General Motors 2014 Annual Report Download - page 116

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GENERAL MOTORS COMPANY AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
In November 2014 the Korean government released new fuel economy certification guidelines. We are reviewing the impact the
new testing guidelines may have on the domestic fuel economy certification ratings of our products.
India Tavera Emissions Compliance
We determined there was an emissions compliance issue with certain Tavera models produced in India. We self-reported this issue
in the three months ended September 30, 2013 to local government authorities and are continuing to cooperate. We developed a
solution, and while the issue was not safety related, we voluntarily recalled the vehicles to serve our customers. We believe our
accrual at December 31, 2014 is adequate to cover the estimated costs of the recalled vehicles.
Noncancelable Operating Leases
The following table summarizes our minimum commitments under noncancelable operating leases having initial terms in excess of
one year, primarily for property (dollars in millions):
2015 2016 2017 2018 2019 Thereafter
Minimum commitments (a) ..................................... $ 348 $ 280 $ 196 $ 171 $ 144 $ 396
Sublease income .............................................. (53) (62) (59) (56) (54) (248)
Net minimum commitments ..................................... $ 295 $ 218 $ 137 $ 115 $ 90 $ 148
(a) Certain of the leases contain escalation clauses and renewal or purchase options.
Rental expense under operating leases was $444 million, $477 million and $474 million in the years ended December 31, 2014,
2013 and 2012.
Note 18. Income Taxes
The following table summarizes income (loss) before income taxes and equity income (dollars in millions):
Years Ended December 31,
2014 2013 2012
U.S. income (loss) ................................................................. $ 1,683 $ 4,880 $(19,063)
Non-U.S. income (loss) ............................................................. 469 768 (11,194)
Income (loss) before income taxes and equity income ..................................... $ 2,152 $ 5,648 $(30,257)
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