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The sporty compact car Subaru and Toyota were developing together has been put on hold because of the worldwide economic slowdown, both companies confirm.

The program had been developing a pair of sporty small cars for sale by both automakers in 2011. The companies' other high-profile collaboration, the assembly of Toyota Camrys in Subaru's Lafayette, Ind., plant, remains intact.Toyota took a small stake in Subaru when GM ended its relationship with the all-wheel drive specialist in 2005.

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Toyota/Subaru 2011 Supra Successor Withers Away

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