GM posts record loss of $38.7 billion

Feb 12, 2008 3 Replies

GM posts record loss of $38.7 billion

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DETROIT -- General Motors Corp. today announced a 2007 net loss of $38.7 billion, almost of which came from a massive tax write down the automaker took last fall.



GM's net loss from continuing operations was $23 million, compared to a profit of $2.2 billion a year earlier. The automaker said the losses were driven by red ink at GMAC financial services, which it half owns.



GM's automotive operations generated revenue of $178 billion in 2007, a $7 billion improvement over 2006, as GM continues to grow in the world's emerging markets. GM made $181 billion in revenue in 2007, compared with $206 billion in 2006.



"We're pleased with the positive improvement trend in our automotive results, especially given the challenging conditions in important markets like the U.S. and Germany, but we have more work to do to achieve acceptable profitability and positive cash flow," CEO Rick Wagoner said in a statement.


Optimism, or political correctness???

More like whistling as he walks through the cemetery on a dark and stormy night.

If I understood correctly, the televised report mentioned that ca 60% of GM production is sold outside the USA.

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