GM Says No Production Distruptions Due To Japan's Troubles
 |
Relevant Link: Buick Buyers Guide
Relevant Link: Cadillac Buyers Guide
Relevant Link: Chevrolet Buyers Guide
Relevant Link: GMC Buyers Guide
SAN ANTONIO April 28, 2011; Jim Forsyth writing for Reuters reported that General Motors Co Chief Executive Dan Akerson said the company has not been greatly affected by supply disruptions due to the March earthquake in Japan, and the company wants to repay U.S. taxpayers before making acquisitions or declaring a dividend.
"We've had no disruptions in production in our global operations to date. That was really a second quarter event in terms of impact. So far, so good," said Akerson in a telephone interview on Thursday.
Akerson declined to offer sales or production forecasts, citing next week's first-quarter earnings report by the No. 1 U.S. automaker.
He said as long as U.S. gasoline prices do not rise out of their current range near $4 per gallon "we'll be fine."
GM's balance sheet, helped by a $52 billion bailout funded by U.S. taxpayers, is now in the best shape it has been in since the 1950s, Akerson said.
With $30 billion in cash on the books at the end of 2010, GM will not make major acquisitions or give a dividend in the near-term, he said.
"The taxpayers of America still own about 27 percent of the company on a fully diluted basis and we want to return the good favor and give that money back to the taxpayers before we get too ambitious in terms of acquisitions or dividends," Akerson said.