Shanghai GM Unaffected by GM Bankruptcy

SHANGHAI - June 2, 2009: Shanghai GM, General Motors Corp's Chinese JV with SAIC Motor Corp, has reiterated in a statement obtained today by Gasgoo that "the court supervised reinvention of GM in the United States will have no substantial impact on Shanghai GM, and Shanghai GM will continue its normal business operations as usual."

The company said the intellectual property rights of products produced by Shanghai GM will be included into the New GM, and in accordance with the agreement between Shanghai GM and GM, Shanghai GM and Pan Asia Technical Automotive Center Co (PATAC) are entitled to have access to the technology and continue to be supported by global engineering resources.

Product plans will be carried out as usual, SGM said, as it unveiled plans to launch a line-up of new products, including new Buick LaCROSSE, new Buick Regal 2.0T, new Cadillac SRX and a new generation family car developed by PATAC, by the second half of this year.

SGM also promised that business relationship with suppliers and dealers will be maintained and customers will continue to enjoy normal sales & aftersales services, as they always have.

Meanwhile SAIC said separately that its joint ventures with GM would not be affected by the bankruptcy proceedings.

GM filed for Chapter 11 bankruptcy protection Monday as part of the U.S. government's plan to shrink the automaker to a sustainable size. This is the fourth-largest bankruptcy case in U.S. history and the largest for an industrial company.

But the US automaker quickly statedthat its JVs in China are not included in the filing for the court supervised reinvention, and GM will continue its normal business operations in China.