CAMPAIGN: 5 SPEED MANUAL TRANSAXLE REPLACEMENT

MODELS AFFECTED CERTAIN 1989 GRAND AM AND SUNBIRD MODELS WITH 5-SPEED MANUAL TRANSAXLE (RPO MG1 OR MG2)

TO: ALL PONTIAC DEALERS

General Motors has determined that certain 1989 Pontiac Grand Am and Sunbird models were produced with 5-speed manual transaxles which may have gears with a high carbon content in the tooth surfaces. These gears could, as mileage accumulates, damage the softer gears to which they mate. The first notice to a driver would be gear noise resulting from spalling (pitting) of gear surfaces. If the transaxle is left unserviced, internal damage may occur, leading to vibration or the shifter "popping out of gear," and finally to a loss of drive in one or more gears.

Up to ten different gears in each of the involved transaxles may have excess carbide, hence the involved transaxles are to be replaced to prevent the above condition from recurring on the same vehicles as mileage accumulates.

VEHICLES INVOLVED

Involved are certain 1989 Pontiac Grand Am models equipped with 2.3L DOHC engines (RPO LD2, VIN Code D) and 5-speed manual transaxle (RPO MG2) and 1989 Pontiac Sunbird models equipped with 2.0L Turbo engines (RPO LT3, VIN Code M) and 5-speed manual transaxle (RPO MG1) with the following SPECIFIC VIN'S:

1G2JU31M2K7587828 1G2NE14D3KC819987 1G2NE14D9KC825678 1G2NE14D0KC824676 1G2NE14D5KC824785 1G2NE14DXKC829075 1G2NE14D0KC824709 1G2NE14D6KC824861 1G2NE54D7KC825606 1G2NE14D0KC825729 1G2NE14D6KC825668 1G2NW14D0KC825856 1G2NE14D1KC824766 1G2NE14D6KC825914 1G2NW14D4KC824645 1G2NE14D1KC824783 1G2NE14D8KC825834 1G2NW14DXKC825590 1G2NE14D1KC824850 1G2NE14D9KC825633 1G2NW54D4KC825625 1G2NE14D2KC825702

Involved vehicles have been identified by Vehicle Identification Number Computer Listings. Computer listings contain the complete Vehicle Identification Number, owner name and address data, and are furnished to the involved dealers with the campaign bulletin. Owner name and address data furnished will enable dealers to follow-up with owners involved in this campaign.

These listings may contain owner names and addresses obtained from State Motor Vehicle Registration Records. The use of such motor vehicle registration data for any other purpose is a violation of law in several states. Accordingly, you are urged to limit the use of this listing to the follow-up necessary to complete this campaign. Any dealer not receiving a computer listing with the campaign bulletin has no involved vehicles currently assigned.

OWNER NOTIFICATION

Owners will be notified of this campaign on their vehicles by Pontiac Division (see copy of Owner Letter included with this bulletin).

DEALER CAMPAIGN RESPONSIBILITY

Dealers are to service all vehicles subject to this campaign at no charge to owners, regardless of mileage, age of vehicle, or ownership from this time forward.

Whenever a vehicle subject to this campaign is taken into your new or used inventory, vehicle or it in your dealership for service in the future, you should take the steps necessary to be sure the campaign correction has been made before reselling or releasing the vehicle.

Owners of vehicles recently sold from your new vehicle inventory are to be contacted by the dealer, and arrangements made to make the required modification according to instructions contained in this bulletin.

PARTS INFORMATION

Transaxles for this Campaign are to be ordered directly from Hydra-Matic Division by calling (317) 747-2026, between 8:00 AM and 2:30 PM, Central Time. Collect phone charges will be accepted thru November 30, 1989.

Information which the dealer will be required to provide during the telephone order:

1) Dealer Name 2) Parts Shipping Address 3) Contact Person 4) Telephone Number 5) Vehicle VIN 6) Bar Code Number From Transaxle To Be Replaced (see Illustration) 7) Mileage On Vehicle 8) Vehicle Status: a) Dealer Inventory b) Sold But Not Delivered c) Customer Vehicle d) Customer Vehicle Down For Transaxle Problem

Description: Transaxle, Manual (one per vehicle)

Engine Engine Engine Transaxle Transaxle Body Service Type RPO VIN Code RPO Model Code Type Part Number ---- --- -------- --- ---------- ---- ----------- 2.0L LT3 M MG1 9XCX J 8672342 Turbo

2.3L LD2 D MG2 9XAX N 8672340

Transaxles will be shipped within 24 hours from Muncie, Indiana, with delivery time of two to five days.

RETURN SHIPPING INSTRUCTIONS

The shipping container will include return shipping instructions along with a form on which to repeat the data given during the telephone order.

The replaced transaxle is to be shipped to Muncie within 30 days after the new one is installed.

The freight charges, both ways, will be borne by Hydra-Matic (subject to Hydra- Matic instructions and choice of shipper).

DEALERS WILL BE CHARGED $1,500.00 IF THE REPLACED TRANSAXLE IS NOT RETURNED TO MUNCIE WITHIN 30 DAYS.

