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2014 March U.S. Sales and Venezuelan Operations 8-K




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) April 1, 2014
___________________

GENERAL MOTORS COMPANY
(Exact Name of Registrant as Specified in its Charter)
___________________


DELAWARE
(State or other jurisdiction of
incorporation)
001-34960
(Commission File Number)
27-0756180
(I.R.S. Employer
Identification No.)

300 Renaissance Center, Detroit, Michigan
(Address of Principal Executive Offices)

48265-3000
(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

U.S. Sales

On April 1, 2014, General Motors Company issued a news release announcing March 2014 U.S. sales. The release and charts are attached as Exhibit 99.1.

Venezuelan Operations

Previously we utilized the official exchange rate of Bolivar Fuerte (BsF) 6.3 to $1.00 set by the Venezuelan government for remeasuring the net assets of our Venezuelan subsidiaries. Effective March 31, 2014 we are changing the exchange rate we use for remeasuring these amounts to the rate determined by an auction process conducted by Venezuela’s Complimentary System of Foreign Currency Administration (“SICAD I”). At March 31, 2014 the SICAD I exchange rate was BsF 10.7 to $1.00.

This change in exchange rate was made as we believe the SICAD I rates are the most representative rates to be used for remeasurement, as the official rate of BsF 6.3 to $1.00 will increasingly be reserved only for the settlement of USD-denominated obligations related to purchases of “essential goods and services” and future dividends will likely not be paid at the official rate. The net assets of our Venezuelan subsidiaries may be impacted by periodic auctions in SICAD I rates which may have a material impact to the results of operations in Venezuela in future quarters.

We expect this change in exchange rate to result in a pre-tax remeasurement charge of approximately $400 million in the three months ended March 31, 2014. The remeasurement charge will be treated as special for EBIT-adjusted reporting purposes.




EXHIBIT

Exhibit
Description
Method of Filing
 
 
 
Exhibit 99.1
U.S. Sales Release and Charts
Dated April 1, 2014
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)


 
 
/s/ THOMAS S. TIMKO
Date: April 3, 2014
By:
Thomas S. Timko
Vice President, Controller and Chief Accounting Officer




2014 March U.S. Sales Press Release & Charts Exhibit 99.1


Exhibit 99.1
For Immediate Release: Tuesday, April 1, 2014

GM’s Retail Sales up 7 percent, Outpacing Industry
Average transaction prices hit record $34,000; incentives down during month

DETROIT - General Motors Co. (NYSE: GM) dealers delivered 256,047 vehicles in the United States in March 2014. Total sales were up 4 percent compared with a year ago. Retail sales were up 7 percent and GM gained retail market share.

Fleet sales were down 5 percent due to a planned reduction in rental deliveries. However, commercial fleet sales were up 5 percent for the fifth consecutive monthly increase.

“GM’s retail sales, like the weather and the economy as a whole, have been on an improving trend since early February,” said Kurt McNeil, U.S. vice president of Sales Operations. “We expect to see solid economic growth in the months ahead, with the job market, household income and consumer spending all showing positive signs. It is a strong backdrop for the launch of our all-new heavy-duty pickups, large SUVs and other new products, like the Cadillac ATS coupe coming this summer.

“Our dealers continue to work hard to exceed people’s expectations for customer care, whether they are shopping for one of our award-winning new products or coming in to have their vehicle serviced,” he said.

March Retail Sales Highlights (vs. 2013)
•
Deliveries of the Chevrolet Silverado, the 2014 North American Truck of the Year, were up 14 percent and the GMC Sierra was up 23 percent.
•
During the month, Vincentric, which uses a proprietary model to measure cost of ownership attributes including depreciation, fuel, insurance, maintenance and repair costs, said the Chevrolet Silverado family has the lowest cost among full-size pickups.
•
Deliveries of Chevrolet passenger cars were up 10 percent. The Spark was up 17 percent; Sonic was up 20 percent; the Volt was up 7 percent; the Impala was up 103 percent; and the Corvette, the 2014 North American Car of the Year, was up 221 percent.
•
Deliveries of the Cadillac SRX were up 37 percent. In addition, the CTS family was up 11 percent on the strength of the new 2014 CTS sedan, which is the 2014 Motor Trend Car of the Year.
•
Sales of the Buick Regal were up 52 percent and the Encore was up 71 percent.
•
Sales of large SUVs were up 62 percent, with availability of the all-new 2015 models building, per plan.
•
GM’s incentives as a percentage of average transaction prices, or ATPs, were 10 percent compared with 10.3 percent for the industry, according to J.D. Power PIN estimates through March 23. That is down from February and year over year.
•
GM’s ATPs set a new record of about $34,000, up about $2,000 per unit from February and more than $3,800 from a year ago, according to J.D. Power PIN estimates.

GM delayed this release for several hours due to a computer systems issue that impacted dealer sales reporting. These results reflect sales reported through GM’s primary and backup dealer systems and we believe they accurately reflect March sales, although it is possible that a few hundred March deliveries may be reported in April.    





General Motors Co. (NYSE:GM, TSX: GMM) and its partners produce vehicles in 30 countries, and the company has leadership positions in the world's largest and fastest-growing automotive markets. GM, its subsidiaries and joint venture entities sell vehicles under the Chevrolet, Cadillac, Baojun, Buick, GMC, Holden, Jiefang, Opel, Vauxhall and Wuling brands. More information on the company and its subsidiaries, including OnStar, a global leader in vehicle safety, security and information services, can be found at http://www.gm.com
Forward-Looking Statements
In this press release 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 planned significant investment in new technology; the ability of our suppliers to timely deliver parts, components and systems; 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 reports on Form 10-Q provides information about these and other factors, which we may revise or supplement in future reports to the SEC.

