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) February 4, 2015
___________________
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 2.02 RESULTS OF OPERATIONS AND FINANCIAL CONDITION
On February 4, 2015 a news release was issued on the subject of 2014 fourth quarter and full year consolidated earnings for General Motors Company (GM). The news release did not include certain financial statements, related footnotes and certain other financial information that will be filed with the Securities and Exchange Commission as part of GM's Annual Report on Form 10-K. The news release and financial statements are incorporated as Exhibit 99.1.
Charts furnished to securities analysts in connection with GM's 2014 fourth quarter and full year consolidated earnings release are available on GM's website at www.gm.com/company/investors/earning-releases.html.
ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS
EXHIBIT
Exhibit | Description | Method of Filing |
Exhibit 99.1 | News Release Dated February 4, 2015 and Financial Statements | 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: February 4, 2015 | By: | Thomas S. Timko Vice President, Controller and Chief Accounting Officer |
Exhibit 99.1
For Release: Wednesday, Feb. 4, 2015, 7:30 a.m. EST
GM Reports Q4 2014 Net Income of $1.1 Billion
Q4 EBIT-adjusted of $2.4 billion, up from $1.9 billion in 2013
• | Q4 EPS of $0.66 including net loss from special items of $(0.53) per share |
• | Full-year net income of $2.8 billion closes fifth consecutive profitable year |
• | Full-year EBIT-adjusted of $6.5 billion included $2.8 billion in recall-related costs and restructuring costs of $1.0 billion |
• | GM expects to increase its second quarter common stock dividend 20 percent to 36 cents per share |
DETROIT - General Motors Co. (NYSE: GM) today announced fourth quarter net income attributable to common stockholders of $1.1 billion, or $0.66 per diluted share, which included a net loss from special items of $0.9 billion or $(0.53) per diluted share. Included in special items during the quarter was an $(0.8) billion reduction to net income attributable to common stockholders related to the redemption of all outstanding Series A preferred shares.
In the fourth quarter of 2013, GM’s net income attributable to common stockholders was $0.9 billion, or $0.57 per diluted share, including a net loss from special items of $0.2 billion or $(0.10) per diluted share. Revenue in the fourth quarter of 2014 was $39.6 billion, compared with $40.5 billion in the fourth quarter of 2013.
Earnings before interest and tax (EBIT) adjusted was $2.4 billion in the fourth quarter of 2014, compared with $1.9 billion in the fourth quarter of 2013.
“A strong fourth quarter helped us deliver very good core operating results in 2014 despite significant challenges we and the industry faced,” said GM CEO Mary Barra. “By keeping our customers at the center of all our decisions, we addressed those challenges head-on and outlined a customer-focused strategic plan that will guide our company well into the future.”
Full-Year Results
GM reported 2014 full-year net income attributable to common stockholders of $2.8 billion, or $1.65 per diluted share, down from $3.8 billion, or $2.38 per diluted share in 2013. Core automotive operating performance improved in 2014, but results were more than offset by incremental recall and restructuring costs, and a net loss from special items.
Special items during the calendar year impacted full-year net income to common stockholders unfavorably by $(2.4) billion, or $(1.40) per diluted share, compared to an unfavorable $(1.3) billion impact in 2013, or $(0.80) per diluted share.
In 2014, full-year net income was also impacted unfavorably by recall-related pre-tax costs of $2.8 billion, or $(1.07) per diluted share. Income tax expense in 2014 was favorably impacted by recall-related costs and special items.
Revenue increased to $155.9 billion, compared with $155.4 billion in 2013.
Full-year EBIT-adjusted was $6.5 billion, compared with $8.6 billion in 2013. Full-year EBIT-adjusted for 2014 includes the impact of $2.8 billion for recall-related costs and restructuring charges of $1.0 billion.
Based on GM’s continued strong results, and consistent with its stated strategy of a strong and growing dividend, the company intends to increase the second quarter dividend on its common stock by 20 percent to 36 cents per share. The decision on the expected dividend increase will be made by the GM Board of Directors as part of the regularly scheduled second quarter dividend declaration procedure.
“Our intention to increase the dividend is consistent with our balanced capital allocation strategy and reflects the confidence we have in the growing strength of our business,” said Barra. “Our goal is to maximize long-term shareholder value through both stock price appreciation and return of capital.”
Overview (in billions except for per share amounts)
Q4 2013 | Q4 2014 | Full-year 2013 | Full-year 2014 | |||
Revenue | $40.5 | $39.6 | $155.4 | $155.9 | ||
Net income attributable to common stockholders | $0.9 | $1.1 | $3.8 | $2.8 | ||
Earnings per share (EPS) diluted | $0.57 | $0.66 | $2.38 | $1.65 | ||
Impact of special items on EPS diluted | $(0.10) | $(0.53) | $(0.80) | $(1.40) | ||
EBIT-adjusted | $1.9 | $2.4 | $8.6 | $6.5 | ||
Automotive net cash flow from operating activities | $2.8 | $3.8 | $11.0 | $10.1 | ||
Adjusted automotive free cash flow | $1.1 | $1.8 | $3.7 | $3.1 | ||
Segment Results
• | GM North America (GMNA) reported EBIT-adjusted of $2.2 billion in the fourth quarter of 2014, compared with $1.9 billion in 2013. Full-year EBIT-adjusted was $6.6 billion, which included the impact of $2.4 billion in recall-related costs in 2014. This compares to EBIT-adjusted of $7.5 billion in 2013. Based on GMNA’s 2014 financial performance, the company will award variable pay of up to $9,000 to approximately 48,400 eligible GM U.S. hourly employees. |
• | GM Europe (GME) reported EBIT-adjusted of $(0.4) billion in the fourth quarter of 2014, which includes $0.1 billion for restructuring costs. This compares with $(0.4) billion in 2013, which also included $0.1 billion in restructuring costs. Full-year EBIT-adjusted was $(1.4) billion in 2014, which includes $0.7 billion in restructuring costs. This compares with EBIT-adjusted of $(0.9) billion in 2013, which included $0.2 billion in restructuring costs. |
• | GM International Operations (GMIO) reported EBIT-adjusted of $0.4 billion in the fourth quarter of 2014, compared with $0.2 billion in 2013. Full-year EBIT-adjusted was $1.2 billion in 2014, compared with $1.3 billion in 2013. Included in the consolidated results for GMIO, GM China equity income during the fourth quarter of 2014 was $0.5 billion, compared to $0.4 billion in 2013. Full-year equity income for GM China was $2.1 billion, compared to $1.8 billion in 2013. |
• | GM South America (GMSA) reported EBIT-adjusted of $0.1 billion in the fourth quarter of 2014, compared with breakeven in 2013. Full-year EBIT-adjusted was $(0.2) billion in 2014, compared with EBIT-adjusted of $0.3 billion in 2013. |
• | GM Financial reported earnings before taxes (EBT) adjusted of $0.1 billion in the fourth quarter of 2014, compared with $0.2 billion in 2013. Full-year EBT adjusted was $0.8 billion, compared to $0.9 billion in 2013. |
“Our underlying business operations showed significant improvement this year,” said Chuck Stevens, GM executive vice president and chief financial officer. “In 2015, we’ll continue to focus on driving further improvements to keep us on a glide path to achieve our near-term and long-term objectives.”
