Thursday, May 19, 2005

J.D. POWER ON GM'S QUALITY PERFORMANCE - GREAT NEWS FOR GM DEALERS

J.D. POWER ON GM'S QUALITY PERFORMANCE . . . "The 2005 IQS results
contain some genuinely good news for General Motors. The improvements of
the quality of several models and at their North American plants are both
very positive signs."

FIVE GM MODELS NAMED SEGMENT LEADERS IN IQS STUDY . . . Today J.D. Power
and Associates released their 2005 Initial Quality Study (IQS), widely
considered to be the industry benchmark for new vehicle quality. While
GM's overall score did not show significant improvement over last year,
GM and its assembly plants had many significant "wins" in the study. Like
last year, GM had 13 vehicles that placed in the top three of their
segment. This includes six GM models that were rated highest in their
segment, up from three that placed at the top of their segment in last
year's study. These are: Buick's Century (Premium Midsize) and LeSabre
(Full-Size Car), Chevy's Malibu/Malibu Maxx (Entry Midsize) and Suburban
(Full-Size SUV), and the GMC Sierra HD (Heavy Duty Full-Size Pickup).
This marks GM's best performance to date in terms of segment leadership.

Note: J.D. Power does not provide an actual award for the Full-Size Van
category due to only two competitors in this segment, but the Chevy
Express was ranked highest in its segment.

GM MODELS TAKING SECOND & THIRD PLACE . . . Five GM models ranked second
in their segment: Chevy Impala (Premium Midsize), Pontiac Grand Prix (in
a tie with Impala), Cadillac Escalade EXT (Full-size Pickup Light Duty),
Chevy Silverado HD (Full-Size Pickup) and Chevy Tahoe (Full-Size SUV).
Two models came in third: Cadillac DeVille (Mid Luxury Car) and CTS
(Entry Luxury Car).

FINDINGS CONSISTENT WITH STRATEGIC VISION TOTAL QUALITY STUDY . . . The
results of the IQS are consistent with the results of Strategic Vision's
recently released Total Quality Study. Six GM vehicles got top ratings in
five of the survey's 20 vehicle categories, the highest number of any
full-line manufacturer. The Pontiac G6 was the top mid-size car, while
the Buick Rainier was the top mid-size sport utility vehicle and the GMC
Sierra was the top heavy-duty pickup. The Cadillac Escalade and the
HUMMER H2 tied with Land Rover's Range Rover in the luxury SUV category,
while the Chevrolet Corvette was tops among luxury specialty cars.

GM DOMINATES PREMIUM MIDSIZE CAR SEGMENT . . . In the very competitive
Midsize Car segment, GM demonstrated its quality leadership in the IQS.
GM dominated the Premium Midsize Car segment, with Buick Century, Pontiac
Grand Prix, Chevy Impala and Buick LaCrosse taking the top four spots ?
all ahead of the Toyota Camry and Honda Accord. Overall, Buick Century
was the No. 1 vehicle built in North America and the Buick LaCrosse was
the highest-rated all-new redesigned launch vehicle.

WINNING ASSEMBLY PLANTS . . . GM swept the top three North/South America
plant awards, up from two award wins last year. Oshawa 2, which makes the
Buick Century, Buick LaCrosse and Pontiac Grand Prix won the Gold award
for top assembly plant in North/South America. Oshawa 1, which makes the
Chevy Impala and Chevy Monte Carlo, won the Silver award for top assembly
plant in North/South America. And Hamtramck, which built the Buick
LeSabre, Cadillac DeVille and Pontiac Bonneville during the survey period
(and is gearing up to build the Buick Lucerne and Cadillac DTS) won the
Bronze. GM has been recognized for having the top two assembly plants in
North America for four consecutive years.

HOW GM VEHICLES COMPARE TO OTHER BRANDS . . . Buick and Cadillac are
among the top five brands, just behind Lexus, Jaguar and BMW. And four GM
brands are above industry average: Buick, Cadillac, HUMMER and GMC.

POWERTRAIN PERFORMANCE . . . While J.D. Power and Associates doesn't
report on GM Powertrain performance publicly, our own calculations, based
on data from J.D. Power, shows that GM Powertrain improved 4 percent,
passing Toyota for the first time. GM Powertrain is now in second place,
with Honda setting the new benchmark in powertrain performance. In other
findings, GM Powertrain became the industry leader in automatic
transmissions, improving 25 percent year-over-year.

OTHER KEY FINDINGS . . . Following are some other significant wins for
GM:

HUMMER was among the top 10 brands and also was the "most improved"
brand, with a 36 percent improvement. This is good news for the HUMMER
H3, which began shipping to dealers this week.
The GMC Envoy had significant year-over-year improvement.
The Cadillac CTS finished third in the entry Luxury Car segment, ahead
of the Chrysler 300 and BMW 3 Series.

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