Hooray … Happy Days at GM … $1.2 billion loss for 3rd quarter.
GM, Government Motors, has great news … – General Motors Co. says it lost US$1.2 billion since it left bankruptcy protection. This is reported as good news. Can you imagine what a bad report would be? Can you imagine that a $1.2 billion loss is considered good and shows progress?
GM said its improved performance was fueled by new products including the Chevrolet Camaro muscle car, and the Chevrolet Equinox and GMC Terrain midsize crossover vehicles. The company’s top sellers through October were the Chevrolet Silverado pickup truck and Impala full-size car.
Also, GM’s global presence helped the company, particularly in China, where its sales of 478,000 in the third quarter increased 6 percent over the second quarter.
The company cautioned that the earnings numbers mean little because they don’t comply with U.S. accounting standards and cover only the part of the quarter after GM left Chapter 11 bankruptcy protection on July 10.
Even more unusual is the $79.4 billion profit the troubled automaker is reporting for the first nine days of the third quarter, when it remained under bankruptcy court protection but was able to scrap colossal amounts of debt and other obligations from its balance sheet.
Just a hunch, but I don’t think any one will be buying GM stock any time soon.