General Motors Chairman and CEO Mary Barra addresses the 2017 General Motors Company Annual Meeting of Stockholders Tuesday, June 6, 2017 at GM Global Headquarters in Detroit, Michigan. (Photo by John F. Martin for General Motors)
Right now, it looks like General Motors along with Ford and Fiat Chrysler are targeting mid-May for reopening U.S. plants and restarting production. They will have safety protocols in place to protect workers but they are reportedly still finalizing them with the United Auto Workers.
AS GM plants remain shuttered due to COVID-19, the automaker is trying to preserve cash by suspending its quarterly cash dividend and stock buybacks.
General Motors Co. has extended $3.6 billion under its three-year revolving credit agreement to April 2022, to further strengthen its liquidity position.
This complements the extension of the $2 billion 364-day revolving credit agreement to April 2021 that GM and GM Financial renewed earlier this month. In addition, the company has suspended the quarterly cash dividend on its common stock, suspended its share repurchase program and has taken other significant austerity measures to preserve near-term available cash.
"We continue to enhance our liquidity to help navigate the uncertainties in the global market created by this pandemic," said GM Chief Financial Officer, Dhivya Suryadevara. "Fortifying our cash position and strengthening our balance sheet will position the company to create value for all our stakeholders through this cycle."
GM remains committed to its capital allocation framework, which is focused on reinvesting in the business at pretax returns equal to or greater than 20 percent; maintaining a strong investment-grade balance sheet; and returning capital to shareholders after the first two objectives have been met.
GM also announced that CEO Mary Barra’s net income for 2019 fell about 1% to just over 21 and a half million dollars, down roughly $240,000. She remained the top-paid CEO of the Detroit 3 automakers.
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