Big454blockchevy
03-25-2005, 01:28 AM
NEW YORK - General Motors Corp. is in talks with private equity and other financial firms over selling a stake in its GMAC Commercial Mortgage subsidiary, The Wall Street Journal reported on Wednesday.
The deal could raise as much as $1 billion for the carmaker, the Journal reported, citing people familiar with the matter.
Such a move would be a small part of GM’s attempts to recover from a poor performance by its North American car operations and avert the threat of a credit downgrade, the paper said.
GM’s commercial mortgage business collects payments on mortgages valued at more than $247 billion and originates loans in sectors ranging from health care to golf courses, the paper said.
wait there's more -Struggling automaker cancels plans for rear-wheel platform
General Motors Corp., which rocked investors last week by slashing its 2005 income outlook, plans deep cuts in its white-collar work force, according to a newspaper report.
The company also said Monday it has canceled plans to build some rear-wheel drive cars in North America beginning in 2008, a move that industry analysts said could further erode its competitiveness against other automakers.
“We’ve stopped work on Zeta,” GM spokesman Pat Morrissey said, referring to an architecture that was expected to be used to build an array of vehicles, including the next-generation Pontiac GTO sports car and the Buick Velite convertible.
The news came the same day The Wall Street Journal, citing "industry officials and analysts," reported that the automaker could cut up to 28 percent, in certain areas, from its 38,000 U.S. white-collar workers. The cuts are seen as the beginning of GM’s effort to restructure structural problems in its core auto business after several years of avoiding large job cuts.
GM spokeswoman Toni Simonetti told The Associated Press Sunday the company planned to continue reducing its work force through early-retirement offers and “natural attrition.”
What could all this mean to the possibility of a new Camaro :eek:
The deal could raise as much as $1 billion for the carmaker, the Journal reported, citing people familiar with the matter.
Such a move would be a small part of GM’s attempts to recover from a poor performance by its North American car operations and avert the threat of a credit downgrade, the paper said.
GM’s commercial mortgage business collects payments on mortgages valued at more than $247 billion and originates loans in sectors ranging from health care to golf courses, the paper said.
wait there's more -Struggling automaker cancels plans for rear-wheel platform
General Motors Corp., which rocked investors last week by slashing its 2005 income outlook, plans deep cuts in its white-collar work force, according to a newspaper report.
The company also said Monday it has canceled plans to build some rear-wheel drive cars in North America beginning in 2008, a move that industry analysts said could further erode its competitiveness against other automakers.
“We’ve stopped work on Zeta,” GM spokesman Pat Morrissey said, referring to an architecture that was expected to be used to build an array of vehicles, including the next-generation Pontiac GTO sports car and the Buick Velite convertible.
The news came the same day The Wall Street Journal, citing "industry officials and analysts," reported that the automaker could cut up to 28 percent, in certain areas, from its 38,000 U.S. white-collar workers. The cuts are seen as the beginning of GM’s effort to restructure structural problems in its core auto business after several years of avoiding large job cuts.
GM spokeswoman Toni Simonetti told The Associated Press Sunday the company planned to continue reducing its work force through early-retirement offers and “natural attrition.”
What could all this mean to the possibility of a new Camaro :eek: