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patrickbec

Lansing Overtime

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Sales lead to OT at Lansing GM plant Shrinking Cadillac inventories increase hours at Grand River By Barbara Wieland Lansing State Journal Advertisement Shrinking stock A 60-day inventory is ideal for the industry. GM's Lansing-made cars have experienced declining inventory in the past months. This chart shows how many days of inventory GM has for certain models. Vehicle Feb. 1 July 1 Aug. 1 Cadillac CTS 134 days 41 days 37 days Cadillac STS 138 days 76 days 55 days Cadillac SRX 129 days 102 days 39 days Chevrolet SSR 201 days 138 days 112 days Source: Automotive News Related news from the Web Latest headlines by topic: • Cadillac SRX • Cadillac CTS • Chevrolet SSR • Cadillac • Chevrolet Powered by Topix.net Workers at General Motors Corp.'s Lansing Grand River plant soon will be working overtime to replenish the stock of Cadillac CTS, STS and SRX vehicles. Starting in mid-September, a half-hour of overtime will be added to every shift at the three-year-old plant, meaning that each worker can expect to see 2.5 hours of overtime per week. The plant has 1,800 workers. In addition, five Saturdays will be added into the production schedule. GM spokeswoman Heidi Magyar said the extra shifts will be added between the end of September and December. These will be the first Saturday shifts at the plant in nearly a year. The overtime is needed because vehicle inventories have been depleted by GM's Employee Discount for Everyone program, which began in June. "We're meeting the market demand for our product," Magyar said. "We're very excited about how our vehicles have been selling. The STS is taking off, especially." The overtime follows a slowdown of the plant line in June. Magyar said previously that slowing down the rate of production gave workers more time to check the vehicles' quality. "They just derated the line and then they add more cars back in," said Thomas Hankins, a skilled trades worker at the plant. "The number of cars we make (with overtime) is going to be about the same thing as what we made before the derate." The increasing demand for the Cadillacs is a positive for the plant's workers. "Everybody likes the OT. It shows we're holding our own in the market," said Mike Green, vice chairman of United Auto Workers Local 652, which represents the factory's hourly workers. Contact Barbara Wieland at 267-1348 or bwieland@ lsj.com.
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The days of supply thing is misleading... If there were 10,000 CTSs on the lots in Febuary and they sold 3k in January, then that's like 100 days of supply. If there were 10k CTSs on the lots in July but they sold 6k in June, then that's like 50 days of supply. It is good that they are selling well though. I'm guessing the overtime is due to having very few left after the Employee Discount, but either way overtime is good.
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The great GM circle of life continues. Cars sit on lots, GM practically gives them away, GM builds more cars and quits giving them away, cars sit on lots..... If this value pricing doesn't bring buyers in like employee pricing did, we're going to have huge inventories again, thats just how it seems to be working.
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yup. it's a tough thing to break. with the 'promo cocaine' that GM has got their buyers hooked on, it is going to be extremely tough to get them off. gonna be a whole lotta withdrawl symptoms. fewer incentives means fewer vehicles sold, which means lower mkt share which is bad. if GM blinks then that means more incentives to keep the sales moving. employee pricing, like most of the bigger promos are just bringing forward future sales. at some point something has to give. either the sales dry up OR GM comes to market with vehicles that people 'gotta have'. let's hope the new array of vehicles (with proper pricing) are enough to end the downward spiral.
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I'm starting to see that its not the pricing but the feeling of getting a great deal that drives people to buy at "Employee" prices. Value Pricing isn't much different but people don't see it as good of a deal. If GM came out and said, Value=Employee when it comes to pricing, then maybe people would notice.
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Actually no. Only 83 '06 SRX's hav been produced YTD. YTD only about 10,000 SRXs have been made versus 25,000 at the same time period last year. I am hoping the new reduced sills will improve SRX sales.
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As of yesterday an additional 27 '06 SRXs have been produced. That means a grand total of 110 '06 SRXs have been produced. people are beating the doors down for those things. But seriously, I assume that the demand for CTSs and STSs plus the new door sills on the SRX are the reason for the slow production.
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