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GM, Navistar deal collapses

Posted: August 1, 2014

SPRINGFIELD, OH — A tentative deal between General Motors Corp. and Navistar International Corp. has fallen through, according to a county official.

GM was planning on selling Navistar its medium-duty truck line business and move the operation to a UAW approved assembly line, but Clark County Commissioner John Detrick says that GM’s Flint, Mich., plant will continue to build the line.

"I’m disappointed," Detrick said. "Hopefully something else can come in, or the union will give up its rights."

The demise of the deal saves around 500 jobs at the Flint Truck Assembly Plant, but costs as many as 700 potential new jobs at the Springfield facility.

According to Detrick, the deal died due to GM’s inability to guarantee a replacement line at the Flint plant.

Warrenville, Ill.-based Navistar has 16,000 workers nationwide. The Springfield plant is part of its subsidiary, International Truck and Engine Corp.

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