CONTACT:
Jim Cain
GM Communications
313-407-2843
james.cain@gm.com
 
Sales Tables
 
 
 
 
 
 
 
 
March
Total Sales
YOY Change
Retail Sales
YOY Change
Chevrolet
179,681
3.3%
126,434
6.8%
GMC
41,173
7.4%
35,347
11.8%
Buick
20,428
13.4%
17,153
7.8%
Cadillac
14,765
-6.3%
13,438
2.5%
Total
256,047
4.1%
192,372
7.5%
 
 
 
 
 
2014 CY
Total Sales
YOY Change
Retail Sales
YOY Change
Chevrolet
452,683
-3.6%
318,881
-0.3%
GMC
104,468
-0.4%
90,757
-0.6%
Buick
52,898
11.1%
43,914
1.4%
Cadillac
39,588
-7.3%
36,568
-3.8%
Total
649,637
-2.3%
490,120
-0.5%
 
 
 
 
 
Fleet Segment
Month
YOY Change
2014 CY
CY Change
Share of Sales
24.9%
-2.4 points
24.6%
-1.4 points
 
 
 
 
 
Inventory
Units at
Month-end
Days Supply
(selling day adjusted)
Units at
Previous
Month-end
Days Supply
(selling day adjusted)
All Vehicles
815,492
83
805,769
87
 
 
 
 
 
 
Industry Sales
Month (est.)
2014 (est.)
 
 
Light Vehicle SAAR
16.0 million
16.0-16.5 million
 





 
March
 
(Calendar Year-to-Date)
January - March
 
 
2014

2013

%Change Volume

 
2014

2013

%Change Volume

 
Enclave
5,886

5,676

3.7

 
14,714

15,812

(6.9
)
 
Encore
5,279

3,003

75.8

 
10,723

4,953

116.5

 
LaCrosse
3,550

4,157

(14.6
)
 
10,522

11,372

(7.5
)
 
Regal
2,424

1,605

51.0

 
6,058

4,084

48.3

 
Verano
3,289

3,564

(7.7
)
 
10,881

11,395

(4.5
)
 
Buick Total*
20,428

18,007

13.4

 
52,898

47,620

11.1

 
ATS
2,982

3,587

(16.9
)
 
7,318

9,750

(24.9
)
 
CTS
2,918

2,791

4.6

 
7,659

7,862

(2.6
)
 
ELR
81

—

***.*

 
180

—

***.*

 
Escalade
743

987

(24.7
)
 
2,223

2,690

(17.4
)
 
Escalade ESV
508

746

(31.9
)
 
1,383

1,846

(25.1
)
 
Escalade EXT
8

211

(96.2
)
 
42

574

(92.7
)
 
SRX
5,399

4,368

23.6

 
14,903

12,856

15.9

 
XTS
2,126

3,061

(30.5
)
 
5,880

7,130

(17.5
)
 
Cadillac Total*
14,765

15,751

(6.3
)
 
39,588

42,712

(7.3
)
 
Avalanche
11

2,057

(99.5
)
 
68

6,259

(98.9
)
 
Camaro
8,624

8,102

6.4

 
19,568

19,198

1.9

 
Caprice
247

241

2.5

 
769

679

13.3

 
Captiva Sport
4,637

4,576

1.3

 
12,854

12,379

3.8

 
Colorado
2

560

(99.6
)
 
17

2,210

(99.2
)
 
Corvette
3,480

1,053

230.5

 
8,179

2,941

178.1

 
Cruze
26,521

23,260

14.0

 
65,185

55,731

17.0

 
Equinox
19,939

20,997

(5.0
)
 
56,073

58,869

(4.7
)
 
Express
5,517

6,065

(9.0
)
 
14,185

15,531

(8.7
)
 
Impala
12,952

14,766

(12.3
)
 
36,858

44,343

(16.9
)
 
Malibu
18,866

18,539

1.8

 
48,136

49,179

(2.1
)
 
Silverado-C/K Pickup
42,247

39,561

6.8

 
107,757

116,649

(7.6
)
 
Sonic
10,060

6,907

45.6

 
24,233

20,109

20.5

 
Spark
5,117

3,538

44.6

 
9,541

8,782

8.6

 
Suburban (Chevy)
2,984

3,378

(11.7
)
 
6,724

9,415

(28.6
)
 
SS
350

—

***.*

 
865

—

***.*

 
Tahoe
7,228

7,837

(7.8
)
 
15,703

16,772

(6.4
)
 
Traverse
9,421

10,944

(13.9
)
 
22,362

26,412

(15.3
)
 
Volt
1,478

1,478

—

 
3,606

4,244

(15.0
)
 
Chevrolet Total*
179,681

173,859

3.3

 
452,683

469,704

(3.6
)
 
Acadia
8,339

10,006

(16.7
)
 
20,582

21,822

(5.7
)
 
Canyon
1

154

(99.4
)
 
2

636

(99.7
)
 
Savana
1,927

955

101.8

 
6,057

2,885

109.9

 
Sierra
16,863

13,817

22.0

 
42,213

40,796

3.5

 
Terrain
9,059

8,454

7.2

 
25,419

26,806

(5.2
)
 
Yukon
3,280

2,655

23.5

 
6,516

6,917

(5.8
)
 
Yukon XL
1,704

2,292

(25.7
)
 
3,679

5,065

(27.4
)
 
GMC Total
41,173

38,333

7.4

 
104,468

104,927

(0.4
)
 
GM Vehicle Total*
256,047

245,950

4.1

 
649,637

664,963

(2.3
)
 
26 selling days for the March period this year and 27 for last year.
 
 
 
 
 
*Totals include discontinued Buick Lucerne, Cadillac DTS, and Chevrolet HHR.