AssetID: 53261452
Headline: UNCAPTIONED: GM Outlines $10 Billion Stock Buyback
Caption: GM Outlines $10 Billion Stock Buyback. On Nov. 29, General Motors (GM) said that the recent UAW strike deal will cost the company $9.3 billion. The company also said it would initiate $10 billion in share buybacks, a dividend increase of 33% and "substantially lower" spending at Cruise, its autonomous vehicle division, Reuters reports. The company's stock price has suffered this year due to the strikes and issues with its self-driving Cruise vehicles, which have been documented in a number of accidents. GM lowered 2023 profit expectations as a result of the strikes as well. When taking into account lost production and terms of the UAW deal, GM expects to lose $1.3 billion in 2023. GM CEO Mary Barra outlined the company's plans in an investor conference call. "Now that we have a ratified contract and a clear path forward that includes greater operating investment efficiencies, we can resume returning capital to shareholders per our plan." "Our cash balance, which is well above our target, is a function of our recent record profits and our prudent management of resources through the pandemic, supply chain disruptions and labor negotiations." GM CEO Mary Barra, via investor conference call. At the time of the investor call, shares were close to $28, which is 15% less than the company's IPO price in 2010. THIS VIDEO MUST NOT BE EDITED FOR LENGTH TO COMBINE WITH OTHER CONTENT
Keywords: GM,General Motors,Outlines,Stock,Buyback,Company,UAW,Strike,Deal,Divided,Increase,Cruise,Vehicles,Accidents,Suffered,Reuters,Conference call,Investor
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