Not only is GM issuing a divided but they are doing something else, President Dan Ammann said. They are depositing $7.5 billion back into their global operations this year to launch 32 new or redesigned cars in the markets of the US and China.
Ammann told WardsAuto that it is pretty consistent with the run-rate for the last couple of years. In 2013, GM invested $8 billion to support a variety of global vehicle introductions, including 18 cars, trucks and CUVs in the USA, up from $6.2 billion in 2012. These reinvestments also fund R&D for future products and new infrastructure such as the five new assembly plants GM has planned for China in 2015, where vehicle production will eventually handle 5 million units annually.
Vehicle introductions this season include redesigned 2015 Chevrolet Tahoe and Suburban, 2015 GMC Yukon family, 2015 Colorado and Canyon, the 2015 Cadillac ATS Coupe and Corvette Z06, as well as the Chevrolet Sail and Aveo small cars for new markets.
Amman’s main goal, he said, was to reinvest within the business; mainly their product portfolio. The company expects semi improved earnings before interest and taxes this year while having a somewhat matured operating performance to offset restructuring expenses related to cutbacks in global manufacturing.
Amman, 41, will control GM’s regional operations around the world along with all their global Chevrolet and Cadillac brand organizations and their global product planning.
Comment
Any of that 7.5b could have been spent on saving Holden during this difficult phase?
There is no need to invest in Commodore and Caprice when they are world leading.