Cash Flow and Liquidity
For the fourth quarter of 2014, automotive cash flow from operating activities was $3.8 billion, compared to $2.8 billion in 2013. In the fourth quarter of 2014, adjusted automotive free cash flow was $2.4 billion excluding the effect of $0.6 billion in recall-related cash payments. Adjusted automotive free cash flow was $1.1 billion in the fourth quarter of 2013.
For the full year, adjusted automotive free cash flow was $4.8 billion excluding the effect of $1.6 billion in recall-related cash payments. Adjusted automotive free cash flow was $3.7 billion in 2013.
GM ended 2014 with strong total automotive liquidity of $37.2 billion, compared with $38.3 billion at year-end in 2013. Automotive cash and marketable securities was $25.2 billion at the end of 2014, compared with $27.9 billion a year earlier.
Pension Update
GM’s year-end global pension obligations of $104.6 billion were approximately 77 percent funded at the end of 2014. The year-end underfunded position was $24.1 billion, up from $19.9 billion at the end of 2013.
GM’s U.S. defined benefit pension plan obligations of $76.7 billion ended the year approximately 86 percent funded. The year-end underfunded position was $10.9 billion, up from $7.3 billion the year prior. For 2014, the return on U.S. defined benefit pension plan assets was approximately 12 percent.
Under current economic conditions, GM expects no significant, mandatory contributions to U.S. defined benefit pension plans for at least five years. While the company will continue to evaluate opportunities to make voluntary cash contributions, it has no current plans to do so in 2015.
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’s brands include Chevrolet and Cadillac, as well as Baojun, Buick, GMC, Holden, Daewoo, Jiefang, Opel, Vauxhall and Wuling. 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.
# # #
CONTACTS:
Tom Henderson 313-410-2704 GM Finance Communications tom.e.henderson@gm.com | Randy Arickx 313-268-7070 GM Investor Relations randy.c.arickx@gm.com |
Forward-Looking Statements
In this press release and in related comments by our management, our use of the words ”plans,” “expect,” “anticipate,” “possible,” “potential,” “target,” “believe,” “commit,” “intend,” “continue,” “may,” “would,” “could,” “should,” “project,” “appears,” “potential,” “projected,” “upside,” “positioned,” “outlook” 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 may 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 and the cost and effect on our reputation of product recalls; our ability to maintain adequate financing sources, 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; overall strength and stability of our markets, particularly outside of North America and China; costs and risks associated with litigation and government investigations including those related to our recent recalls; and our ability to continue to attract new customers, particularly for our new products. GM's most recent annual report on Form 10-K provides information about these and other factors, which we may revise or supplement in future reports to the SEC.
Exhibit 1
General Motors Company and Subsidiaries
Supplemental Material
(Unaudited)
The accompanying tables and charts include earnings before interest and taxes adjusted for special items, presented net of noncontrolling interests (EBIT-adjusted) and Automotive adjusted free cash flow. These metrics are not prepared in accordance with Accounting Principles Generally Accepted in the United States of America (U.S. GAAP) and have not been audited or reviewed by GM's independent auditors. EBIT-adjusted and Adjusted automotive free cash flow are considered non-GAAP financial measures.
Management believes these non-GAAP financial measures provide meaningful supplemental information regarding GM's operating results because they exclude amounts that management does not consider part of operating results when assessing and measuring the operational and financial performance of the organization. Management believes these measures allow it to readily view operating trends, perform analytical comparisons and benchmark performance between periods and among geographic regions. Accordingly, GM believes these non-GAAP financial measures are useful in allowing for additional transparency of GM's core operations and they are therefore used by management in its financial and operational decision-making.
While management believes that these non-GAAP financial measures provide useful information, they are not operating measures under U.S. GAAP, and there are limitations associated with their use. GM's calculation of these non-GAAP financial measures may not be completely comparable to similarly titled measures of other companies due to potential differences between companies in their method of calculation. As a result the use of these non-GAAP financial measures has limitations and should not be considered in isolation from, or as a substitute for, related U.S. GAAP measures.
The following table summarizes the reconciliation of EBIT-adjusted to its most comparable U.S. GAAP measure, Income before income taxes (dollars in millions):
Three Months Ended | Years Ended | ||||||||||||||
December 31, 2014 | December 31, 2013 | December 31, 2014 | December 31, 2013 | ||||||||||||
Operating segments | |||||||||||||||
GM North America (GMNA) | $ | 2,209 | $ | 1,884 | $ | 6,603 | $ | 7,461 | |||||||
GM Europe (GME)(a) | (393 | ) | (365 | ) | (1,369 | ) | (869 | ) | |||||||
GM International Operations (GMIO)(a) | 396 | 228 | 1,222 | 1,255 | |||||||||||
GM South America (GMSA) | 89 | 27 | (180 | ) | 327 | ||||||||||
General Motors Financial Company, Inc. (GM Financial)(b) | 119 | 225 | 803 | 898 | |||||||||||
Total operating segments(c) | 2,420 | 1,999 | 7,079 | 9,072 | |||||||||||
Corporate and eliminations | (6 | ) | (100 | ) | (585 | ) | (494 | ) | |||||||
EBIT-adjusted(c) | 2,414 | 1,899 | 6,494 | 8,578 | |||||||||||
Special items | (300 | ) | (691 | ) | (2,327 | ) | (805 | ) | |||||||
Automotive interest income | 56 | 57 | 211 | 246 | |||||||||||
Automotive interest expense | (104 | ) | (117 | ) | (403 | ) | (334 | ) | |||||||
Gain (loss) on extinguishment of debt | 200 | 26 | 202 | (212 | ) | ||||||||||
Net income (loss) attributable to noncontrolling interests | 22 | 13 | 69 | (15 | ) | ||||||||||
