General Motors 2015 Annual Report Download - page 102

Download and view the complete annual report

Please find page 102 of the 2015 General Motors annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 162

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156
  • 157
  • 158
  • 159
  • 160
  • 161
  • 162

Table of Contents


Basic and diluted earnings per share are computed by dividing Net income attributable to common stockholders by the weighted-average common shares
outstanding in the period. Diluted earnings per share is computed by giving effect to all potentially dilutive securities that are outstanding. The following
table summarizes basic and diluted earnings per share (in millions, except for per share amounts):





Net income attributable to stockholders $ 9,687
$ 3,949
$ 5,346
Less: cumulative dividends on preferred stock and charge related to redemption and purchase of
preferred stock(a)
(1,145)
(1,576)
Net income attributable to common stockholders $ 9,687
$ 2,804
$ 3,770
Weighted-average common shares outstanding 1,586
1,605
1,393
Basic earnings per common share $ 6.11
$ 1.75
$ 2.71

Net income attributable to common stockholders – basic $ 9,687
$ 2,804
$ 3,770
Add: preferred dividends to holders of Series B Preferred Stock
218
Less: earnings adjustment for dilutive stock compensation rights (1)
(18)
Net income attributable to common stockholders – diluted $ 9,686
$ 2,786
$ 3,988
Weighted-average common shares outstanding – basic 1,586
1,605
1,393
Dilutive effect of warrants and awards under stock incentive plans 54
82
149
Dilutive effect of conversion of Series B Preferred Stock
134
Weighted-average common shares outstanding – diluted 1,640
1,687
1,676
Diluted earnings per common share $ 5.91
$ 1.65
$ 2.38
__________
(a) Includes earned but undeclared dividends of $15 million on our Series A Preferred Stock in the year ended December 31, 2013.
Prior to the December 2013 conversion to common shares, the Series B Preferred Stock was a participating security and, as such, required the application of
the more dilutive of the two-class or if-converted method to calculate earnings per share when the applicable market value of our common stock was below or
above the range of $33.00 to $39.60 per common share. On the mandatory conversion date of our Series B Preferred Stock, December 1, 2013, the applicable
market value of our common stock was within the range of $33.00 to $39.60 per common share and, as such, we applied the if-converted method for purposes
of calculating diluted earnings per share in the year ended December 31, 2013. The impact on diluted earnings per share was an increase of $0.13 in the year
ended December 31, 2013 using the if-converted method as compared to the two-class method.
In the years ended December 31, 2015, 2014 and 2013 warrants to purchase 46 million shares were not included in the computation of diluted earnings per
share because the warrants' exercise price was greater than the average market price of the common shares.

Stock incentive plan awards outstanding at December 31, 2015 consist of awards granted under the 2014 Long-Term Incentive Plan, the 2009 Long-Term
Incentive Plan and the Salary Stock Plan. The 2014 Long-Term Incentive Plan was approved by stockholders in June 2014 and replaced the 2009 Long-Term
Incentive Plan and Salary Stock Plan. These plans are administered by the Executive Compensation Committee of our Board of Directors. The aggregate
number of shares with respect to which awards may be granted under the 2014 Long-Term Incentive Plan shall not exceed 60 million. In January 2014 we
amended the 2009 Long-Term Incentive Plan and the Salary Stock Plan to provide cash payment, on a going forward basis, of dividend equivalents upon
settlement to active employees and certain former employees with outstanding awards as of the amendment date.

We grant to certain employees RSUs, PSUs and stock options under our 2014 Long-Term Incentive Plan and, prior to our 2014 Long-Term Incentive Plan,
RSUs under our 2009 Long-Term Incentive Plan. Shares awarded under the plans are subject to forfeiture
98