General Motors 2011 Annual Report Download - page 34

GENERAL MOTORS COMPANY AND SUBSIDIARIES
Automotive
Current Assets
Marketable securities increased by $10.6 billion (or 190.7%) due to our improved liquidity primarily related to positive operating
cash flows and proceeds received from the sale of our investments in New Delphi and Ally Financial.
Restricted cash and marketable securities decreased by $1.0 billion (or 83.4%) due primarily to the release of restricted cash escrow
funds of $1.0 billion, of which $0.8 billion was used to fund a payment to the HCT and the $0.2 billion remaining funds held in
escrow were no longer subject to restrictions and released to us.
Accounts and notes receivable increased by $1.3 billion (or 14.4%) due primarily to: (1) the termination and modification of
wholesale advance agreements with Ally Financial in GMNA, which provided for accelerated receipt of payment on dealer sales
financed through Ally Financial of $1.1 billion; and (2) increase of $0.2 billion due to increased sales volume.
Inventories increased by $2.2 billion (or 18.1%) due primarily to: (1) increased raw materials and finished products of $2.4 billion
in anticipation of forecasted demand, new product launches and vehicles returned from lease and not yet sold at auction; partially
offset by (2) net foreign currency translation of $0.4 billion due to the weakening of major currencies against the U.S. Dollar.
Non-Current Assets
Equity in net assets of nonconsolidated affiliates decreased by $1.7 billion (or 20.4%) due primarily to: (1) a decrease of $2.0
billion resulting from the sale of our interest in New Delphi; and (2) dividends declared in 2011 of $1.4 billion primarily by the China
JVs; partially offset by (3) equity income of $1.5 billion related to our China JVs.
Property, net increased by $3.7 billion (or 19.4%) due primarily to: (1) capital expenditures of $7.8 billion; and (2) new capital
leases of $0.4 billion; partially offset by (3) depreciation of $3.7 billion; (4) net foreign currency translation of $0.5 billion due to the
weakening of major currencies against the U.S. Dollar; (5) decreases of $0.2 billion associated with disposals; and (6) decreases of
$0.1 billion associated with the deconsolidation of VM Motori (VMM).
Goodwill decreased by $2.8 billion (or 9.1%) due primarily to: (1) impairment charges of $1.5 billion in GME recorded in retained
earnings; and (2) impairment charges of $1.3 billion in GME and GMIO.
Intangible assets, net decreased by $1.9 billion (or 15.7%) due primarily to: (1) amortization of $1.8 billion; and (2) net foreign
currency translation of $0.1 billion due to the weakening of major currencies against the U.S. Dollar.
Other assets and deferred income taxes decreased by $0.7 billion (or 19.3%) due primarily to: (1) the sale of our investment in Ally
Financial preferred stock of $0.7 billion; and (2) the impairment of our investment in Ally Financial common stock of $0.6 billion;
partially offset by (3) an increase in net deferred tax assets of $0.2 billion; and (4) an increase in derivative assets of $0.1 billion.
Current Liabilities
Accounts payable increased by $3.0 billion (or 13.9%) due primarily to: (1) higher payables of $1.9 billion for materials due to
increased production volumes and higher production costs; (2) an increase in accounts payable for capital projects of $1.4 billion as
we prepare for new vehicle launches; and (3) an increase in engineering and product development payables of $0.1 billion; partially
offset by (4) net foreign currency translation of $0.8 billion due to the weakening of major currencies against the U.S. Dollar.
Short-term debt and current portion of long-term debt increased by $0.1 billion (or 4.1%) due primarily to: (1) reclassifications
from long-term debt to short-term debt for payments to be made in the next 12 months of $1.0 billion; and (2) net increases to short-
term facilities with original maturities less than 90 days of $0.1 billion; partially offset by (3) payments on debt of $1.1 billion.
32 General Motors Company 2011 Annual Report