UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549-1004
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported) January 11, 2011
GENERAL MOTORS COMPANY
(Exact Name of Registrant as Specified in its Charter)
| 001-34960 | DELAWARE | 27-0756180 | ||||
| (Commission File Number) | (State or other jurisdiction of incorporation) |
(I.R.S. Employer Identification No.) | ||||
| 300 Renaissance Center, Detroit, Michigan | 48265-3000 | |||||
| (Address of Principal Executive Offices) | (Zip Code) | |||||
(313) 556-5000
(Registrant’s telephone number, including area code)
Not Applicable
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| ¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| ¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17-CFR 240.14a-12) |
| ¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
ITEM 8.01 Other Events
On January 11, 2011, General Motors Company (GM) presented at the Deutsche Bank Securities’ 2011 Global Auto Industry Conference. Extracts of presentations related thereto are attached as Exhibit 99.1.
EXHIBIT
| Exhibit |
Description |
Method of Filing | ||
| Exhibit 99.1 | Deutsche Bank Securities’ 2011 Global Auto Industry Conference Presentation Dated January 11, 2011 | Attached as Exhibit | ||
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| GENERAL MOTORS COMPANY | ||||||
| (Registrant) | ||||||
| Date: January 12, 2011 |
By: | /s/ Nick S. Cyprus | ||||
| Nick S. Cyprus Vice President, Controller and Chief Accounting Officer | ||||||
 CHRIS
LIDDELL Vice Chairman and CFO
Exhibit 99.1 |
 In
this presentation and in related comments by our management, our use of the words
“expect,”
“anticipate,”
“possible,”
“potential,”
“target,”
“believe,”
“commit,”
“intend,”
“continue,”
“may,”
“would,”
“could,”
“should,”
“project,”
“projected,”
“positioned”
or similar expressions is
intended to identify forward looking statements that represent our current judgment
about possible future events. We believe these judgments are reasonable, but
these statements are not guarantees of any events or financial results, and
our actual results may differ materially due to a variety of important
factors. Among other items, such factors might include: our ability
to realize production efficiencies and to achieve reductions in costs as a result
of our restructuring initiatives and labor modifications; our ability to
maintain quality control over our vehicles and avoid material vehicle
recalls; our ability to maintain adequate liquidity and financing sources
and an appropriate level of debt, including as required to fund our
planning significant investment in new technology; our ability to
realize successful vehicle applications
of new technology; and our ability to continue to attract new customers,
particularly for our new products
GM's most recent annual report on Form 10-K and quarterly report on Form
10-Q provides information about these and other factors, which we may
revise or supplement in future reports to the SEC.
FORWARD LOOKING
FORWARD LOOKING
STATEMENTS
STATEMENTS |
 |
 Cyclical
+
High operating leverage
+
Capital / engineering intensive
+
Highly leveraged / interdependent value chain
INDUSTRY STRUCTURE
INDUSTRY STRUCTURE |
 |
 HIGH
OPERATING LEVERAGE HIGH OPERATING LEVERAGE
Global OEM EBIT Margins
Global OEM EBIT Margins
Note: Global OEMs include GM, Ford, BMW, Daimler, Fiat, Honda, Hyundai, Nissan,
Peugeot, Renault, Toyota, VW. |
     CAPITAL
/ ENGINEERING CAPITAL / ENGINEERING
INTENSIVE
INTENSIVE
Not This
This
t
t
t
Business
Cycle
Engineering /
Capex Spend
$
$
$
$
t |
 |
 DESIGN, BUILD
and SELL THE WORLD’S BEST VEHICLES
NEW BUSINESS MODEL
NEW BUSINESS MODEL
DESIGN
DESIGN
BUILD
BUILD
SELL
SELL
SELL
DESIGN
World's Best Vehicles
Fewer Brands,
Global Architectures
Higher
Capacity
Utilization
Reduced
Inventories
Lower
Incentives /
Higher Prices
Improved
Brand Equity
Higher
Residuals
Higher
Profitability
and ROA
Reinvest in
Vehicles
$ |
 Strong investment grade credit rating
+
Minimal debt
+
Fully funded, de-risked pension plan
FINANCIAL STRATEGY
FINANCIAL STRATEGY |
 ¶
How realistic?
