General Motors Announces E85 Collaboration With Michigan

Cleanfuel USA and Meijer Gas Stations To Help More Michigan Motorists Power Their GM Flexfuel Vehicles With E85

GM Provides State with E85-Capable Chevrolet Tahoe for Use in Michigan

LANSING, MI - April 18, 2006: General Motors today announced plans for the addition of approximately 20 new E85 ethanol fueling sites in the southeast Michigan area through a collaborative partnership with Meijer and CleanFUEL USA. The collaboration is part of a broader, national GM campaign to boost the use and awareness of ethanol-based E85 fuel in the United States. The announcement was made today during an event at the State Capitol presided over by Michigan Governor Jennifer Granholm.

“ The production of ethanol and its use present a tremendous opportunity for Michigan’s economy and the world’s environment,” said Granholm. “Using ethanol for renewable energy helps our country meet our future energy needs and we commend GM, CleanFUEL USA and Meijer for their support and promotion of this alternative fuel.”

As part of the partnership, GM will promote the availability of the fuel through consumer and dealer outreach. The effort is similar to announcements GM has already made with other state government, oil industry, ethanol producers, and retail partners in Sioux Falls, SD; California, Chicago, and Texas.

“GM already has 1.5 million vehicles on the road today that are capable of using E85 ethanol fuel. We appreciate that CleanFUEL USA and Meijer have joined our efforts to make this great fuel alternative available to more people in Michigan,” said Elizabeth Lowery, GM vice president of environment and energy. “We also appreciate the support of Gov. Granholm and the State of Michigan as we continue to promote the use of E85 and its many benefits for the environment, the economy and consumers.”

GM, Meijer and CleanFuelUSA will work together to identify retail locations in Lansing, Grand Rapids, Warren, Pontiac, Detroit, Rochester, and Brighton over the next few months, with one station scheduled to immediately open in Jackson this week.

Michigan is currently among the nation's leading corn producers with more than 257 million bushels a year and is 11th in the nation in terms of overall ethanol production. The state is also home to one of the largest concentrations of GM’s E85 flexible fuel vehicles in the country with 140,000 GM company vehicle drivers and members of the general public.

"CleanFUEL USA develops the technology required to use alternative fuels in vehicle engines and to distribute alternative fuel to customers and one of our primary missions is to make alternative fuels available as quickly and efficiently as possible to everyone,” said Russell C. Youngdahl, Jr., CEO and director, CleanFUEL USA. “This partnership represents a significant step forward in accomplishing that mission in Michigan."

Meijer continues to develop partnerships to promote alternative fuels. “We are thrilled to provide our customers choices such as E85 that will enhance the environment and provide greater independence from foreign fuels,” said Judith Clark, communications director for Meijer. “We find Southern Michigan to have a larger portion of flex fuel vehicles and this will allow convenient fueling locations for our consumers.”

GM also provided an E85-capable Chevrolet Tahoe to the state for use in Michigan as part of a campaign to promote ethanol and E85-capable vehicles. As part of the campaign, the governor’s office will showcase the vehicle in various ways and events throughout the year.

The announcement is part of a campaign by GM and the Governors’ Ethanol Coalition (GEC), a bipartisan group of governors devoted to the promotion and increased use of ethanol . GM provided Michigan with an E85-capable Chevrolet Tahoe for similar use in 2005. This collaborative effort is designed to increase awareness of ethanol and flexible fuel vehicles, and to promote the increased use of E85 as a renewable, alternative transportation fuel that is able to meet the demands of today’s drivers.

“ Michigan’s $60.1 billion agriculture industry is on its way to creating a strong presence in the ethanol market,” said Mitch Irwin, director of the Michigan Department of Agriculture. “We’re excited to work with GM to promote the benefits of E85 vehicles across the state, and appreciate their support of cleaner-burning fuels like ethanol, which help reduce emissions, increase energy independence and support our agriculture industry.”

E85 FlexFuel vehicles can run on any combination of gasoline and/or E85, a fuel blend of 85 percent ethanol and 15 percent gasoline. E85 can contribute to energy independence because it diversifies the source of transportation fuels beyond petroleum, and it provides positive environmental benefits in the form of reduced greenhouse gas emissions.

Research has shown that many owners of flex-fuel vehicles do not know that their vehicles are capable of using E85. In January, GM announced a sweeping consumer education and advertising campaign aimed at promoting the benefits of E85 and GM’s flexible fuel vehicle leadership, and encouraging consumers to actively promote E85 in their communities. “Live Green Go Yellow” ads continue throughout the year with print, web (livegreengoyellow.com) and broadcast media components.

With 1.5 million flexible-fuel vehicles already on the road, GM is a leader in flexible-fuel vehicle production and sales. For the 2006 model year, GM offers nine E85 flexible fuel vehicles, including the Chevrolet Tahoe, GMC Yukon, Chevrolet Suburban, GMC Yukon XL, Chevrolet Silverado, GMC Sierra, Chevrolet Avalanche, Chevrolet Impala, and the Chevrolet Monte Carlo. GM also plans to add more than 400,000 E85-capable vehicles to the fleet in 2006. At the same time, worldwide production of ethanol is increasing every year, and is expected to triple by 2020.