Flexibility Wasn't Enough for Former Tennessee Saturn Plant to Keep Building GM Vehicles

Aerial Photo of the Former Saturn Plant

Lindsay Chappell from Automotive News: Suppliers and workers at General Motors' assembly plant in Spring Hill, Tennessee, thought they had the inside track this summer when GM had to decide quickly where to build a new family of subcompact cars. The plant boasts a recent renovation, a history of good labor relations and the sort of innovative supplier-automaker partnership that automakers profess to seek. It wasn't enough. A plant in Orion Township, Michigan, got the nod. "A lot of us are still wondering how they made this decision," says Mike Herron, chairman of Spring Hill's UAW Local 1853. "Obviously, we're all hoping the best for Orion. But when you consider what we've achieved here, you have to wonder what it counted for."

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General Motors, Saturn LLC, and Saturn Distribution Corporation All File for Bankruptcy Protection

GM Logo

As expected, GM filed for bankruptcy protection this morning in a New York based Bankruptcy Court. Fritz Henderson, GM's CEO, told reporters that "Our agreement with the U.S. Treasury and the governments of Canada and Ontario will create a leaner, quicker more customer-and completely product-focused company, one that's more cost competitive and has a competitive balance sheet. This new GM will be built from the strongest parts of our business, including our best brands and products."