¶
WACC?
¶
Temporary strategy?
QUESTIONS
QUESTIONS |
 PROGRESS
PROGRESS
9/10
adjusted
for
completed
Q4
capital
actions,
planned
equity
contribution
to
pension
plan
and
funding
AmeriCredit
acquisition.
Perpetual
preferred
is
at
face
value.
Cash
includes
marketable
securities
and
Canadian
HC
Trust
restricted
cash. |
  WACC
WACC
Tax Shield
WACC
Debt Ratio
Financial Theory:
Debt
Tax Shield
WACC
GM tax losses = ~$40B |
 BACK
TO THE FUTURE BACK TO THE FUTURE
* Adjusted debt as of 9/30/2010.
Not rated but
Not rated but
minimal debt
minimal debt |
    CONCLUSION
CONCLUSION
Source: Motor Trend Magazine September 2010 Cover
Financial
strategy
will allow
us to play
OFFENSE,
not defense |
 ¶
Expect Q4 EBIT to remain positive, but at a
significantly lower run-rate than each of first
three quarters
–
Different production mix
–
New vehicle launch costs
–
Increased engineering expense in support of
future products
¶
$0.7B non-cash charge associated with purchase
of Series A Preferred Stock held by United States
Department of Treasury
Q4 OUTLOOK
Q4 OUTLOOK |
 MARK
REUSS President, GM North America |
 GM
U.S. MARKET SHARE GM U.S. MARKET SHARE
GM
U.S.
market
share
based
on
Buick,
Cadillac,
Chevrolet
&
GMC
only |
 ¶
Product launches
–
Full year of Cruze, Regal, CTS Coupe,
Heavy Duty Pickups
–
Regal begins production in Oshawa
–
Increase in Terrain/Equinox production
–
Volt, Verano, Sonic, Camaro
Convertible
¶
Flexible manufacturing
–
Build to market demands
¶
Focus on quality
IT’S ALL ABOUT CARS,
IT’S ALL ABOUT CARS,
TRUCKS AND CROSSOVERS
TRUCKS AND CROSSOVERS |
 2011
CY GM PRODUCT LAUNCHES UNITED STATES
CANADA
Chevrolet Camaro
Convertible
Buick Regal GS
Chevrolet Orlando
Chevrolet Volt
Chevrolet Sonic
4dr
Buick Verano
MEXICO
CENTRAL AMERICA/CARIBBEAN
Chevrolet Camaro
Convertible
Chevrolet Sonic
5dr
Chevrolet Camaro
Convertible
Buick Regal GS
Chevrolet Sonic
4dr
Chevrolet Sonic
5dr
Buick Verano
GMC Terrain
Chevrolet Sonic
4dr
Buick Verano |
 ¶
Maintain ATP (Average
Transaction Price) strength
¶
Hold % incentive spend
vs. competition
¶
Value story
¶
GM Financial
–
U.S./Canada Lease penetration
–
Grow U.S. Sub-Prime APR
penetration
DISCIPLINE ON PRICE
DISCIPLINE ON PRICE |
 U.S.
LEASE PERCENT OF RETAIL U.S. LEASE PERCENT OF RETAIL
SALES
SALES
Source: J.D. Power and Associates PIN |
 ¶
Dealer network a strength
¶
Facility image program
–
981 Dealers have initiated
improvements
–
2,000 more will begin in 2011
¶
Robust programs in place
–
Drive Dealership throughput
–
Encourage parts purchase loyalty
–
Support customer retention
DEALER NETWORK AND
DEALER NETWORK AND
CUSTOMER EXPERIENCE
CUSTOMER EXPERIENCE |
 ¶
Brand building initiatives
–
Chevrolet Carbon Reduction
–
Volt
–
Main Street in Motion
–
Consistent messaging through Tier 3
–
Partnership with MTV targeting
millennial generation
¶
Focus on customer retention
–
Discontinued brands
–
Service/Parts
MARKETING AND
MARKETING AND
IMPROVING CONSIDERATION
IMPROVING CONSIDERATION |
 ¶
Made large scale changes to
organizational structure
in 2010
¶
On-going adjustments will be
made as necessary
¶
Getting our Soul back
REINVIGORATING OUR CULTURE
REINVIGORATING OUR CULTURE |