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The new General Motors 2-Mode Hybrid transmission for full-size, full-utility SUVs integrates two electro-mechanical power-split operating modes with four fixed gear ratios and provides fuel savings from electric assist, regenerative braking and low-speed electric vehicle operation. A combination of two power-split modes reduces the amount of mechanical power that must be converted to electricity for continuously variable transmission operation. Four fixed gear ratios further improve power transmission capacity and efficiency for especially demanding maneuvers such as full acceleration, hill climbing, and towing. This paper explains the basics of electro-mechanical power-split transmissions, input-split and compound-split modes, and the addition of fixed gear ratios to these modes to create the 2-Mode Hybrid transmission for SUVs.