Court to Notify Pennsylvanians Who Bought New General Motors Vehicles, as a Result of a Class Action Lawsuit

LANCASTER, Pa., Aug. 16, 2004 -- The Court of Common Pleas of Lancaster County has authorized that notices be issued to those people who bought certain new GM vehicles from Pennsylvania GM Dealers.

The notices are a result of the Court establishing or "certifying," in October of 2001, a class action lawsuit against General Motors Corporation involving Pennsylvania car buyers and GM's "Marketing Initiative" programs. The case will proceed to a trial.

The lawsuit includes people, called a "Plaintiff Class," who purchased at retail from a Pennsylvania GM dealer, a new vehicle that was made or distributed by the Chevrolet, GMC Truck, Cadillac, Oldsmobile, Buick, or Pontiac divisions of GM. For a person to be included in the Plaintiff Class, the dealer from whom the new vehicle was bought must have purchased the new vehicle from GM or any of its divisions on or before March 31, 1999, but after (a) September 1, 1998 for Chevrolet or GMC Truck vehicles; (b) July 1, 1989 for Cadillac or Oldsmobile vehicles; (c) July 1, 1990 for Pontiac vehicles; and (d) August 1, 1990 for Buick vehicles. The Plaintiff Class does not include GM employees who purchased vehicles under the GM Employee Purchase Plan, GM qualified fleet purchasers, government entities, or attorneys of record in this case.

The representative Plaintiff in the lawsuit alleges that GM violated the Pennsylvania Board of Vehicles Act by adding 1% of the Manufacturer's Suggested Retail Price ("MSRP") to the invoice of certain new vehicles that it sold to dealers, and requiring that the additional 1% be used for advertising. The Plaintiff alleges that the 1% charge was passed on to customers when they purchased their vehicles, and is asking for this amount to be paid back to all Class members.

General Motors denies any wrongdoing, and contends that it only increased the wholesale price of its vehicles in the amount of 1% of the MSRP. General Motors further contends that the dealers did not necessarily pass on the charge to each purchaser.

A date has not yet been set for the trial.

The Plaintiff Class will be represented by attorneys Joseph F. Roda and Michele Stawinski of Lancaster, Pennsylvania, serving as Class Counsel. Class members will not be charged for their services. Instead, if Class Counsel obtain a recovery for the Class, they may apply to the Court for payment of their reasonable attorneys' fees and costs by GM or from funds recovered for the Class before distribution of the net proceeds to the Class members.

Class members who wish to remain members of the Class need not do anything at this time and will be able to participate in any claims process that results from the trial or any proposed settlement. Class members will be bound by all orders and judgments of the Court.

Class members may exclude themselves from the Class. To do so, they must mail a written request to be excluded from the Class, either by sending a letter or postcard that includes their name and address and says that they want to be excluded from the Class, or by completing and sending an Exclusion Request form, which is available at http://www.onepercentcase.com/. Exclusion requests must be postmarked by November 1, 2004, and sent to Soders v. General Motors, Class Counsel, Roda Nast, P.C., 801 Estelle Drive, Lancaster, PA 17601. Class members who exclude themselves from the Class cannot participate in any recovery for the Class, and will not be bound by any court orders or judgments.

The lawsuit is entitled Soders v. General Motors Corp., No. CI-00-04255 (C.P. Lancaster County).

For more information and a detailed Notice of Class Action, Class members may write to the above address, or see the website at http://www.onepercentcase.com/.