research on battery power for the future, and we need to do our part by writing letters to our congressmen on our behalf.

 Ray Young, GM VP Chief Financial Officer

Stated that everyone had to improve cash flow, improve revenue for future products, and the need for ample liquidity to make it through a downturn.

Mark LaNeve, GM VP of Vehicle Sales & Service

·        Talked about the number of dealers we have now and how it has dropped to 6800.  That’s half of what GM had just 15 years ago.  

·        Mark said GM is working with their dealers’ network to continue to improve customer relations in order to insure complete customer satisfaction.  In closing he told the group that GM is the sole automotive sponsor of the summer Olympics, and we will be proud of the cars and trucks that the world will be seeing starting today.  He also stressed how it is up to each of us to help promote and sell our products.

In Closing

Both Steve and I left the conference feeling cautiously optimistic about GM and our plant.  There was not any discussion of plant closings.  We will continue to keep you informed about the business as it becomes available to us.  We hope this clears up any rumors that have been going around.  Remember - if the information does not come from Steve or me, it’s nothing more than a rumor.

 In solidarity,

Steve Rop                                Greg Golembiewski    

Shop Chairman                        President                    

UAW Local 730                      UAW Local 730