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GENERAL MOTORS COMPANY AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
Note 19. Restructuring and Other Initiatives
We have previously executed various restructuring and other initiatives and we plan to execute additional initiatives in the future, if
necessary, in order to align manufacturing capacity and other costs with prevailing global automotive production and to improve the
utilization of remaining facilities. To the extent these programs involve voluntary separations, no liabilities are generally recorded
until offers to employees are accepted. If employees are involuntarily terminated, a liability is generally recorded at the
communication date. Related charges are recorded in Automotive cost of sales and Automotive selling, general and administrative
expense.
The following table summarizes the reserves related to restructuring and other initiatives and charges by segment, including
postemployment benefit reserves and charges (dollars in millions):
GMNA GME GMIO GMSA Total
Balance at January 1, 2011 (a) ......................................... $ 1,135 $ 664 $ 3$—$1,802
Additions, interest accretion and other ................................... 104 449 — 81 634
Payments .......................................................... (366) (395) (2) (68) (831)
Revisions to estimates ................................................ 19 (9) — — 10
Effect of foreign currency ............................................. (8) (22) — (1) (31)
Balance at December 31, 2011 (a) ...................................... 884 687 1 12 1,584
Additions, interest accretion and other ................................... 140 254 84 92 570
Payments .......................................................... (304) (344) (46) (55) (749)
Revisions to estimates ................................................ (78) (17) (1) (11) (107)
Effect of foreign currency ............................................. 11 10 1 — 22
Balance at December 31, 2012 (a) ...................................... 653 590 39 38 1,320
Additions, interest accretion and other ................................... 58 202 404 50 714
Payments .......................................................... (182) (299) (111) (68) (660)
Revisions to estimates ................................................ (16) (9) (3) (1) (29)
Effect of foreign currency ............................................. (16) 19 4 (3) 4
Balance at December 31, 2013 (a) ...................................... $ 497 $ 503 $ 333 $ 16 $ 1,349
(a) The remaining cash payments related to these reserves for restructuring and other initiatives, including temporary layoff benefits of $353
million, $356 million and $376 million at December 31, 2013, 2012 and 2011 for GMNA, primarily relate to postemployment benefits to be
paid.
Year Ended December 31, 2013
GMNA recorded charges, interest accretion and other and revisions to estimates primarily related to cash severance incentive
programs for skilled trade U.S. hourly employees and service cost for hourly layoff benefits. Due to the expected closure of the
Oshawa Consolidated Plant in December 2016, affected employees will be eligible for a voluntary restructuring separation incentive
program in accordance with the existing collective bargaining agreement that provides cash and a car voucher. During 2013 some of
the affected employees separated and the related costs were recorded.
GME recorded charges, interest accretion and other and revisions to estimates primarily related to our plan to terminate all vehicle
and transmission production at our Bochum, Germany facility by the end of 2014. Through December 31, 2013 the active separation
programs related to Germany had a total cost of $194 million and had affected a total of 450 employees. We expect to complete these
programs in 2014 and incur additional charges of $650 million, which will affect an additional 3,300 employees.
GMIO recorded charges, interest accretion and other and revisions to estimates for separation programs in Australia and Korea and
programs related to the withdrawal of the Chevrolet brand from Europe described below. Through December 31, 2013 the active
112
2013 ANNUAL REPORT