GM FlexFuel Vehicle Sales Increase in E85 Fuel Card Promotion Markets

Consumers encouraged to use alternative fuels during summer driving in Chicago and Minnesota

CHICAGO– General Motors Corp. today reported an increase in sales of its Chevrolet and GMC flexible-fuel vehicle (FFV) line-ups in the Chicago-Rockford and Minnesota markets during May 2006 compared to year-ago levels. The two Midwest markets are heavily targeted areas of GM’s E85 ethanol marketing campaign and are also the markets where GM is offering its $1,000 E85 fuel card promotion which began on May 2, encouraging the use of E85 ethanol, a renewable fuel containing a mixture of 85 percent ethanol and 15 percent gasoline.

The $1,000 E85 fuel card markets realized a 222 percent sales increase in FFVs sold in May 2006 compared to May 2005. There were 2,238 Chevrolet and GMC FFVs sold in Minnesota and Chicago-Rockford markets for an increase of 1,543 units compared to May 2005. Nationally, GM FFV sales increased 128 percent for the same period. FFV sales contributed to a strong Impala performance with sales up 15 percent in Chicago and 25 percent in Minneapolis. In Chicago, Tahoe, Suburban and Yukon realized significant sales increases over May 2005 with Yukon showing an impressive 61 percent sales increase.

“Our recent sales data would indicate that consumers are interested in the choice of operating their vehicles on a fuel that burns cleaner, supports the domestic agriculture industry and reduces our nation’s dependence on petroleum,” said Lori A. Williams, regional sales manager, General Motors Corp. “With GM producing an industry-leading number of flexible-fuel vehicles, we are helping further the movement towards the use of alternative fuels.”

The $1,000 E85 fuel card promotion, ending July 31, applies to the purchase of a new 2006 and 2007 FlexFuel GMC Yukon, Yukon XL and Sierra as well as the Chevrolet Tahoe, Suburban, Avalanche, Silverado, Impala and Monte Carlo and offers customers the choice of purchasing E85 ethanol or gasoline at participating Gas City and Road Ranger stations in the Chicago-Rockford market and the Holiday Station Stores, Kwik Trip, Cenex and Freedom locations in Minnesota.

“In recent months, we have encountered a noticeable increase in customer inquiries regarding E85 ethanol, our line-up of flexible-fuel vehicles, and the $1,000 E85 fuel card promotion,” said Bill Stasek, owner of Bill Stasek Chevrolet in Wheeling, IL. “The appeal of owning a vehicle that can run on E85 ethanol, unleaded gasoline or a mixture of both is beginning to be a factor in our customers’ purchasing decisions.”

GM is the leader in FFV production and sales and currently has nine models available that are E85 ethanol capable with plans to add more than 400,000 FFV vehicles to the fleet in 2006. To aid consumer awareness, GM FFVs will be equipped with yellow gas caps and FlexFuel badges.

In addition to raising awareness and acceptance of alternative fuels with consumers, GM continues its partnerships with government, fuel providers and fuel retailers across the nation to help grow the E85 ethanol fueling station infrastructure.

General Motors Corp. , the world's largest automaker, has been the global industry sales leader for 75 years. Founded in 1908, GM today employs about 327,000 people around the world. With global headquarters in Detroit, GM manufactures its cars and trucks in 33 countries. In 2005, 9.17 million GM cars and trucks were sold globally under the following brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel, Pontiac, Saab, Saturn and Vauxhall. GM operates one of the world's leading finance companies, GMAC Financial Services, which offers automotive, residential and commercial financing and insurance. GM's OnStar subsidiary is the industry leader in vehicle safety, security and information services. More information on GM can be found at www.gm.com and its environmental initiatives at www.GMAbility.com. To learn more about E85 ethanol and GM’s “Live Green, Go Yellow” campaign visit www.livegreengoyellow.com.