GM Executive: Good 2nd Q
By Yaser Anwar, CSC of Equity Investment Ideas
General Motors, after losing a record $10.6 billion in 2005, is hinting at good results for the second quarter, according to executives.
"At GM, the turnaround is progressing ... you'll see a good second quarter," Bo Andersson, vice president of global purchasing and supply told an audience at the Automotive News Europe congress.
Andersson didn't expand, but did tells the audience that he is hoping to improve the company's supply chain in order to improve "the ratio between revenue and costs," says the AP.
Andersson's comments come just a day after chairman and CEO Rick Wagoner told shareholders that the company is making significant progress on its turnaround plan, reports the AP.
Wagoner says that GM is planning to cut $7 billion in structural costs in North America and has a goal of reducing costs to 25 percent of revenue by 2010 from 34 percent last year.
"These are huge reductions for GM and any other corporation anywhere," Wagoner said.
The company is showing some improvement. GM posted a profit of $445 million in the first quarter compared to a loss of $1.3 billion in the first quarter of 2005.
http://www.equityinvestmentideas.blogspot.com/
General Motors, after losing a record $10.6 billion in 2005, is hinting at good results for the second quarter, according to executives.
"At GM, the turnaround is progressing ... you'll see a good second quarter," Bo Andersson, vice president of global purchasing and supply told an audience at the Automotive News Europe congress.
Andersson didn't expand, but did tells the audience that he is hoping to improve the company's supply chain in order to improve "the ratio between revenue and costs," says the AP.
Andersson's comments come just a day after chairman and CEO Rick Wagoner told shareholders that the company is making significant progress on its turnaround plan, reports the AP.
Wagoner says that GM is planning to cut $7 billion in structural costs in North America and has a goal of reducing costs to 25 percent of revenue by 2010 from 34 percent last year.
"These are huge reductions for GM and any other corporation anywhere," Wagoner said.
The company is showing some improvement. GM posted a profit of $445 million in the first quarter compared to a loss of $1.3 billion in the first quarter of 2005.
http://www.equityinvestmentideas.blogspot.com/
posted by douglas mcintyre at 11:51 AM
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