General Motors 2014 Annual Report Download - page 120

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GENERAL MOTORS COMPANY AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
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, 2012 .............................................. $ 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 and effect of foreign currency ......................... (67) (7) — (11) (85)
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 and effect of foreign currency ......................... (32) 10 1 (4) (25)
Balance at December 31, 2013 (a) ........................................ 497 503 333 16 1,349
Additions, interest accretion and other ..................................... 42 675 213 83 1,013
Payments ........................................................... (96) (329) (342) (95) (862)
Revisions to estimates and effect of foreign currency ......................... 16 (98) (38) (2) (122)
Balance at December 31, 2014 (a) ........................................ $ 459 $ 751 $ 166 $ 2 $ 1,378
(a) The remaining cash payments related to these reserves for restructuring and other initiatives, including temporary layoff benefits of $354
million, $353 million and $356 million at December 31, 2014, 2013 and 2012 for GMNA, primarily relate to postemployment benefits to be
paid.
Year Ended December 31, 2014
Restructuring and other initiatives at GME primarily related to the termination of all vehicle and transmission production at our
Bochum, Germany facility. Through December 31, 2014 the active separation programs related to Germany had a total cost of $841
million and had affected a total of 3,560 employees. We completed the separation program at Bochum in December 2014.
Restructuring and other initiatives at GMIO primarily related to separation programs in Australia and Korea, the withdrawal of the
Chevrolet brand from Europe and the cessation of manufacturing in Australia. Through December 31, 2014 the active separation
programs related to Australia, Korea and Chevrolet Europe locations had a total cost of $514 million and affected a total of 3,380
employees. We expect to complete these programs in 2017 and incur additional restructuring and other charges of $270 million.
Restructuring and other initiatives at GMSA primarily related to completed separation programs in Brazil and an active separation
program in Venezuela and through December 31, 2014 had a total cost of $169 million.
Year Ended December 31, 2013
Restructuring and other initiatives primarily related to: (1) cash severance incentive programs for skilled trade U.S. hourly employees and
service cost for hourly layoff benefits at GMNA; (2) our plan to terminate all vehicle and transmission production at our Bochum, Germany
facility by the end of 2014 which had a total cost of $194 million and had affected a total of 450 employees at GME through December 31,
2013; (3) separation programs in Australia and Korea and programs related to the withdrawal of the Chevrolet brand from Europe, described
below, which had a total cost of $420 million and had affected a total of 4,100 employees at GMIO through December 31, 2013; and
(4) active separation programs in Brazil which had a total cost of $103 million at GMSA through December 31, 2013.
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