Lutz: GM Is Positioned to Be Profitable

General Motors, the US-based carmaker that entered and emerged from bankruptcy earlier this year, is still heading the right way, said Robert A. Lutz, Vice Chairman of Global Product Development, in a statement at the Los Angeles Auto Show. Furthermore, the company will begin paying its government loans starting this month and is expected to pay all its debts before the deadline.

"Today, we have a much healthier balance sheet, with significantly less debt. We’ve slashed our operating and labor costs. We’re creating a leaner, stronger dealer network. We’re positioned to be profitable in anything close to a normal automotive sales market. And we’ll begin to repay our government loans sooner than expected, starting this month," he said.

Lutz emphasized that one of the key elements in GM's market strategy is represented by the four core brands the company plans to rely on. Furthermore, GM's lineup will include only 34 models, down from 48 in 2008.

"One key to our success is developing those four brands… We must make people more aware of them and what they mean," Lutz explained.

"This emphasis on fewer, better entries is enabling us to devote more engineering and marketing resources to each model – products like the Chevrolet Camaro and Equinox, Buick LaCrosse, GMC Terrain, and Cadillac SRX and CTS Sport Wagon. You see it in the products we’re launching around the world – cars like the Opel Astra in Europe, Daewoo Matiz Creative in Asia Pacific, and Chevrolet Agile in Latin America."

In order to revamp its US operations, General Motors will introduce several fuel-efficient models, including Cadillac CTS Coupe, Buick Regal, Chevrolet Cruze and the long-awaited Chevrolet Volt.