Income before income taxes | $ | 2,288 | $ | 1,187 | $ | 4,246 | $ | 7,458 | |||||||
__________
(a) | In the three months ended March 31, 2014 GM changed its managerial and financial reporting structure to reclassify the results of its Russian subsidiaries previously reported in its GMIO segment to its GME segment. Prior year segment results have been reclassified so all information is shown on a comparable basis. Consolidated results are unaffected by this change. |
(b) | GM Financial amounts represent income before income taxes-adjusted. |
(c) | GM's automotive operations' interest income and interest expense are recorded centrally in Corporate. |
1
General Motors Company and Subsidiaries
Supplemental Material
(Unaudited)
The following tables summarize the impact of special items to EBIT-adjusted (in millions):
Year Ended December 31, 2014 | |||||||||||||||||||||||||||
GMNA | GME | GMIO | GMSA | Corporate | GM Financial | Total | |||||||||||||||||||||
Catch-up adjustment related to change in estimate for recall campaigns | $ | (874 | ) | $ | — | $ | — | $ | — | $ | — | $ | — | $ | (874 | ) | |||||||||||
Venezuela currency devaluation charges | — | — | — | (419 | ) | — | — | (419 | ) | ||||||||||||||||||
Asset impairment charges | — | (245 | ) | (158 | ) | — | — | — | (403 | ) | |||||||||||||||||
Ignition Switch Compensation Program | — | — | — | — | (400 | ) | — | (400 | ) | ||||||||||||||||||
Goodwill impairment charges | — | — | — | (120 | ) | — | — | (120 | ) | ||||||||||||||||||
Charges related to flood damage, net of insurance recoveries | (101 | ) | — | — | — | — | — | (101 | ) | ||||||||||||||||||
Costs related to the withdrawal of the Chevrolet brand in Europe | — | — | (22 | ) | — | — | 12 | (10 | ) | ||||||||||||||||||
Total impact of special items | $ | (975 | ) | $ | (245 | ) | $ | (180 | ) | $ | (539 | ) | $ | (400 | ) | $ | 12 | $ | (2,327 | ) | |||||||
Year Ended December 31, 2013 | |||||||||||||||||||||||||||
GMNA | GME | GMIO | GMSA | Corporate | GM Financial | Total | |||||||||||||||||||||
Asset impairment charges | $ | — | $ | — | $ | (774 | ) | $ | — | $ | — | $ | — | $ | (774 | ) | |||||||||||
Costs related to the withdrawal of the Chevrolet brand in Europe | — | — | (621 | ) | — | — | (15 | ) | (636 | ) | |||||||||||||||||
Reversal of GM Korea wage litigation accrual | — | — | 577 | — | — | — | 577 | ||||||||||||||||||||
Gain on sale of equity investment in Ally Financial | — | — | — | — | 483 | — | 483 | ||||||||||||||||||||
Goodwill impairment charges | — | — | (442 | ) | — | — | — | (442 | ) | ||||||||||||||||||
Venezuela currency devaluation charges | — | — | — | (162 | ) | — | — | (162 | ) | ||||||||||||||||||
Gain on sale of equity investment in PSA | — | 152 | — | — | — | — | 152 | ||||||||||||||||||||
Noncontrolling interests related to redemption of the GM Korea mandatorily redeemable preferred shares | — | — | 67 | — | — | — | 67 | ||||||||||||||||||||
Pension settlement charges | (56 | ) | — | — | — | — | — | (56 | ) | ||||||||||||||||||
Charges related to PSA product development agreement | (49 | ) | — | — | — | — | (49 | ) | |||||||||||||||||||
Income related to insurance recoveries | 5 | 1 | 24 | 5 | — | — | 35 | ||||||||||||||||||||
Total impact of special items | $ | (100 | ) | $ | 153 | $ | (1,169 | ) | $ | (157 | ) | $ | 483 | $ | (15 | ) | $ | (805 | ) | ||||||||
2
General Motors Company and Subsidiaries
Supplemental Material
(Unaudited)
The following table summarizes the reconciliation of Automotive adjusted free cash flow to Automotive net cash provided by operating activities (dollars in millions):
Three Months Ended | Years Ended | ||||||||||||||
December 31, 2014 | December 31, 2013 | December 31, 2014 | December 31, 2013 | ||||||||||||
Automotive adjusted free cash flow | $ | 1,799 | $ | 1,127 | $ | 3,146 | $ | 3,697 | |||||||
Less: Adjustments | — | 154 | 53 | 225 | |||||||||||
Capital expenditures | 1,987 | 1,779 | 7,039 | 7,549 | |||||||||||
Automotive net cash provided by operating activities | $ | 3,786 | $ | 2,752 | $ | 10,132 | $ | 11,021 | |||||||
Adjustments included: (1) pension contributions of $53 million and $71 million related to the previously announced annuitization of the U.S. salaried pension plan in August 2014 and March 2013; and (2) accrued interest on the prepayment of the Canadian Health Care Trust notes of $154 million in October 2013.
3
General Motors Company and Subsidiaries
Supplemental Material
(Unaudited)
The following tables summarize key financial information by segment (dollars in millions):
GMNA | GME | GMIO | GMSA | Corporate | Eliminations | Total Automotive | GM Financial | Eliminations | Total | ||||||||||||||||||||||||||||||
Three Months Ended December 31, 2014 | |||||||||||||||||||||||||||||||||||||||
Total net sales and revenue | $ | 25,308 | $ | 5,415 | $ | 3,844 | $ | 3,711 | $ | 38 | $ | 38,316 | $ | 1,305 | $ | (4 | ) | $ | 39,617 | ||||||||||||||||||||
Expenditures for property | $ | 1,418 | $ | 300 | $ | 98 | $ | 143 | $ | 20 | $ | 8 | $ | 1,987 | $ | 15 | $ | — | $ | 2,002 | |||||||||||||||||||
Depreciation, amortization and impairment of long-lived assets and finite-lived intangible assets | $ | 1,040 | $ | 121 | $ | 258 | $ | 89 | $ | 20 | $ | (1 | ) | $ | 1,527 | $ | 295 | $ | — | $ | 1,822 | ||||||||||||||||||
Equity income (loss) | $ | 5 | $ | (52 | ) | $ | 516 | $ | — | $ | — | $ | — | $ | 469 | $ | — | $ | — | $ | 469 | ||||||||||||||||||
GMNA | GME | GMIO | GMSA | Corporate | Eliminations | Total Automotive | GM Financial | Eliminations | Total | ||||||||||||||||||||||||||||||
Three Months Ended December 31, 2013 | |||||||||||||||||||||||||||||||||||||||
Total net sales and revenue | $ | 25,117 | $ | 5,708 | $ | 4,429 | $ | 4,098 | $ | 36 | $ | 39,388 | $ | 1,101 | $ | (4 | ) | $ | 40,485 | ||||||||||||||||||||
Expenditures for property | $ | 1,269 | $ | 256 | $ | 147 | $ | 91 | $ | 16 | $ | — | $ | 1,779 | $ | 6 | $ | — | $ | 1,785 | |||||||||||||||||||
Depreciation, amortization and impairment of long-lived assets and finite-lived intangible assets | $ | 1,278 | $ | 91 | $ | 1,226 | $ | 153 | $ | 16 | $ | — | $ | 2,764 | $ | 158 | $ | — | $ | 2,922 | |||||||||||||||||||
Equity income | $ | 5 | $ | 6 | $ | 378 | $ | 1 | $ | — | $ | — | $ | 390 | $ | — | $ | — | $ | 390 | |||||||||||||||||||
