November 6, 2003
General Motors to increase annual spending with Canadian suppliers to $20 billion
Hamilton, Ontario – General Motors announced it intends to increase total spending with Canadian suppliers to $20 billion by 2005. In 2002, GM spent $16 billion with its suppliers. The announcement was made at the tenth GM Canadian Supplier Council seminar in Hamilton, Ontario on Wednesday.
Gary Cowger, President of GM North America, was the keynote speaker for the event. He praised the Canadian supplier community for their outstanding performance in winning purchasing contracts that have grown from $3 billion in 1991 to $16 billion in 2002. Cowger noted, “There’s no question about it. Our goals are ambitious. We want to be the industry’s highest-quality, lowest-cost producer and our expectations are high on our supplier contracts. The additional revenue – at least $4 billion – is there for the taking. The best performing suppliers in quality, service, technology and price will grow with GM.”
Michael Grimaldi, President of General Motors of Canada, kicked off the conference stating, “Canada is definitely being revved by a healthy and dynamic auto industry. But this strong industry is not guaranteed a strong future. At GM, we are focused on continuously improving so we can grow the business in Canada and provide growth opportunities for our Canadian suppliers. As a critical member of our team, we need Canadian suppliers to lead in their respective businesses and to participate in our new product renaissance, and sales and market share growth.”