Information to be declared on the Bill-of-Lading description for returning the replaced transaxle:

Description: "Transmissions or clutches or parts thereof, not used, NMFC 19940, Class 70."

Weight of container and transaxle: 111 Pounds

Routing Instructions:

Carrier: (As specified by Hydra-Matic) Consign Return To: Hydra-Matic Division Muncie Transmission Plant 1200 West 8th Street Muncie, IN 47307

Hydra-Matic Muncie Plant will ONLY be financially responsible for freight charges which would result from the carrier specified by Hydra-Matic. Do not use air freight unless Hydra-Matic specifically requests the RETURN of the transaxle by AIR. Failure to comply with Hydra-Matic's instructions may result in a debit issued to the dealer for excess freight charges.

SERVICE PROCEDURE

1. The transaxle in each involved vehicle is to be replaced using the proce- dures listed in the appropriate Service Manual, including observing the CAUTIONS and making the adjustments required.

Refer to the 1990 Pontiac Grand Am and Sunbird Service Manuals, Section 7B, Page 7B-14, for an improved procedure to remove and replace the manual transaxle assembly.

2. Install a Campaign Identification Label.

CAMPAIGN IDENTIFICATION LABEL

Each vehicle modified in accordance with the instructions outlined in this Product Campaign Bulletin will require a "Campaign Identification Label ." Each label provides a space to include the campaign number, the five digit dealer code of the dealer performing the campaign service, and the date the vehicle was campaigned. This information may be inserted with a typewriter or ballpoint pen. Install the label only on a clean, dry surface of the radiator baffle where it is readily visible. (Additional campaign labels are available on stationery order as Form 7901-709).

CLAIM INFORMATION

A separate repair order must be used for each vehicle. A completed warranty claim is to be kept as a permanent record of completion.

DEALERS SHOULD SUBMIT WARRANTY CLAIMS FOR CREDIT IN THEIR NORMAL MANNER WHEN THEY PERFORM THE SERVICE AS FOLLOWS: *Other Failure Labor Labor Labor Operation Code Operation Hours Hours ---------- ---- --------- ----- ----- Replace Transaxle Assembly And Make Required Adjustments 96 V5570 2.9 0.1

* In addition, dealerships will receive 0.1 hours credit for dealer adminis- trative services associated with this campaign. The 0.1 hours allowance is to be entered in the "Other Labor Hours" field with each campaign repair listed for credit. This entry will not require authorization.

FAILURE CODE 96 MUST BE USED WITH THE LABOR OPERATION.

Parts allowance: Enter $208.55 in the "TOT-PTS" column to cover the 30% dealer handling allowance. NOTE: Fluid-may be applied for in the usual manner.

Dealers will be credited via Warranty Document or Terminal Transmission, whichever is their normal method of submission for payment. Claim must contain all information required and should list the labor operation as outlined.

RECORDING COMPLETION

Repairs submitted for vehicles not involved in the campaign will not be paid. Campaign completion will be recorded from "PROPERLY COMPLETED AND PAID WARRANTY CLAIMS." Owners are being asked to present the owner reply card for identification to their dealer at the time they bring in their vehicle to have the campaign performed.

This notice has been sent to inform you that Pontiac Division is initiating a recall campaign that includes your vehicle.

REASON FOR RECALL

General Motors has determined that certain 1989 Pontiac Grand Am and Sunbird models were produced with 5-speed manual transaxles which may have gears with a high carbon content in the tooth surfaces. These gears could, as mileage accumulates, damage the softer gears to which they mate. The first notice to a driver would be gear noise resulting from pitting of gear surfaces. If the transaxle is left unserviced, internal damage may occur leading to vibration or the shifter "popping out of gear" and finally to a loss of drive in one or more gears.

WHAT WE WILL DO

To prevent this condition from occurring on your vehicle, your Pontiac dealer will replace the transaxle at no charge to you.

WHAT YOU SHOULD DO

Contact your Pontiac dealer as soon as possible to arrange a service date. Instructions have been sent to your dealer. Your dealer will need to order the specific type transaxle which is designed for your vehicle; hence, you should expect to arrange a service date which will be several working days after your call. Please ask your dealer if you wish to know how much time will be needed to process and repair your vehicle.

Even if you have already had a gear repair in the transaxle on your vehicle, you need to contact your dealer to have the transaxle replaced; the condition may recur with other gears in the transaxle.

The enclosed Owner Identification Reply Card identifies your vehicle. Presentation of this card to your dealer will assist in making the necessary inspection/correction in the shortest possible time. If you have sold or traded your vehicle, please let us know by completing the postage paid reply card and returning it to us.

We are sorry to cause you this inconvenience; however, we have taken this action in the interest of your continued satisfaction with our products.

General Motors bulletins are intended for use by professional technicians, not a "do-it-yourselfer". They are written to inform those technicians of conditions that may occur on some vehicles, or to provide information that could assist in the proper service of a vehicle. Properly trained technicians have the equipment, tools, safety instructions and know-how to do a job properly and safely. If a condition is described, do not assume that the bulletin applies to your vehicle, or that your vehicle will have that condition. See a General Motors dealer servicing your brand of General Motors vehicle for information on whether your vehicle may benefit from the information.