GMNA | GME | GMIO | GMSA | Corporate | Eliminations | Total Automotive | GM Financial | Eliminations | Total | ||||||||||||||||||||||||||||||
Year Ended December 31, 2014 | |||||||||||||||||||||||||||||||||||||||
Total net sales and revenue | $ | 101,199 | $ | 22,235 | $ | 14,392 | $ | 13,115 | $ | 151 | $ | 151,092 | $ | 4,854 | $ | (17 | ) | $ | 155,929 | ||||||||||||||||||||
Expenditures for property | $ | 4,985 | $ | 887 | $ | 681 | $ | 359 | $ | 127 | $ | — | $ | 7,039 | $ | 52 | $ | — | $ | 7,091 | |||||||||||||||||||
Depreciation, amortization and impairment of long-lived assets and finite-lived intangible assets | $ | 4,376 | $ | 627 | $ | 740 | $ | 386 | $ | 75 | $ | (4 | ) | $ | 6,200 | $ | 918 | $ | — | $ | 7,118 | ||||||||||||||||||
Equity income (loss) | $ | 19 | $ | (45 | ) | $ | 2,120 | $ | — | $ | — | $ | — | $ | 2,094 | $ | — | $ | — | $ | 2,094 | ||||||||||||||||||
GMNA | GME | GMIO | GMSA | Corporate | Eliminations | Total Automotive | GM Financial | Eliminations | Total | ||||||||||||||||||||||||||||||
Year Ended December 31, 2013 | |||||||||||||||||||||||||||||||||||||||
Total net sales and revenue | $ | 95,099 | $ | 21,962 | $ | 18,411 | $ | 16,478 | $ | 150 | $ | 152,100 | $ | 3,344 | $ | (17 | ) | $ | 155,427 | ||||||||||||||||||||
Expenditures for property | $ | 5,466 | $ | 818 | $ | 724 | $ | 444 | $ | 92 | $ | 5 | $ | 7,549 | $ | 16 | $ | — | $ | 7,565 | |||||||||||||||||||
Depreciation, amortization and impairment of long-lived assets and finite-lived intangible assets | $ | 4,216 | $ | 426 | $ | 1,786 | $ | 522 | $ | 63 | $ | (1 | ) | $ | 7,012 | $ | 498 | $ | (10 | ) | $ | 7,500 | |||||||||||||||||
Equity income | $ | 15 | $ | 34 | $ | 1,760 | $ | 1 | $ | — | $ | — | $ | 1,810 | $ | — | $ | — | $ | 1,810 | |||||||||||||||||||
_________
(a) | In the three months ended March 31, 2014 GM changed its managerial and financial reporting structure to reclassify the results of its Russian subsidiaries previously reported in its GMIO segment to its GME segment. Prior year segment results have been reclassified so all information is shown on a comparable basis. Consolidated results are unaffected by this change. |
4
General Motors Company and Subsidiaries
Supplemental Material
(Unaudited)
Years Ended | ||||||||
December 31, 2014 | December 31, 2013 | December 31, 2012 | ||||||
Worldwide Employment (in thousands) | ||||||||
GMNA(a) | 110 | 109 | 101 | |||||
GME | 37 | 37 | 40 | |||||
GMIO | 33 | 36 | 36 | |||||
GMSA | 29 | 31 | 32 | |||||
GM Financial(b) | 7 | 6 | 4 | |||||
Total Worldwide | 216 | 219 | 213 | |||||
U.S. - Salaried | 40 | 36 | 30 | |||||
U.S. - Hourly | 51 | 51 | 50 | |||||
_________
(a) | Increase in GMNA employees in the year ended December 31, 2013 includes an increase of approximately 4,000 employees due to insourcing of certain information technology support functions that were previously provided by outside parties and an increase of approximately 3,000 employees due to increase in launches and ramp up in manufacturing volume. |
(b) | Increase in GM Financial employees in the year ended December 31, 2013 is due to the acquisition of certain Ally Financial international operations. |
Vehicle Sales
GM presents both wholesale and retail vehicle sales data to assist in the analysis of its revenue and market share. GM does not currently export vehicles to Cuba, Iran, North Korea, Sudan or Syria. Accordingly, these countries are excluded from industry sales data in the tables below and corresponding calculations of its market share.
Wholesale Vehicle Sales
Wholesale vehicle sales data, which represents sales directly to dealers and others, is the measure that correlates vehicle sales to revenue from the sale of vehicles, which is the largest component of automotive Net sales and revenue. Wholesale vehicle sales exclude vehicles produced by unconsolidated joint ventures. In the year ended December 31, 2014, 52.9% of GMs wholesale vehicle sales volume was generated outside the U.S. The following table summarizes total wholesale vehicle sales of new vehicles by automotive segment (vehicles in thousands):
Three Months Ended | Years Ended | ||||||||||
December 31, 2014 | December 31, 2013 | December 31, 2014 | December 31, 2013 | ||||||||
GMNA | 849 | 863 | 3,320 | 3,276 | |||||||
GME(a) | 303 | 297 | 1,172 | 1,163 | |||||||
GMIO(a) | 177 | 231 | 655 | 921 | |||||||
GMSA | 249 | 260 | 886 | 1,053 | |||||||
Worldwide | 1,578 | 1,651 | 6,033 | 6,413 | |||||||
_________
(a) | In the three months ended March 31, 2014 GM changed its managerial and financial reporting structure to reclassify the results of its Russian subsidiaries previously reported in its GMIO segment to its GME segment. Prior year segment results have been reclassified so all information is shown on a comparable basis. Consolidated results are unaffected by this change. |
5
General Motors Company and Subsidiaries
Supplemental Material
(Unaudited)
Retail Vehicle Sales and Market Share
Retail vehicle sales data, which represents estimated sales to the end customer, including fleets, does not correlate directly to the revenue GM recognizes during the period. However, retail vehicle sales data is indicative of the underlying demand for GM vehicles, is the basis for its market share, and is based upon the good faith estimates of management. Retail vehicle sales data includes all sales by joint ventures on a total vehicle basis, not based on the percentage of ownership in the joint venture. Certain joint venture agreements in China allow for the contractual right to report vehicle sales of non-GM trademarked vehicles by those joint ventures. Market share information is based primarily on retail vehicle sales volume, but estimates may be used where retail vehicle sales volume is not available.
In countries where end customer data is not readily available other data sources, such as wholesale or forecast volumes, are used to estimate retail vehicle sales. Certain fleet sales that are accounted for as operating leases are included in retail vehicle sales at the time of delivery to the daily rental car companies. Market share information is based on retail vehicles sales volume. The following table summarizes total industry retail sales volume, or estimated sales volume where retail sales volume is not available, of new vehicles and the related competitive position by geographic region (vehicles in thousands):
