General Motors has officially announced its 2007 financial results. GM lost $23 million in 2007, compared to a net income of $2.2 billion in 2006. GM sited poor performance by its finance arm — GMAC — for the loss. When special items are included in the total — such as non-cash charges — the Detroit automaker lost $38.7 billion.
Despite the losses, GM’s core automotive business actually saw a record revenue of $178 billion in 2007 — up $7 billion from the year before. GM sites a favorable exchange rate against the weaker U.S. dollar and strong growth in developing regions for the increased revenue.
General Motors also announced another round of planned buyouts, but failed to mention how many jobs it plans to cut. The new round of buyouts will offer incentives of $45,000 for production employees or $62,500 for skilled trades. Retirement plans will also be offered to employees 50 years or older with at least 10 years of service.
No time frame was given for the buyouts.
