Suzuki 2001 Annual Report Download - page 13

certification. In January 2001, the use of lead was abolished in the painting process at our motorcycle and automobile plants in Japan.
In March 2001, we expanded the installation of automobile bumper crushers to all of our distributors in each prefecture in Japan.
SUZUKI MOTOR CORPORATION● 11
YGM-1
Strategic Alliance with General Motors Corporation
On September 14, 2000, Suzuki and General Motors announced the
further strengthening of our strategic alliance. This enhancement of
our alliance was symbolized by Suzuki issuing new shares by means
of the third party allotment to General Motors on January 18, 2001,
totaling 58,100 million yen which, together with Suzuki shares
already acquired by General Motors, increased General Motors'
shareholdings in Suzuki from 10% to 20.1%. Furthermore, in the
general shareholders' meeting held in June 2001, General Motors'
Chairman John F. Smith, Jr. was elected as a member of the board of
directors of Suzuki.
During the fiscal year 2000, Suzuki and General Motors Corporation
further strengthened our strategic alliance in various areas:
To facilitate greater development and realization of synergies, a
personnel exchange program was initiated. Collaboration in the area
of purchasing was enhanced. And steps continued to jointly leverage
our respective overseas production bases.
Following the joint development of the Sub-S vehicle (Suzuki Wagon
R+/Opel Agila) in Europe early in 2000, Suzuki and General Motors
are working on numerous new vehicle joint-development programs.
Suzuki and General Motors executed a number of new product
launches in South America. For example, the 5-door Grand Vitara was
introduced by General Motors de Argentina S.A., the Alto by General
Motors Colmotores S.A., and the Grand Vitara lineup of General
Motors del Ecuador S.A. was expanded by the addition of a new 2.5-
liter V6 model. And now, the YGM-1 Asia Car Project is coming to its
execution phase: its production is scheduled to start in the autumn of
2001.
In Asia, including the Japanese domestic market, Suzuki and General
Motors are co-operating to utilize each other's distribution networks.
In the Philippines, we have begun selling Suzuki products through the
GM Autoworld sales network; in Japan, GM Autoworld has begun
selling the Chevrolet MW, a version of Suzuki Wagon R+.
Suzuki and General Motors are also collaborating in important joint
efforts in the fields of research and development and advanced
technologies. These endeavors cover areas such as powertrains,
simulation software, and hybrid and fuel-cell-battery power systems.
The two companies will continue to pursue opportunities for further
joint efforts in various fields, and seek to realize cost reductions,
increased sales and the creation of value for the shareholders of both
companies.
Suzuki and GM further strengthen strategic alliance.
Grand Vitara produced at General Motors de Argentina S.A.