To: All Chevrolet and GMC Dealers
As you are aware, General Motors has been engaged in discussions with Navistar about the possible sale of GM's medium duty business to Navistar. This letter is to advise you that GM and Navistar were not able to reach an agreement. The Memorandum of Understanding between GM and Navistar has expired.
We also want to advise you of GM's intention to continue to supply medium duty trucks to its dealer network and mutual customers. It is our desire to meet future regulatory requirements for the medium duty business within the financial constraints facing GM. As decisions are finalized regarding our future product plans and available vehicle configurations, we will communicate them to you as quickly as possible.
Despite weakness in the overall commercial truck market, GM's share of the medium duty business has grown in recent months. This is a great testimony not only to our dealers, but also to the strength of our brands in the marketplace. As we have in the past, we will seek input through our dealer council process to develop the sales, service and marketing plans for the future.
Although GM has discontinued discussions with Navistar, the agreements signed between GM and Isuzu regarding the 'W'-series remain intact and are unaffected. Dialog between GM and Isuzu will continue, as it has in the past, to maximize the success of both organizations.
We would like to thank everyone for your continued support.
