GM Pulls Plug On NUMMI Joint Venture

It looks like it is NUMMI no more. In 1984, General Motors and Toyota set up a joint venture and created NUMMI, or New United Motor Manufacturing Incorporated. The creation spawned the Pontiac Vibe.

However, since the announcement of Pontiac's demise, the big wigs at GM see no further need for keeping the plant open. There have been many rumors that Toyota would help GM produce a Prius-like vehicle, but no one can validate this. GM's official stance is that they are not working with Toyota and instead are working diligently on their hybrid offerings. None of GM's hybrids operate like a Prius, however.

As part of General Motor's bankruptcy reorginaztion they are designating assets as either "old or new" GM. NUMMI has fallen into the old GM category and thus will be left in the bankruptcy dust.

One has to wonder if this is yet one more bad decision by GM management. What do you think? Is this move good or bad for GM?