The New GM Lost $4.3 Billion

And the numbers are in... In a short press release previewing the filing of its third quarter 2009 Form 10-Q and 2009 Form 10-K with the Securities and Exchange Commission (SEC), American manufacturer GM announced a $4.3 billion net loss, but expressed its hopes it will achieve profitability in 2010.

The numbers, part of fresh-start accounting of the company formed by the acquisition of all the assets and certain liabilities of Motors Liquidation Company, the former General Motors Corporation, show a global revenue of $57.5 billion and net cash coming from operating activities of $1 billion.

“We are building the foundation that will allow us to return to public ownership,” said Chris Liddell, GM vice chairman and CFO. “Completing fresh-start accounting is an important step in that process.”

“As the results for 2009 show there is still significant work to be done. However, I continue to believe we have a chance of achieving profitability in 2010.”

“We are also dedicated to delivering on our commitments to our stakeholders. For example we remain committed to repaying the outstanding balance of the U.S. Treasury and Export Development Canada loans by June 2010 at the latest.”

The loss, which GM hopes to damp once it goes public (no word on when that will happen), includes the the pre-tax impact of a $2.6 billion settlement loss related to the UAW retiree medical plan and a $1.3 billion foreign currency re-measurement loss.
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About the author: Daniel Patrascu
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Daniel loves writing (or so he claims), and he uses this skill to offer readers a "behind the scenes" look at the automotive industry. He also enjoys talking about space exploration and robots, because in his view the only way forward for humanity is away from this planet, in metal bodies.
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