Welcome to the North American Subaru Impreza Owners Club Monday July 28, 2014
Home Forums WikiNASIOC Products Store Modifications Upgrade Garage
NASIOC
Here you can view your subscribed threads, work with private messages and edit your profile and preferences Home Registration is free! Visit the NASIOC Store NASIOC Rules Search Find other members Frequently Asked Questions Calendar Archive NASIOC Upgrade Garage Logout
Go Back   NASIOC > NASIOC General > News & Rumors > Non-Subaru News & Rumors

Welcome to NASIOC - The world's largest online community for Subaru enthusiasts!
Welcome to the NASIOC.com Subaru forum.

You are currently viewing our forum as a guest, which gives you limited access to view most discussions and access our other features. By joining our community, free of charge, you will have access to post topics, communicate privately with other members (PM), respond to polls, upload content and access many other special features. Registration is free, fast and simple, so please join our community today!

If you have any problems with the registration process or your account login, please contact us.
* Registered users of the site do not see these ads.
Reply
 
Thread Tools Display Modes
Old 11-07-2007, 08:18 AM   #1
NYCshopper
Scooby Guru
 
Member#: 5126
Join Date: Mar 2001
Location: www.nugateway.com
Default GM shares drop in premarket; Q3 loss totals $39B on huge charge

GM shares drop in premarket; Q3 loss totals $39B on huge charge

http://money.cnn.com/news/newsfeeds/...3-20799123.htm

Quote:
NEW YORK, Nov. 7, 2007 (Thomson Financial delivered by Newstex) -- General Motors Corp. (NYSE:GM) Wednesday reported a third-quarter loss of $39 billion, or $68.85 a share, reflecting a massive charge related to a valuation allowance against its deferred tax assets.

The company disclosed plans to record the $38.6 billion charge late Tuesday. The latest results also include a gain of $3.5 billion from the sale of its Allison Transmission business, a charge of $1.6 billion related to pension service costs, and a two separate $400 million charges stemming from restructuring actions and an adjustment to its Delphi reserve.

Excluding items, the Dow component reported an adjusted loss of $1.6 billion, or $2.80 a share. In the same period a year earlier, on an adjusted basis, the company earned $497 million, or 88 cents a share.

It attributed the year-over-year decline in results to a significant drop in net income from the GMAC financing business and higher corporate expenses.

Total sales and revenue reached $43.83 billion in the quarter.

The mean estimate of analysts polled by Thomson Financial was for a loss of 25 cents a share in the September period with revenue of $40.29 billion.

The company said its loss related to its 49% equity interest in GMAC and accrued preferred dividends was $757 million in the latest quarter.

General Motors' North America posted for a loss from continuing operations of $247 million in the September period.

'We continue to implement the key elements of our North America turnaround strategy, and these initiatives are driving steady improvement in our financial results, despite challenging North America market conditions,' said Rick Wagoner, the company's chairman and CEO.

Wagoner continued: 'In addition, we are very encouraged by our performance in emerging markets. Our record third quarter global sales are strong evidence that our commitment to great cars and trucks is being embraced by consumers around the globe.'

The stock was off almost 9% in premarket action to $33.
* Registered users of the site do not see these ads.
NYCshopper is offline   Reply With Quote
Old 11-07-2007, 08:49 AM   #2
SlideWRX
Scooby Specialist
 
Member#: 3803
Join Date: Jan 2001
Chapter/Region: MWSOC
Location: South Carolina
Vehicle:
07 Mustang GT
285 is a wide tire!

Default

What exactly is the 38 billion charge they made?
SlideWRX is offline   Reply With Quote
Old 11-07-2007, 08:56 AM   #3
BakedCookies
Scooby Specialist
 
Member#: 21543
Join Date: Jul 2002
Chapter/Region: MAIC
Location: VA
Vehicle:
2009 Fit Sport
White

Default

Quote:
Originally Posted by SlideWRX View Post
What exactly is the 38 billion charge they made?
probably to pay the CEO's bonus
BakedCookies is offline   Reply With Quote
Old 11-07-2007, 09:46 AM   #4
registering
Scooby Specialist
 
Member#: 89332
Join Date: Jun 2005
Location: Florida
Vehicle:
2007 Miata
Silver

Default

http://news.yahoo.com/s/ap/20071107/...4.ity3xBes0NUE

From yahoo:
Quote:
GM attributed the third-quarter loss to a $38.6 billion noncash charge largely related to establishing a valuation allowance against accumulated deferred tax credits in the U.S., Canada and Germany, as well as mortgage losses at GM's former financial arm, GMAC Financial Services.

But accounting rules require that companies expecting to keep losing money cannot keep carrying deferred tax credits indefinitely and must write down their value.
Sounds like accounting bs to me, which seems the norm these days. A loss is a loss. My favorite quote:

Quote:
"I think you'd have to have a Ph.D. in accounting to understand it," Wagoner said during an interview on "The Paul W. Smith Show" on WJR-AM.

"It doesn't have any impact at all," he said.
registering is offline   Reply With Quote
Reply

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Forum Jump

Similar Threads
Thread Thread Starter Forum Replies Last Post
Direct drop in projector djinn Interior & Exterior Modification 9 06-07-2010 10:11 PM
A/C on = huge loss in power and uncomfortable ride. RoxyTheImpreza Newbies & FAQs 12 05-07-2010 09:53 AM
FS: (IL) 07 STI stock parts, gm 3-port boost solenoid, K&N drop in gondy Engine/Power/Exhaust 25 02-05-2009 09:20 PM
GM posts $3,250,000,000 loss in Q1 Eyeflyistheeye Non-Subaru News & Rumors 25 05-01-2008 05:22 PM
Charges dropped in road rage thingy... Strider Off-Topic 13 10-12-2005 02:10 PM


All times are GMT -4. The time now is 03:40 AM.


Powered by vBulletin® Version 3.7.0
Copyright ©2000 - 2014, Jelsoft Enterprises Ltd.
Powered by Searchlight © 2014 Axivo Inc.
Copyright ©1999 - 2014, North American Subaru Impreza Owners Club, Inc.