We also have reduced and realigned our vehicle assembly capacity to bring it more in line with demand and shifting customer preferences. There are several ways to measure our vehicle assembly capacity, two of which are installed capacity and manned capacity. Installed capacity refers to the physical capability of the plant and equipment to assemble vehicles if fully manned. Manned capacity refers to the degree to which the installed capacity has been staffed. In addition, in North America there generally exists the capability to work overtime or schedule downtime to adjust the manned capacity in the short term to match sales.

Since year-end 2005, we have reduced our North American manned capacity from 3.6 million units to 2.9 million units. Reducing our manned capacity in this manner allows us to achieve major cost savings and coordinates plant closures with planned product changes, which we believe is the best economic approach. We plan to reduce our manned capacity in North America by the end of the decade so that it closely matches projected sales of Ford, Lincoln and Mercury units.

As part of this reduction, we have closed or announced plans to close the following North American manufacturing facilities:

CLOSED:

• Atlanta Assembly Plant (closed in 2006)
• Maumee Stamping Plant (closed in 2007)
• Norfolk Assembly Plant (closed in 2007)
• St. Louis Assembly Plant (closed in 2006)
• Windsor Casting Plant (idled in 2007)
• Wixom Assembly Plant (closed in 2007)

TO BE CLOSED:

• Batavia Transmission Plant (to be closed in 2008)
• Twin Cities Assembly Plant (to be closed in 2009)
• Cleveland Casting Plant (to be closed in 2010)

Additionally, we have sold or closed the ACH plants listed below, and plan to sell or close essentially all of the 11 remaining ACH plants by the end of 2008:

• Chesterfield (Michigan) Trim Plant, which produced seat foam, closed in 2006
• Kansas City Regional Assembly, which performed final assembly of instrument panels, closed in 2006
• El Jarudo (Mexico), which produced automotive fuel rails, sold in 2007
• Converca (Mexico), which produced power transfer units, sold in 2007