General Motors 2011 Annual Report Download - page 13

GENERAL MOTORS COMPANY AND SUBSIDIARIES
In November and December of 2010 we consummated a public offering of 550 million shares of our common stock and 100 million
shares of Series B Preferred Stock and listed both of these securities on the New York Stock Exchange and the common stock on the
Toronto Stock Exchange. In April 2011 in connection with MLC’s distribution of warrants for our common stock to its unsecured
creditors, we listed the warrants expiring July 10, 2016 and the warrants expiring July 10, 2019 on the New York Stock Exchange.
Automotive
We offer a global vehicle portfolio of cars, crossovers and trucks. We are committed to leadership in vehicle design, quality,
reliability, telematics and infotainment and safety, as well as to developing key energy efficiency, energy diversity and advanced
propulsion technologies, including electric vehicles with range extending capabilities such as the Chevrolet Volt. Our business is
diversified across products and geographic markets. We meet the local sales and service needs of our retail and fleet customers with a
global network of independent dealers. Of our total 2011 vehicle sales volume, 72.3% was generated outside the U.S., including
43.4% from emerging markets, such as Brazil, Russia, India and China (collectively BRIC), which have recently experienced the
industry’s highest volume growth.
Our automotive business is organized into four geographically-based segments:
• GMNA, with sales, manufacturing and distribution operations in the U.S., Canada and Mexico and sales and distribution
operations in Central America and the Caribbean, represented 32.4% of our vehicle sales volume in 2011 and we had the
largest market share in this market at 18.4%.
• GME has sales, manufacturing and distribution operations across Western and Central Europe. GME’s vehicle sales volume,
which in addition to Western and Central Europe, includes Eastern Europe (including Russia and the other members of the
Commonwealth of Independent States among others) represented 19.2% of our vehicle sales volume in 2011. In 2011 we had
the number four market share in this market at 8.8%. GMIO distributes Chevrolet brand vehicles which, when sold in Europe,
are included in GME vehicle sales volume and market share data.
•GMIOhassales,manufacturinganddistributionoperationsinAsia-Pacific,EasternEurope(includingRussiaandtheother
members of the Commonwealth of Independent States among others), Africa and the Middle East. GMIO’s vehicle sales volume,
which includes Asia-Pacific, Africa and the Middle East is our largest segment by vehicle sales volume. GMIO represented
36.6% of our global vehicle sales volume including sales through our joint ventures in 2011. In 2011 we had the number two
market share for this market at 9.5% and the number one market share in China. In 2011 GMIO derived 77.1% of its vehicle sales
volume from China. GMIO records the financial results of Chevrolet brand vehicles that it distributes and sells in Europe.
• GMSA, with sales, manufacturing and distribution operations in Brazil, Argentina, Colombia, Ecuador and Venezuela as well
as sales and distribution operations in Bolivia, Chile, Paraguay, Peru and Uruguay represented 11.8% of our vehicle sales
volume in 2011. In 2011 we had the largest market share for this market at 18.8% and the number three market share in Brazil.
In 2011 GMSA derived 59.4% of its vehicle sales volume from Brazil.
Automotive Financing — GM Financial
GM Financial specializes in purchasing retail automobile installment sales contracts originated by GM and non-GM franchised and
select independent dealers in connection with the sale of used and new automobiles. GM Financial also offers lease products through
GM dealerships in connection with the sale of used and new automobiles that target customers with sub-prime and prime credit
bureau scores. GM Financial primarily generates revenue and cash flows through the purchase, retention, subsequent securitization
and servicing of finance receivables. To fund the acquisition of receivables prior to securitization, GM Financial uses available cash
and borrowings under its credit facilities. GM Financial earns finance charge income on finance receivables and pays interest expense
on borrowings under its credit facilities. GM Financial periodically transfers receivables to securitization trusts that issue asset-backed
securities to investors. The securitization trusts are special purpose entities (SPEs) that are also variable interest entities that meet the
requirements to be consolidated in the financial statements.
General Motors Company 2011 Annual Report 11