General Motors 2012 Annual Report Download - page 56

GENERAL MOTORS COMPANY AND SUBSIDIARIES
The maximum potential amount of future payments required to be made to Ally Financial under this guarantee would be based on
the repurchase value of total eligible vehicles financed by Ally Financial in dealer stock and is estimated to be $22.1 billion and
$19.0 billion at December 31, 2012 and 2011. If vehicles are required to be repurchased under this arrangement, the total exposure
would be reduced to the extent vehicles are able to be resold to another dealer or at auction. The fair value of the guarantee was $15
million and $17 million at December 31, 2012 and 2011 which considers the likelihood of dealers terminating and estimating the loss
exposure for the ultimate disposition of vehicles.
Refer to Notes 20 and 27 to our consolidated financial statements for additional information on guarantees we have provided.
Contractual Obligations and Other Long-Term Liabilities
We have the following minimum commitments under contractual obligations, including purchase obligations. A purchase
obligation is defined as an agreement to purchase goods or services that is enforceable and legally binding on us and that specifies all
significant terms, including: fixed or minimum quantities to be purchased; fixed, minimum, or variable price provisions; and the
approximate timing of the transaction. Other long-term liabilities are defined as long-term liabilities that are recorded on our
consolidated balance sheet. Based on this definition, the following table includes only those contracts which include fixed or
minimum obligations. The majority of our purchases are not included in the table as they are made under purchase orders which are
requirements based and accordingly do not specify minimum quantities.
The following table summarizes aggregated information about our outstanding contractual obligations and other long-term
liabilities at December 31, 2012 (dollars in millions):
Payments Due by Period
2013 2014-2015 2016-2017 2018 and after Total
Automotive debt (a) ............................................. $ 1,117 $ 559 $1,422 $ 2,064 $ 5,162
Automotive Financing debt (b) .................................... 3,760 4,096 2,511 500 10,867
Capital lease obligations ......................................... 172 229 332 305 1,038
Automotive interest payments (c) .................................. 145 620 350 263 1,378
Automotive Financing interest payments (d) ......................... 263 346 173 14 796
Postretirement benefits (e) ........................................ 277 490 26 — 793
Contractual commitments for capital expenditures ..................... 530 7 — — 537
Operating lease obligations (f) .................................... 340 457 225 316 1,338
Other contractual commitments:
Material .................................................... 613 378 204 80 1,275
Marketing .................................................. 1,008 808 256 283 2,355
Rental car repurchases ......................................... 3,293 — — — 3,293
Policy, product warranty and recall campaigns liability ............... 3,059 3,202 917 208 7,386
Other ...................................................... 1,380 215 64 513 2,172
Total contractual commitments (g)(h)(i) ............................. $15,957 $11,407 $6,480 $ 4,546 $38,390
Non-contractual postretirement benefits (j) .......................... $ 207 $ 381 $ 831 $13,275 $14,694
(a) Projected future payments on lines of credit were based on amounts drawn at December 31, 2012.
(b) GM Financial credit facilities and securitization notes payable have been classified based on expected payoff date. Senior notes
principal amounts have been classified based on maturity date.
(c) Amounts include Automotive interest payments based on contractual terms and current interest rates on our debt and capital lease
obligations. Automotive interest payments based on variable interest rates were determined using the interest rate in effect at
December 31, 2012.
General Motors Company 2012 ANNUAL REPORT 53