DETROIT (AP) - Production could cease for about two months this
summer on all but the most popular cars and trucks General Motors
makes, but some analysts worry it could backfire.
Thousands of GM workers could learn specifics as early as today,
as the company copes with slumping sales and growing inventories of
But some analysts and dealers fear GM's action could actually
scare away more potential car buyers.
Sources say the closings will occur around the normal two-week
shutdown in July when changes are made from one model year to the
Laid off workers would still get most of their pay under their
The shutdown could be catastrophic to many auto parts suppliers
that already are near bankruptcy and couldn't ship parts to GM,
losing critical revenue.
Auto industry consultant Jim Gillette says the situation is "as
bad as it's ever been."