GM delays all development spending through 2010

[jamz]

Filed under: GM, Earnings/Financials
A story from the Crain sisters, Automotive News and Autoweek, reports that General Motors has cut product development spending for 2009 in an effort to save approximately $1.5 billion next year. Reductions in engineering, design and R&D work on future models has been rumored for the last week, possibly causing the delay (or death) of a few select models. However, the Camaro and Volt haven't been affected by the cuts (no surprise, since they're all but complete), and the new Buick LaCrosse, Chevrolet Traverse and Cadillac CTS Wagon should hit the market has planned, late next year and early in 2010.

After the story surfaced earlier today, the Detroit News got in on the action and spoke with GM spokesman Tom Wilkinson who said of the AN report, "We think they are probably overplaying this a little bit." We'll see.

[Sources: Autoweek, Detroit News]GM delays all development spending through 2010 originally appeared on Autoblog on Wed, 29 Oct 2008 18:01:00 EST. Please see our terms for use of feeds.



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