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GM to Make Fuel-Saving Changes

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From the Associated Press

General Motors Corp. said Thursday that it was introducing 19 new or significantly redesigned engines and transmissions in its 2007 model year vehicles, including a new hybrid system and a fuel-saving V-6.

The automaker also said it would offer 14 models -- or about 400,000 total vehicles -- that can run on E85 ethanol in 2007, compared with nine models in 2006. GM has nearly 2 million ethanol-capable vehicles on the road.

The 2007 Chevrolet Impala will have GM’s first V-6 engine with a system that saves fuel by automatically operating on fewer cylinders when the vehicle is not carrying a heavy load. Previously, the system was available only for V-8 engines.

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An Impala with the new 3.9-liter V-6 will get an estimated 20 miles per gallon in the city and 29 mpg on the highway, a more than 5% improvement over the current model, GM said.

The 2007 Saturn Vue Green Line, due out this summer, will have a new gas-electric hybrid system that GM says will use as much as 20% less fuel than a traditional Saturn Vue.

GM has been promoting the Green Line as a less expensive alternative to hybrids on the market from Toyota Motor Corp. and Ford Motor Co. The Green Line’s hybrid system adds about $2,000 to the cost of a Saturn Vue, compared with a premium of $3,500 or more for other hybrids.

Like other hybrids, the Green Line saves on gasoline consumption by shutting off the engine while idling, giving the vehicle a boost of electric power during acceleration and capturing electrical energy when the vehicle is braking. GM brought down the price by making a simpler system that doesn’t run on electric power for as long as other hybrids. The Green Line will get an estimated 27 mpg in the city and 32 mpg on the highway, compared with 33 mpg in the city and 28 mpg on the highway for Toyota’s hybrid Highlander.

GM is teaming with DaimlerChrysler and BMW to develop a more advanced hybrid system, which is scheduled to debut on the 2007 Chevrolet Tahoe.

GM Chairman and Chief Executive Rick Wagoner said last week that he thought GM’s strategy of having several hybrid options would help make up for the fact that GM has trailed Toyota and other rivals in bringing hybrids to market. GM has been steadily losing U.S. market share to Asian rivals.

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“It’s fun to be first in an early-stage technology. It’s more important to be right, and I think we have a well-thought-out approach,” he said.

GM also is expanding the number of vehicles with six-speed automatic transmissions. The automaker says the six-speeds offer better fuel economy and performance and smoother shifting than traditional four-speeds. They also cut down on wear by reducing engine revolutions per minute.

GM shares fell 40 cents to $24.06.

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