Three Months Ended | Years Ended | ||||||||||
December 31, 2014 | December 31, 2013 | December 31, 2014 | December 31, 2013 | ||||||||
Retail Vehicle Sales | |||||||||||
United States | |||||||||||
Chevrolet - Cars | 193 | 189 | 881 | 851 | |||||||
Chevrolet - Trucks | 215 | 180 | 770 | 714 | |||||||
Chevrolet - Crossovers | 83 | 85 | 383 | 382 | |||||||
Cadillac | 43 | 49 | 171 | 183 | |||||||
Buick | 58 | 48 | 229 | 206 | |||||||
GMC | 135 | 118 | 501 | 450 | |||||||
Total United States | 727 | 669 | 2,935 | 2,786 | |||||||
Canada, Mexico and Other | 127 | 115 | 478 | 448 | |||||||
Total North America | 854 | 784 | 3,413 | 3,234 | |||||||
Europe | |||||||||||
Opel/Vauxhall | 259 | 251 | 1,076 | 1,041 | |||||||
Chevrolet | 38 | 84 | 178 | 350 | |||||||
Other | 1 | 1 | 2 | 2 | |||||||
Total Europe | 298 | 336 | 1,256 | 1,393 | |||||||
Asia/Pacific, Middle East and Africa | |||||||||||
Chevrolet | 368 | 353 | 1,344 | 1,321 | |||||||
Wuling | 372 | 397 | 1,609 | 1,484 | |||||||
Buick | 249 | 204 | 920 | 810 | |||||||
Holden | 27 | 33 | 120 | 124 | |||||||
GMC | 6 | 9 | 29 | 34 | |||||||
Cadillac | 23 | 19 | 79 | 55 | |||||||
Other | 120 | 70 | 277 | 230 | |||||||
Total Asia/Pacific, Middle East and Africa | 1,165 | 1,085 | 4,378 | 4,058 | |||||||
South America | |||||||||||
Chevrolet | 234 | 266 | 871 | 1,031 | |||||||
Other | 2 | 1 | 7 | 6 | |||||||
Total South America | 236 | 267 | 878 | 1,037 | |||||||
Total Worldwide | 2,553 | 2,472 | 9,925 | 9,722 | |||||||
6
General Motors Company and Subsidiaries
Supplemental Material
(Unaudited)
The vehicle sales at our China joint ventures (China JVs) presented in the following table are included in our retail vehicle sales (vehicles in thousands):
Three Months Ended | Years Ended | ||||||||||
December 31, 2014 | December 31, 2013 | December 31, 2014 | December 31, 2013 | ||||||||
Joint venture sales in China | |||||||||||
SAIC General Motors Sales Co., Ltd. | 481 | 401 | 1,710 | 1,515 | |||||||
SAIC-GM-Wuling Automobile Co., Ltd. and FAW-GM Light Duty Commercial Vehicle Co., Ltd. | 478 | 446 | 1,830 | 1,644 | |||||||
Three Months Ended | Years Ended | ||||||
December 31, 2014 | December 31, 2013 | December 31, 2014 | December 31, 2013 | ||||
Market Share | |||||||
United States - Cars | 13.4% | 13.7% | 14.1% | 14.1% | |||
United States - Trucks | 24.9% | 23.1% | 23.4% | 23.5% | |||
United States - Crossovers | 15.5% | 16.8% | 16.7% | 17.6% | |||
Total United States | 17.4% | 17.2% | 17.4% | 17.5% | |||
Total North America | 16.9% | 16.7% | 16.9% | 16.9% | |||
Total Europe | 6.3% | 7.2% | 6.7% | 7.6% | |||
Total Asia/Pacific, Middle East and Africa | 10.5% | 10.0% | 10.2% | 9.8% | |||
Total South America | 16.8% | 17.8% | 16.6% | 17.5% | |||
Total Worldwide | 11.4% | 11.4% | 11.4% | 11.5% | |||
U.S. Retail/Fleet Mix | |||||||
% Fleet Sales - Cars | 29.2% | 21.9% | 29.5% | 26.4% | |||
% Fleet Sales - Trucks | 19.1% | 24.4% | 21.8% | 24.2% | |||
% Fleet Sales - Crossovers | 13.0% | 15.6% | 19.1% | 18.6% | |||
Total Vehicles | 21.1% | 21.3% | 24.0% | 23.6% | |||
North America Capacity Utilization | 98.9% | 101.9% | 103.9% | 99.8% | |||
7
General Motors Company and Subsidiaries
Consolidating Income Statements
(In millions)
(Unaudited)
Year Ended December 31, 2014 | Year Ended December 31, 2013 | Year Ended December 31, 2012 | |||||||||||||||||||||||||||||||||||||||||||||
Automotive | GM Financial | Eliminations | Consolidated | Automotive | GM Financial | Eliminations | Consolidated | Automotive | GM Financial | Eliminations | Consolidated | ||||||||||||||||||||||||||||||||||||
Net sales and revenue | |||||||||||||||||||||||||||||||||||||||||||||||
Automotive | $ | 151,092 | $ | — | $ | — | $ | 151,092 | $ | 152,100 | $ | — | $ | (8 | ) | $ | 152,092 | $ | 150,293 | $ | — | $ | 2 | $ | 150,295 | ||||||||||||||||||||||
GM Financial | — | 4,854 | (17 | ) | 4,837 | — | 3,344 | (9 | ) | 3,335 | — | 1,961 | — | 1,961 | |||||||||||||||||||||||||||||||||
Total | 151,092 | 4,854 | (17 | ) | 155,929 | 152,100 | 3,344 | (17 | ) | 155,427 | 150,293 | 1,961 | 2 | 152,256 | |||||||||||||||||||||||||||||||||
Costs and expenses | |||||||||||||||||||||||||||||||||||||||||||||||
Automotive cost of sales | 138,094 | — | (12 | ) | 138,082 | 134,929 | — | (4 | ) | 134,925 | 140,223 | — | 13 | 140,236 | |||||||||||||||||||||||||||||||||
GM Financial operating and other expenses | — | 4,039 | — | 4,039 | — | 2,461 | (13 | ) | 2,448 | — | 1,217 | (10 | ) | 1,207 | |||||||||||||||||||||||||||||||||
Automotive selling, general and administrative expense | 12,158 | — | — | 12,158 | 12,382 | — | — | 12,382 | 14,031 | — | — | 14,031 | |||||||||||||||||||||||||||||||||||
Goodwill impairment charges | 120 | — | — | 120 | 541 | — | — | 541 | 27,145 | — | — | 27,145 | |||||||||||||||||||||||||||||||||||
Total costs and expenses | 150,372 | 4,039 | (12 | ) | 154,399 | 147,852 | 2,461 | (17 | ) | 150,296 | 181,399 | 1,217 | 3 | 182,619 | |||||||||||||||||||||||||||||||||
Operating income (loss) | 720 | 815 | (5 | ) | 1,530 | 4,248 | 883 | — | 5,131 | (31,106 | ) | 744 | (1 | ) | (30,363 | ) | |||||||||||||||||||||||||||||||
Automotive interest expense | 409 | — | (6 | ) | 403 | 338 | — | (4 | ) | 334 | 489 | — | — | 489 | |||||||||||||||||||||||||||||||||
Interest income and other non-operating income, net | 824 | — | (1 | ) | 823 | 1,066 | — | (3 | ) | 1,063 | 845 | — | — | 845 | |||||||||||||||||||||||||||||||||
Gain (loss) on extinguishment of debt | 202 | — | — | 202 | (212 | ) | — | — | (212 | ) | (250 | ) | — | — | (250 | ) | |||||||||||||||||||||||||||||||
Equity income | 2,094 | — | — | 2,094 | 1,810 | — | — | 1,810 | 1,562 | — | — | 1,562 | |||||||||||||||||||||||||||||||||||
Income (loss) before income taxes | 3,431 | 815 | — | 4,246 | 6,574 | 883 | 1 | 7,458 | (29,438 | ) | 744 | (1 | ) | (28,695 | ) | ||||||||||||||||||||||||||||||||
Income tax expense (benefit) | (92 | ) | 320 | — | 228 | 1,826 | 300 | 1 | 2,127 | (35,007 | ) | 177 | (1 | ) | (34,831 | ) | |||||||||||||||||||||||||||||||
Net income | 3,523 | 495 | — | 4,018 | 4,748 | 583 | — | 5,331 | 5,569 | 567 | — | 6,136 | |||||||||||||||||||||||||||||||||||
Net (income) loss attributable to noncontrolling interests | (69 | ) | — | — | (69 | ) | 15 | — | — | 15 | 52 | — | — | 52 | |||||||||||||||||||||||||||||||||
