They will weigh more in our cost structure

After his successful scholarship of the month of November, which allowed the State to raise $ 23.1 billion and lower its participation in the capital of 61 to 33, General Motors re-learning to become one Builder "as the other". "The last few months have been used to put in place the foundations of our relief." "Now, we will build the superstructure above the foundations", summarizes Chris Liddell, Vice-President of the constructor in charge of finance, to the Detroit show.

Direct witness of this return to normal: investment in new models. They had significantly narrowed because the process of bankruptcy, a year and a half. In the recent return to Wall Street, GM could drain $ 5 billion through specific financial instruments, which are not too to restart the machine development in its coffers. But despite the release of a few new features this week in Detroit, such as the Buick Verano, the period of belt-tightening still prevails and the pipeline will be really excited as from 2013.

The important thing is that the essence of the fundamental has been restored. Thus, the fourth quarter has again found on profits, even if they are lower than in the third. "Our credit quality is improving very quickly", said Chief Financial Officer. Within three or five years, the ideal would be to absorb the essence of the 5 billion of debts, "but this will depend on the automotive industry and our ability to generate cycles of cash", continues the Microsoft Finance ex-patron, who left Seattle to Detroit a year ago.

The fate of the employees pension commitments still weighing on the balance sheet, will have a test value. In contrast, the other boulet, the costs incurred historically by the group to cover employees and their families health plans, has been placed in an independent Foundation. "They will weigh more in our cost structure."

If China and South America represent abroad the interesting prospects in terms of volumes and margins, otherwise Europe, where Opel continues to be a problem. "It's like the restructuring in the United States, but on a smaller scale", summarizes Chris Liddell, which aims if possible balance this year for Opel. The closure of the Belgian plant in Antwerp is an important action to tackle the production potential. "But it will not be able to address the problem of overcapacity in the sector we only." "Different markets, Europe is currently the least brighter," added the Manager.

On the part of the costs, the foundations are also in place with the signing of agreements on new conditions of work, essentially Germany. But, with respect to sales, GM is still waiting for boost on the Opel brand, which progresses less rapidly in Europe than Chevrolet. "We must improve the image of the Opel brand," admits Chris Liddell.

Signs that things move quickly in the sector, the US market is now considered more carrier, after a true descent into the underworld. "The general situation of builders is currently quite good after they removed 40 percent of their total capacity", argues Chris Liddell. But it is a little quickly forget that General Motors, despite any new profits, displays its low market share in its country of origin since the second world war.