General Motors 2011 Annual Report Download - page 29

GENERAL MOTORS COMPANY AND SUBSIDIARIES
Equity in Income of and Disposition of Interest in Ally Financial
Old GM
In the period January 1, 2009 through July 9, 2009 Equity in income of and disposition of interest in Ally Financial of $1.4 billion
included: (1) gain of $2.5 billion recorded on the UST’s conversion of the loan from the UST to purchase membership interests in
Ally Financial (UST Ally Financial Loan) for Class B Membership Interests in Ally Financial; partially offset by (2) Old GM’s
proportionate share of Ally Financial’s loss from operations on $1.1 billion.
Goodwill Impairment Charges
Goodwill impairment charges increased by $1.3 billion as we recorded charges of $1.0 billion and $0.3 billion in GME and GMIO.
Refer to Note 12 to our consolidated financial statements for additional information related to our Goodwill impairment charges.
Automotive Interest Expense
Successor Predecessor
Year Ended
December 31,
2011
Year Ended
December 31,
2010
July 10,
2009
Through
December 31, 2009
January 1,
2009
Through
July 9, 2009
Year Ended
2011 vs. 2010
Change
Amount %
Automotive interest expense .................... $540 $1,098 $694 $5,428 $(558) (50.8)%
GM
In the year ended December 31, 2011 Automotive interest expense decreased by $0.6 billion (or 50.8%) due primarily to:
(1) decreased interest expense related to the UST Credit Agreement, Canadian Loan and VEBA Notes of $0.3 billion in 2010 which
did not recur in 2011; and (2) decreased interest expense related to obligations with Ally Financial of $0.2 billion in 2010.
In the year ended December 31, 2010 Automotive interest expense included: (1) interest expense related to the UST Credit
Agreement, Canadian Loan and VEBA Notes of $0.3 billion; (2) interest expense on obligations due to Ally Financial of $0.2 billion;
and (3) interest expense on other debt obligations of $0.6 billion, which included amortization of debt discounts of $0.2 billion.
In the period July 10, 2009 through December 31, 2009 Automotive interest expense included: (1) interest expense related to the
UST Credit Agreement and Canadian Loan of $0.3 billion; (2) interest expense on obligations due to Ally Financial of $0.1 billion;
and (3) interest expense on other debt obligations of $0.3 billion, which included amortization of debt discounts of $0.1 billion.
Old GM
In the period January 1, 2009 through July 9, Automotive interest expense included: (1) discount amortization related to the UST
Loan Agreement and DIP Facility of $3.6 billion; (2) interest expense related to the UST Loan Agreement and DIP Facility of $0.4
billion; (3) interest expense related to the EDC Loan Facility of $0.2 billion; and (4) interest expense on other obligations of $1.2
billion related to Old GM’s debt obligations including unsecured and contingent convertible debt obligations. Old GM ceased
accruing and paying interest on most of its unsecured U.S. and foreign denominated debt on June 1, 2009 as a result of its Chapter 11
Proceedings.
Interest Income and Other Non-Operating Income, net
Successor Predecessor
Year Ended
December 31,
2011
Year Ended
December 31,
2010
July 10,
2009
Through
December 31, 2009
January 1,
2009
Through
July 9, 2009
Year Ended
2011 vs. 2010
Change
Amount %
Interest income and other non-operating income,
net ....................................... $851 $1,531 $375 $852 $(680) (44.4)%
General Motors Company 2011 Annual Report 27