Net income attributable to stockholders | $ | 3,454 | $ | 495 | $ | — | $ | 3,949 | $ | 4,763 | $ | 583 | $ | — | $ | 5,346 | $ | 5,621 | $ | 567 | $ | — | $ | 6,188 | |||||||||||||||||||||||
8
General Motors Company and Subsidiaries
Basic and Diluted Earnings per Share
(Unaudited)
The following table summarizes basic and diluted earnings per share (in millions, except per share amounts):
Three Months Ended | Years Ended | ||||||||||||||
December 31, 2014 | December 31, 2013 | December 31, 2014 | December 31, 2013 | ||||||||||||
Basic earnings per share | |||||||||||||||
Net income attributable to stockholders | $ | 1,987 | $ | 1,040 | $ | 3,949 | $ | 5,346 | |||||||
Less: cumulative dividends on preferred stock and charge related to redemption and purchase of preferred stock(a) | (882 | ) | (127 | ) | (1,145 | ) | (1,576 | ) | |||||||
Net income attributable to common stockholders | $ | 1,105 | $ | 913 | $ | 2,804 | $ | 3,770 | |||||||
Weighted-average common shares outstanding - basic | 1,612 | 1,436 | 1,605 | 1,393 | |||||||||||
Basic earnings per common share | $ | 0.69 | $ | 0.64 | $ | 1.75 | $ | 2.71 | |||||||
Diluted earnings per share | |||||||||||||||
Net income attributable to stockholders | $ | 1,987 | $ | 1,040 | $ | 3,949 | $ | 5,346 | |||||||
Add: preferred dividends to holders of Series B Preferred Stock | 40 | 218 | |||||||||||||
Less: cumulative dividends on preferred stock and charge related to redemption and purchase of preferred stock(a) | (882 | ) | (127 | ) | (1,145 | ) | (1,576 | ) | |||||||
Less: earnings adjustment for dilutive stock compensation | (18 | ) | |||||||||||||
Net income attributable to common stockholders | $ | 1,105 | $ | 953 | $ | 2,786 | $ | 3,988 | |||||||
Weighted-average common shares outstanding - diluted | |||||||||||||||
Weighted-average common shares outstanding - basic | 1,612 | 1,436 | 1,605 | 1,393 | |||||||||||
Dilutive effect of warrants and restricted stock units | 68 | 157 | 82 | 149 | |||||||||||
Dilutive effect of conversion of Series B Preferred Stock | 92 | 134 | |||||||||||||
Weighted-average common shares outstanding - diluted | 1,680 | 1,685 | 1,687 | 1,676 | |||||||||||
Diluted earnings per common share | $ | 0.66 | $ | 0.57 | $ | 1.65 | $ | 2.38 | |||||||
__________
(a) | Includes earned but undeclared dividends of $15 million on GM's Series A Preferred Stock in the year ended December 31, 2013. |
9
General Motors Company and Subsidiaries
Consolidating Balance Sheets
(In millions, except per share amounts)
(Unaudited)
December 31, 2014 | December 31, 2013 | ||||||||||||||||||||||||||||||
Automotive | GM Financial | Eliminations | Consolidated | Automotive | GM Financial | Eliminations | Consolidated | ||||||||||||||||||||||||
ASSETS | |||||||||||||||||||||||||||||||
Current Assets | |||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 15,980 | $ | 2,974 | $ | — | $ | 18,954 | $ | 18,947 | $ | 1,074 | $ | — | $ | 20,021 | |||||||||||||||
Marketable securities | 9,222 | — | — | 9,222 | 8,972 | — | — | 8,972 | |||||||||||||||||||||||
Restricted cash and marketable securities | 136 | 1,202 | — | 1,338 | 31 | 1,216 | — | 1,247 | |||||||||||||||||||||||
Accounts and notes receivable, net | 9,396 | 788 | (1,106 | ) | 9,078 | 8,806 | 846 | (1,117 | ) | 8,535 | |||||||||||||||||||||
GM Financial receivables, net | — | 16,705 | (177 | ) | 16,528 | — | 14,340 | (62 | ) | 14,278 | |||||||||||||||||||||
Inventories | 13,642 | — | — | 13,642 | 14,039 | — | — | 14,039 | |||||||||||||||||||||||
Equipment on operating leases, net | 3,564 | — | — | 3,564 | 2,398 | — | — | 2,398 | |||||||||||||||||||||||
Deferred income taxes | 9,440 | 320 | — | 9,760 | 10,195 | 154 | — | 10,349 | |||||||||||||||||||||||
Other current assets | 1,410 | 174 | — | 1,584 | 1,531 | 130 | 1 | 1,662 | |||||||||||||||||||||||
Total current assets | 62,790 | 22,163 | (1,283 | ) | 83,670 | 64,919 | 17,760 | (1,178 | ) | 81,501 | |||||||||||||||||||||
Non-current Assets | |||||||||||||||||||||||||||||||
Restricted cash and marketable securities | 67 | 868 | — | 935 | 88 | 741 | — | 829 | |||||||||||||||||||||||
GM Financial receivables, net | — | 16,006 | — | 16,006 | — | 14,354 | — | 14,354 | |||||||||||||||||||||||
Equity in net assets of nonconsolidated affiliates | 8,350 | — | — | 8,350 | 8,094 | — | — | 8,094 | |||||||||||||||||||||||
Property, net | 27,570 | 173 | — | 27,743 | 25,736 | 132 | (1 | ) | 25,867 | ||||||||||||||||||||||
Goodwill | — | 1,427 | — | 1,427 | 137 | 1,422 | 1 | 1,560 | |||||||||||||||||||||||
Intangible assets, net | 4,945 | 38 | — | 4,983 | 5,603 | 64 | 1 | 5,668 | |||||||||||||||||||||||
GM Financial equipment on operating leases, net | — | 7,060 | — | 7,060 | — | 3,383 | — | 3,383 | |||||||||||||||||||||||
Deferred income taxes | 25,439 | (25 | ) | — | 25,414 | 22,620 | 116 | — | 22,736 | ||||||||||||||||||||||
Other assets | 2,573 | 151 | (635 | ) | 2,089 | 2,853 | 112 | (613 | ) | 2,352 | |||||||||||||||||||||
Total non-current assets | 68,944 | 25,698 | (635 | ) | 94,007 | 65,131 | 20,324 | (612 | ) | 84,843 | |||||||||||||||||||||
Total Assets | $ | 131,734 | $ | 47,861 | $ | (1,918 | ) | $ | 177,677 | $ | 130,050 | $ | 38,084 | $ | (1,790 | ) | $ | 166,344 | |||||||||||||
LIABILITIES AND EQUITY | |||||||||||||||||||||||||||||||
Current Liabilities | |||||||||||||||||||||||||||||||
Accounts payable (principally trade) | $ | 22,463 | $ | 716 | $ | (650 | ) | $ | 22,529 | $ | 23,550 | $ | 589 | $ | (518 | ) | $ | 23,621 | |||||||||||||
Short-term debt and current portion of long-term debt | |||||||||||||||||||||||||||||||
Automotive | 1,131 | — | (631 | ) | 500 | 1,223 | — | (659 | ) | 564 | |||||||||||||||||||||
GM Financial | — | 14,488 | — | 14,488 | — | 13,594 | — | 13,594 | |||||||||||||||||||||||
Accrued liabilities | 27,444 | 741 | (1 | ) | 28,184 | 23,980 | 653 | — | 24,633 | ||||||||||||||||||||||
Total current liabilities | 51,038 | 15,945 | (1,282 | ) | 65,701 | 48,753 | 14,836 | (1,177 | ) | 62,412 | |||||||||||||||||||||
Non-current Liabilities | |||||||||||||||||||||||||||||||
Long-term debt | |||||||||||||||||||||||||||||||
Automotive | 8,910 | — | — | 8,910 | 6,574 | — | (1 | ) | 6,573 | ||||||||||||||||||||||
GM Financial | — | 22,943 | — | 22,943 | — | 15,452 | — | 15,452 | |||||||||||||||||||||||
Postretirement benefits other than pensions | 6,229 | — | — | 6,229 | 5,897 | — | — | 5,897 | |||||||||||||||||||||||
