General Motors 2010 Annual Report Download - page 196

GENERAL MOTORS COMPANY AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
Agreements with GM Financial’s financial guaranty insurance providers contain additional specified targeted portfolio performance
ratios that are higher than those described in the preceding paragraph. If, at any measurement date, the targeted portfolio performance
ratios with respect to any insured trust were to exceed these higher levels, provisions of the agreements permit GM Financial’s
financial guaranty insurance providers to declare the occurrence of an event of default and terminate GM Financial’s servicing rights
to the receivables transferred to that trust. At December 31, 2010 no such servicing right termination events have occurred with
respect to any of the trusts formed by GM Financial.
Senior Notes and Convertible Senior Notes
As a result of the acquisition of AmeriCredit, the holders of the senior notes and the convertible senior notes had the right to require
GM Financial to repurchase some or all of their notes as provided in the indentures for such notes. The repurchase dates for any notes
tendered to GM Financial pursuant to procedures previously delivered to holders of senior notes and convertible senior notes were
December 3, 2010 with respect to the senior notes, and December 10, 2010 with respect to the convertible senior notes. The
repurchase price with respect to the senior notes is 101% of the principal amount of the notes plus accrued interest, and the repurchase
price with respect to the convertible senior notes is the principal amount of the notes plus accrued interest. Pursuant to the terms of the
convertible senior notes indentures a payment of $0.69 per $1,000 of principal amount of the convertible senior notes due in 2011 and
$0.81 per $1,000 of principal amount of the convertible senior notes due in 2013 was made to those who elected to convert as a result
of the acquisition. During the three months ended December 31, 2010 GM Financial repurchased convertible senior notes of $461
million and senior notes of $2 million.
Long-Term Debt Maturities
Consolidated
The following table summarizes long-term debt maturities including capital leases (dollars in millions):
At December 31,
Automotive
Automotive
Financing (a) Total
2011 .......................................................................... $ 493 $3,495 $ 3,988
2012 .......................................................................... 752 1,998 2,750
2013 .......................................................................... 400 660 1,060
2014 .......................................................................... 132 423 555
2015 .......................................................................... 128 343 471
Thereafter ...................................................................... 3,506 — 3,506
$5,411 $6,919 $12,330
(a) GM Financial credit facilities and securitization notes payable are based on expected payoff date. Senior notes and convertible
senior notes principal amounts are based on maturity.
At December 31, 2010 future interest payments on automotive capital lease obligations was $564 million. GM Financial does not
have capital lease obligations at December 31, 2010.
Old GM
Secured Revolving Credit Facility, U.S. Term Loan and Secured Credit Facility
In March 2009 Old GM entered into an agreement to amend its $1.5 billion U.S. term loan. Because the terms of the amended U.S.
term loan were substantially different than the original terms, primarily due to the revised borrowing rate, Old GM accounted for the
amendment as a debt extinguishment. As a result, Old GM recorded the amended U.S. term loan at fair value and recorded a gain on
the extinguishment of the original loan facility of $906 million in the period January 1, 2009 through July 9, 2009.
194 General Motors Company 2010 Annual Report