GM, Navistar Deal Off

Aug 21, 2008

Yesterday, GM and Navistar announced that the deal to sell GM's medium duty truck line to Navistar is off.  Both companies cited "significant marketplace and economic changes."  GM's medium duty truck sales were down 20% through July, compared to the previous year according to CNN Money.

The Dayton Business Journal claims that because GM couldn't guarantee a replacement line for the UAW controlled, Flint, Michigan plant, the deal died.  Springfield, Ohio will miss out on the 700 jobs that would have been created.

GM will continue to run the medium duty line as they have in the past.

What does this mean for service truck buyers??  That remains to be seen.  We will provide updates as we get them.