Pensions | 23,676 | 112 | — | 23,788 | 19,378 | 105 | — | 19,483 | |||||||||||||||||||||||
Other liabilities | 13,396 | 1,322 | (636 | ) | 14,082 | 12,748 | 1,217 | (612 | ) | 13,353 | |||||||||||||||||||||
Total non-current liabilities | 52,211 | 24,377 | (636 | ) | 75,952 | 44,597 | 16,774 | (613 | ) | 60,758 | |||||||||||||||||||||
Total Liabilities | 103,249 | 40,322 | (1,918 | ) | 141,653 | 93,350 | 31,610 | (1,790 | ) | 123,170 | |||||||||||||||||||||
Commitments and contingencies | |||||||||||||||||||||||||||||||
Equity | |||||||||||||||||||||||||||||||
Series A preferred stock, $0.01 par value | — | — | — | — | 3,109 | — | — | 3,109 | |||||||||||||||||||||||
Common stock, $0.01 par value | 16 | — | — | 16 | 15 | — | — | 15 | |||||||||||||||||||||||
Additional paid-in capital | 28,937 | — | — | 28,937 | 28,780 | — | — | 28,780 | |||||||||||||||||||||||
Retained earnings | 6,604 | 7,973 | — | 14,577 | 7,353 | 6,463 | — | 13,816 | |||||||||||||||||||||||
Accumulated other comprehensive income (loss) | (7,639 | ) | (434 | ) | — | (8,073 | ) | (3,124 | ) | 11 | — | (3,113 | ) | ||||||||||||||||||
Total stockholders’ equity | 27,918 | 7,539 | — | 35,457 | 36,133 | 6,474 | — | 42,607 | |||||||||||||||||||||||
Noncontrolling interests | 567 | — | — | 567 | 567 | — | — | 567 | |||||||||||||||||||||||
Total Equity | 28,485 | 7,539 | — | 36,024 | 36,700 | 6,474 | — | 43,174 | |||||||||||||||||||||||
Total Liabilities and Equity | $ | 131,734 | $ | 47,861 | $ | (1,918 | ) | $ | 177,677 | $ | 130,050 | $ | 38,084 | $ | (1,790 | ) | $ | 166,344 | |||||||||||||
10
General Motors Company and Subsidiaries
Consolidating Statements of Cash Flows
(In millions)
(Unaudited)
Year Ended December 31, 2014 | |||||||||||||||
Automotive | GM Financial | Reclassification (a) | Consolidated | ||||||||||||
Cash flows from operating activities | |||||||||||||||
Net income | $ | 3,523 | $ | 495 | $ | — | $ | 4,018 | |||||||
Depreciation, amortization and impairment charges | 6,320 | 918 | — | 7,238 | |||||||||||
Foreign currency remeasurement and transaction losses | 430 | 7 | — | 437 | |||||||||||
Amortization of discount and issuance costs on debt issues | 82 | 99 | — | 181 | |||||||||||
Undistributed earnings of nonconsolidated affiliates and gains on investments | (301 | ) | — | (301 | ) | ||||||||||
Pension contributions and OPEB payments | (1,310 | ) | (5 | ) | — | (1,315 | ) | ||||||||
Pension and OPEB expense, net | 434 | 5 | — | 439 | |||||||||||
Gains on extinguishment of debt | (202 | ) | — | — | (202 | ) | |||||||||
Benefit for deferred taxes | (528 | ) | (46 | ) | — | (574 | ) | ||||||||
Change in other operating assets and liabilities | 1,943 | 301 | (2,000 | ) | 244 | ||||||||||
Other operating activities | (259 | ) | 152 | — | (107 | ) | |||||||||
Net cash provided by operating activities | 10,132 | 1,926 | (2,000 | ) | 10,058 | ||||||||||
Cash flows from investing activities | |||||||||||||||
Expenditures for property | (7,039 | ) | (52 | ) | — | (7,091 | ) | ||||||||
Available-for-sale marketable securities, acquisitions | (7,636 | ) | — | — | (7,636 | ) | |||||||||
Trading marketable securities, acquisitions | (1,518 | ) | — | — | (1,518 | ) | |||||||||
Available-for-sale marketable securities, liquidations | 6,874 | — | — | 6,874 | |||||||||||
Trading marketable securities, liquidations | 1,881 | — | — | 1,881 | |||||||||||
Acquisition of companies, net of cash acquired | (7 | ) | (46 | ) | — | (53 | ) | ||||||||
Increase in restricted cash and marketable securities | (272 | ) | (567 | ) | — | (839 | ) | ||||||||
Decrease in restricted cash and marketable securities | 180 | 335 | — | 515 | |||||||||||
Purchase of finance receivables | — | (16,744 | ) | 2,000 | (14,744 | ) | |||||||||
Principal collections and recoveries on finance receivables | — | 10,860 | — | 10,860 | |||||||||||
Purchases of leased vehicles, net | — | (4,776 | ) | — | (4,776 | ) | |||||||||
Proceeds from termination of leased vehicles | — | 533 | — | 533 | |||||||||||
Other investing activities | 298 | (2 | ) | — | 296 | ||||||||||
Net cash used in investing activities | (7,239 | ) | (10,459 | ) | 2,000 | (15,698 | ) | ||||||||
Cash flows from financing activities | |||||||||||||||
Net increase (decrease) in short-term debt | (79 | ) | 470 | — | 391 | ||||||||||
Proceeds from issuance of debt (original maturities greater than three months) | 3,119 | 28,254 | — | 31,373 | |||||||||||
Payments on debt (original maturities greater than three months) | (745 | ) | (18,779 | ) | — | (19,524 | ) | ||||||||
Payments to purchase stock | (3,277 | ) | — | — | (3,277 | ) | |||||||||
Dividends paid (including charge related to redemption of Series A Preferred Stock) | (3,165 | ) | — | — | (3,165 | ) | |||||||||
Other financing activities | 4 | (127 | ) | — | (123 | ) | |||||||||
Net cash provided by (used in) financing activities | (4,143 | ) | 9,818 | — | 5,675 | ||||||||||
Effect of exchange rate changes on cash and cash equivalents | (1,022 | ) | (80 | ) | — | (1,102 | ) | ||||||||
Net transactions with Automotive/GM Financial | (695 | ) | 695 | — | — | ||||||||||
Net increase (decrease) in cash and cash equivalents | (2,967 | ) | 1,900 | — | (1,067 | ) | |||||||||
Cash and cash equivalents at beginning of period | 18,947 | 1,074 | 20,021 | ||||||||||||
Cash and cash equivalents at end of period | $ | 15,980 | $ | 2,974 | $ | — | $ | 18,954 | |||||||
__________
(a) | Reclassification of purchases/collections of wholesale finance receivables resulting from vehicles sold by GM to dealers that have arranged their inventory floor plan financing through GM Financial. |
11
General Motors Company and Subsidiaries
Consolidating Statements of Cash Flows — (Continued)
(In millions)
(Unaudited)
Year Ended December 31, 2013 | |||||||||||
Automotive | GM Financial | Consolidated | |||||||||
Cash flows from operating activities | |||||||||||
Net income | $ | 4,748 | $ | 583 | $ | 5,331 | |||||
Depreciation, amortization and impairment charges | 7,553 | 488 | 8,041 | ||||||||
Foreign currency remeasurement and transaction (gains) losses | 352 | (2 | ) | 350 | |||||||
Amortization of discount and issuance costs on debt issues | 83 | 31 | 114 | ||||||||
Undistributed earnings of nonconsolidated affiliates and gain on investments | (92 | ) | — | (92 | ) | ||||||
