On Tuesday, General Motors Co will reveal its long held proposed plans to invest approximately $1 billion in its U.S. factories, after latest criticism of the company of President-elect Donald Trump. This decision of the biggest U.S. automaker is for business and not for any political reasons, according to sources on Monday.
In 1998, Mr. Trump partnered with insurance company Conseco and bought the General Motors Building for $878 million.
The investment will support General Motor to create or preserve over 1,000 jobs, although the automaker also intends to offer other efforts to increase U.S. employment, as well as adding engineers.
GM General Counsel stated that any investment the company might reveal had been long intended and was not a reaction to Trump’s criticism.
General Motors, which has over 40 manufacturing sites in the United States, the previous year broadcasted $2.9 billion in U.S. investments.
However, even as General Motors invests in U.S. plants, it has also been making the employment reduction. General Motors stated plans to lay off approximately 3,300 employees at three factories, in the recent months.
Last December it was announced, it’s idea to cancel the second shift and reduce approximately 1,300 employments from its Detroit-Hamtramck assembly plant in March. And back in November it said would reduce approximately 2,000 occupations when it ends the third shift at its Lordstown, Ohio and Lansing, Michigan plants in January.
On Additional News
In 2016, General Motors and its joint venture partners in China sold 3.87 million vehicles in the mainland, recording another fantastic year for the automaker. Which is an improvement of over 7%, in spite of witnessing a 2.3% decline in December sales.
In the last month of the year, General Motors sold 434,799 vehicles. The drop, however, could not stop the Detroit automaker from publishing impressive outcome for the year in the world’s hottest car market.
Last October 25, 2016, General Motors Reports Record 3rd Quarter Net Income of $2.8 Billion, Up 104 Percent.
This coming February 07, 2017, General Motors Company is expected to report earnings before market open. The report will be for the fiscal Quarter ending Dec 2016. According to Zacks Investment Research, based on 8 analysts’ predictions, the consensus Earnings per Share (EPS) forecast for the quarter is $1.13. The reported Earnings per Share (EPS) for the same quarter the prior year was $1.39.
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