`A number of GM executives have liquidated their remaining GM stock, helping to send the GM share price down to new depths.
In US regulatory filings it has emerged that Bob Lutz sold US$130,989 worth of GM stock at the closing price of US$1.61 at the end of last week.
Other GM executives, including Thomas Stephens, Ralph Szygenda, Gary Cowger and Carl-Peter Forster also sold all of their remaining GM stock.
The sell-off reflects near terminally bad prospects for GM shareholders.
General Motors saw 2008 sales fall 10.8%. As a result, GM has fallen behind Toyota's sales figures for the first time in history.
Wall Street Journal rumors of GM's supposed merger talks with Chrysler continue to drive GM's stock price down. GM spokesmen say the rumors are false, and that there are no talks.
While the Wall Street Journal reported that GM and Chrysler LLC have re-opened merger talks, GM spokesman Greg Martin has again denied the veracity of The Jornal's claim.
The Wall Street Journal reported that Cerberus Capital Management (Chrysler's owner) has shown willingness to give away part of its share in the automaker. A GM spokesman denied the rumor.
Members of the Senate fail to reach an agreement on the Auto Bailout..
GM's stock price decreased after the U.S. House of Representatives voted to approve $14 billion in loans to U.S. automakers.
The legislation awaits approval from the Senate.
GM stock was up over 20% U.S. Government contemplates its bailout of U.S. automakers.
The Wall Street Journal reported that GM is working on a plan that will allow company debt-holders to convert their debt to exchange their securities for shares of stock in the company. This is being done in order for GM to avoid a bankruptcy filing.
Talks in Congress to grant aid to the big three automakers collapsed a day after the companies' chief executives pleaded before Congress for $25 billion. Democratic leaders said that if GM and Chrysler submit convincing turnaround plans by Dec 2, they would reconsider.
As pressure increases on Washington to extend an assistance package to the Big Three automakers, GM's chief executive Rick Wagoner testified before Congressional committees for $10 billion in aid.
Shares in G.M. sank to their lowest point in 65 years, to $2.92 on Nov 11. GM's cash cushion has been shrinking by more than $2 billion a month this fall. If that continues, G.M.’s reserves will fall below the minimum of $10 billion in cash it needs to run its global operations by January,
Reports have been circling in the financial press that GM and Chrysler are pursuing a merger to be completed by the end of October. It is reported that this merger would occur by Cerberus Capital Management swapping its ownership of Chrysler in exchange for the 49% of GMAC financial still owned by GM.
GM's US sales in September fell 16%, considerably less than the total US car market where sales fell 27%. GM's smaller than expected sales loss is partially explained by an employee pricing incentive enacted in September alongside increases in less profitable fleet sales.
In the 2008 United States budget, Ford, GM, and Chrysler were given the option of seeking upto $25 billion in loans from the Federal Government at lower than market interest rates. However, the clause stipulates that all three companies can only use this money in order to develop new technologies or retool factories, for the more fuel efficient cars they need to make to become profitable again, but not to cover day to day operating expenses. Congress approved the loan package in September of 2008; but the Big Three said they will mutually seek upto another $25 billion in Federal loan guarantees.
GM announced a sales drop of 20.4% for August. At the same time, Ford's sales fell 26.6%, Chrysler's fell 34%, Toyota's fell 9.4%, and Honda's dropped 7.3%.
GM announced two major recalls: One for 857,735 vehicles that had a windshield wiper fluid heater at risk for causing fires. And another for 88,809 vehicles whose windshield wipers could fall off.
GM lost $15.5 billion during Q2 2008. Revenues fell to $38.2 billion from $46.7 billion a year earlier as global sales decreased 5% for the quarter, driven down by a 20% sales reduction in North America. The company burnt $3.6 billion in cash, leaving it with $21 billion in cash and $5 billion in loan guarantees to continue operations.
GM collaborates with 3 dozen electric companies to roll-out electric car in 2 years
GM's dealer council made this decision on the belief that GM is producing a line-up of higher quality vehicles than ever before and faith in the company's recent plans to create $15 billion in liquidity by cutting 15% of its white collar workforce in North America, suspending the dividend, and receiving a number of new loans.
additiionally, GM reports 10% drop in cars and light trucks
1,300 hourly employees will lose their job now that GM is closing a transmission plant in Toledo, Ohio. The closing of the plant was caused by a stike by the United Automobile Workers (UAW) at American Axle and Manufacturing. GM trucks were down 20 percent in February 2008, the area of its lineup with the highest exposure to American Axle. Overall, GM sales for February 2008 were down 16% after adjusting for the number of sales days.
After announcing an annual loss of more than $38.7 billion, of which $38.3 billion can be attributed to a one time tax fee, GM offered contract buyouts to all 74,000 employees so that the firm can replace these workers with fewer and cheaper employees. The annual loss and buyout reflect a suffering North American auto market and woes for the financial arm, GMAC.
The Indian unit of General Motors posted a 68% rise in sales last year as demand for models such as the Chevrolet Spark minicar rose in the South Asian nation.
General Motors will recall nearly 313,000 passenger vehicles. ...because of a fluid leak that could lead to loss of control of the vehicle. The recall involves 275,936 vehicles in the United States, including the 2005-2007 Cadillac CTS and STS sedans, 2005-2007 Cadillac SRX crossovers, and 2006-2007 Pontiac Solstice and the 2007 Saturn Sky convertibles. About 38,000 additional vehicles are under recall in Mexico, Canada, the Middle East and Asia.
The legislation passed today increases the federal standard auto makers must meet to an industry wide 35 mpg for passengers cars, SUVs and small trucks. The standard for cars today is 27.5 mpg and for trucks and SUVs 22.2 mpg. The bill also ramps up production of ethanol use to 36 billion gallons a year by 2022, up from 6 billion gallons of ethanol produced in 2007. This will put tremendous pressure on GM's gas guzzlers.
GM expects to sell almost 300,000 fewer cars in 2008 compared to its 2007 projections, mostly due to the cyclical downturn occurring in the United States.
In the document that spells out the tentative pact between General Motors Corp. and the United Auto Workers, or UAW, factory futures are listed as: "demand and business case dependent," "no future product allocation," even possible sale or closure.
Increasing speculation -- in both the Wall Street Journal and analyst reports -- that GM would reach a deal with its union, the UAW, to cut benefits in a way that would bring its structural costs in line with those of its foreign competitors such as Toyota.
For the first time since 2003, GM gives out bonuses to its executives in the form of company stock, following a weeklong steep gain in stock prices. Growth continues, less steeply, for another two days as investor confidence cautiously grows, but plummets again on the 26th.
GM announces that the measures it has adopted to control its internal accounting are ineffective. Stock prices drop, along with investor confidence that GM will manage to successfully cut down its expenditures.
GM closes its deal with Cerberus to divest itself of half of its holdings in GMAC, its financial accounting arm, as the company tries to improve liquidity and raise cash needed to ride out the losses as its shrinks down to profitability.