Bulletin: General Motors Co. Ratings Unaffected By The Announcement Of Activist Shareholder Proposals

NEW YORK (Standard&Poor's) Feb. 11, 2015--Standard&Poor's Ratings Services said today that its 'BBB-' corporate credit rating and stable outlook on General Motors Co. (GM) are not immediately affected by activist shareholder proposals that, according to company reports, include the nomination of a new member to the board of directors and the potential for $8 billion of share repurchases by mid 2016 (on or before the first anniversary of the 2015 annual meeting). Investor activism can be detrimental to credit quality, but we are not taking a rating action on GM at this time because the company's intentions have not yet been made clear. We will continue to monitor any developments closely, as it is uncertain at

...NEW YORK (Standard & Poor's) Feb. 11, 2015--Standard & Poor's Ratings Services said today that its '###-' corporate credit rating and stable outlook on General Motors Co. (GM) are not immediately affected by activist shareholder proposals that, according to company reports, include the nomination of a new member to the board of directors and the potential for $8 billion of share repurchases by mid 2016 (on or before the first anniversary of the 2015 annual meeting). Investor activism can be detrimental to credit quality, but we are not taking a rating action on GM at this time because the company's intentions have not yet been made clear. We will continue to monitor any developments closely, as it is uncertain at this point what, if any, initiatives the company will pursue. GM announced on Feb. 10 that, as it gets more clarity on several open items related to recalls, it expects to continue to evaluate further return of capital to shareholders as soon as the second half of this year. We...

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