Pension contributions and OPEB payments | (1,455 | ) | (3 | ) | (1,458 | ) | |||||
Pension and OPEB expense, net | 633 | 5 | 638 | ||||||||
Losses on extinguishment of debt | 212 | — | 212 | ||||||||
Provision for deferred taxes | 1,385 | 176 | 1,561 | ||||||||
Change in other operating assets and liabilities | (1,412 | ) | 86 | (1,326 | ) | ||||||
Other operating activities | (986 | ) | 245 | (741 | ) | ||||||
Net cash provided by operating activities | 11,021 | 1,609 | 12,630 | ||||||||
Cash flows from investing activities | |||||||||||
Expenditures for property | (7,549 | ) | (16 | ) | (7,565 | ) | |||||
Available-for-sale marketable securities, acquisitions | (6,754 | ) | — | (6,754 | ) | ||||||
Trading marketable securities, acquisitions | (3,214 | ) | — | (3,214 | ) | ||||||
Available-for-sale marketable securities, liquidations | 3,566 | — | 3,566 | ||||||||
Trading marketable securities, liquidations | 6,538 | — | 6,538 | ||||||||
Acquisition of companies, net of cash acquired | (8 | ) | (2,615 | ) | (2,623 | ) | |||||
Proceeds from sale of business units/investments, net of cash disposed | 896 | — | 896 | ||||||||
Increase in restricted cash and marketable securities | (308 | ) | (676 | ) | (984 | ) | |||||
Decrease in restricted cash and marketable securities | 698 | 409 | 1,107 | ||||||||
Purchases of finance receivables | — | (10,838 | ) | (10,838 | ) | ||||||
Principal collections and recoveries on finance receivables | — | 7,555 | 7,555 | ||||||||
Purchases of leased vehicles, net | — | (2,254 | ) | (2,254 | ) | ||||||
Proceeds from termination of leased vehicles | — | 217 | 217 | ||||||||
Other investing activities | (12 | ) | 3 | (9 | ) | ||||||
Net cash used in investing activities | (6,147 | ) | (8,215 | ) | (14,362 | ) | |||||
Cash flows from financing activities | |||||||||||
Net increase in short-term debt | 156 | — | 156 | ||||||||
Proceeds from issuance of debt (original maturities greater than three months) | 5,430 | 22,611 | 28,041 | ||||||||
Payments on debt (original maturities greater than three months) | (2,797 | ) | (17,394 | ) | (20,191 | ) | |||||
Payments to purchase stock | (2,438 | ) | — | (2,438 | ) | ||||||
Dividends paid (including charge related to purchase of Series A Preferred Stock) | (1,687 | ) | — | (1,687 | ) | ||||||
Other financing activities | (76 | ) | (74 | ) | (150 | ) | |||||
Net cash provided by (used in) financing activities | (1,412 | ) | 5,143 | 3,731 | |||||||
Effect of exchange rate changes on cash and cash equivalents | (391 | ) | (9 | ) | (400 | ) | |||||
Net transactions with Automotive/GM Financial | (1,257 | ) | 1,257 | — | |||||||
Net increase (decrease) in cash and cash equivalents | 1,814 | (215 | ) | 1,599 | |||||||
Cash and cash equivalents at beginning of period | 17,133 | 1,289 | 18,422 | ||||||||
Cash and cash equivalents at end of period | $ | 18,947 | $ | 1,074 | $ | 20,021 | |||||
12
General Motors Company and Subsidiaries
Consolidating Statements of Cash Flows — (Continued)
(In millions)
(Unaudited)
Year Ended December 31, 2012 | |||||||||||
Automotive | GM Financial | Consolidated | |||||||||
Cash flows from operating activities | |||||||||||
Net income | $ | 5,569 | $ | 567 | $ | 6,136 | |||||
Depreciation, amortization and impairment charges | 38,546 | 216 | 38,762 | ||||||||
Foreign currency remeasurement and transaction losses | 117 | — | 117 | ||||||||
Amortization of discount (premium) and issuance costs on debt issues | 189 | (1 | ) | 188 | |||||||
Undistributed earnings of nonconsolidated affiliates gain on investments | (179 | ) | — | (179 | ) | ||||||
Pension contributions and OPEB payments | (3,759 | ) | — | (3,759 | ) | ||||||
Pension and OPEB expense, net | 3,232 | — | 3,232 | ||||||||
Losses on extinguishment of debt | 250 | — | 250 | ||||||||
Benefit for deferred taxes | (35,462 | ) | (99 | ) | (35,561 | ) | |||||
Change in other operating assets and liabilities | 573 | 57 | 630 | ||||||||
Other operating activities | 555 | 234 | 789 | ||||||||
Net cash provided by operating activities | 9,631 | 974 | 10,605 | ||||||||
Cash flows from investing activities | |||||||||||
Expenditures for property | (8,055 | ) | (13 | ) | (8,068 | ) | |||||
Available-for-sale marketable securities, acquisitions | (4,650 | ) | — | (4,650 | ) | ||||||
Trading marketable securities, acquisitions | (6,234 | ) | — | (6,234 | ) | ||||||
Available-for-sale marketable securities, liquidations | 10,519 | — | 10,519 | ||||||||
Trading marketable securities, liquidations | 7,267 | — | 7,267 | ||||||||
Acquisition of companies, net of cash acquired | (44 | ) | — | (44 | ) | ||||||
Proceeds from sale of business units/investments, net of cash disposed | 18 | — | 18 | ||||||||
Increase in restricted cash and marketable securities | (525 | ) | (136 | ) | (661 | ) | |||||
Decrease in restricted cash and marketable securities | 1,043 | 483 | 1,526 | ||||||||
Purchases of finance receivables | — | (6,122 | ) | (6,122 | ) | ||||||
Principal collections and recoveries on finance receivables | — | 4,007 | 4,007 | ||||||||
Purchases of leased vehicles, net | — | (1,050 | ) | (1,050 | ) | ||||||
Proceeds from termination of leased vehicles | 4 | 55 | 59 | ||||||||
Other investing activities | (72 | ) | — | (72 | ) | ||||||
Net cash used in investing activities | (729 | ) | (2,776 | ) | (3,505 | ) | |||||
Cash flows from financing activities | |||||||||||
Net decrease in short-term debt | (247 | ) | — | (247 | ) | ||||||
Proceeds from issuance of debt (original maturities greater than three months) | 436 | 8,600 | 9,036 | ||||||||
Payments on debt (original maturities greater than three months) | (1,143 | ) | (6,234 | ) | (7,377 | ) | |||||
Payments to purchase stock | (5,098 | ) | — | (5,098 | ) | ||||||
Dividends paid | (939 | ) | — | (939 | ) | ||||||
Other financing activities | (68 | ) | (48 | ) | (116 | ) | |||||
Net cash provided by (used in) financing activities | (7,059 | ) | 2,318 | (4,741 | ) | ||||||
Effect of exchange rate changes on cash and cash equivalents | (9 | ) | 1 | (8 | ) | ||||||
Net transactions with Automotive/GM Financial | (200 | ) | 200 | — | |||||||
Net increase in cash and cash equivalents | 1,634 | 717 | 2,351 | ||||||||
Cash and cash equivalents at beginning of period | 15,499 | 572 | 16,071 | ||||||||
Cash and cash equivalents at end of period | $ | 17,133 | $ | 1,289 | $ | 18,422 | |||||
13