GM buys out Suzuki stake in Cami

General Motors has agreed to buy out SuzukiÔÇÖs stake in Cami Automotive, the two companiesÔÇÖ joint venture in Canada.  Suzuki, which holds 50 percent in Cami, will sell its interest in the joint venture on request from GM, bringing the 20-year partnership to a close and transferring full control back to the Detroit-based automaker.  The price of the stake has not been disclosed, although its value is thought to be around C$49 million ($46.5 million).Established in 1986, Ingersoll, Ontario-based Cami started production in 1989. It has the capacity to make 250,000 units per year.  The factory has so far produced more than 2.3 million vehicles, including cars such as the Chevy Metro, Suzuki Swift and Pontiac Firefly. It began manufacturing midsize sport utility vehicles in 2004.  GM remains optimistic that the plant can return to profitability under its government-led rehabilitation program.  Production at the plant will be expanded by 40,000 vehicles annually, up from the current 200,000, following strong sales of the Chevrolet Equinox and GMC Terrain, two models that posted 17 percent higher sales in November. ÔÇ£GM Canada recognizes that the culture and values of the Cami workforce have played a key role in producing world class vehicles,ÔÇØ said Arturo Elias, president of GM Canada, in a statement. "Bringing Cami completely into the GM family is a strong vote of confidence in the people there and builds on the recent positive news at the plant since the highly successful launch of the Chevrolet Equinox and GMC Terrain.ÔÇØ  Last month Cami said it would invest C$90 million ($85 million) and bring back 150 employees in order to meet increased demand. The joint venture had already called back more than 300 employees in October as GM started to increase production following its restructuring from Chapter 11 bankruptcy this year.  Hamamatsu, Japan-based Suzuki had 0.2 percent market share in the US in November, according to data from Bloomberg. The company stopped production of its XL7 sport-utility vehicle at the end of May due to low demand.  Earlier this year GM ended its Fremont, California-based joint venture with the worldÔÇÖs number one automaker Toyota. GM also ended an equity alliance with Suzuki in November 2008.  *┬á┬á┬á┬á┬á┬á┬á *┬á┬á┬á┬á┬á┬á┬á *