General Motors Co. And General Motors Financial Co. Inc. Upgraded To 'BBB' On Improved Performance, Outlook Stable - S&P Global Ratings’ Credit Research

General Motors Co. And General Motors Financial Co. Inc. Upgraded To 'BBB' On Improved Performance, Outlook Stable

General Motors Co. And General Motors Financial Co. Inc. Upgraded To 'BBB' On Improved Performance, Outlook Stable - S&P Global Ratings’ Credit Research
General Motors Co. And General Motors Financial Co. Inc. Upgraded To 'BBB' On Improved Performance, Outlook Stable
Published Jan 10, 2017
4 pages (1636 words) — Published Jan 10, 2017
Price US$ 150.00  |  Buy this Report Now

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Abstract:

General Motors Co.'s operational performance in recent months has exceeded our expectations and we believe that the company will likely maintain strong automotive cash flow and steady profitability in 2017 and 2018, albeit amidst slowing global automotive demand. We are upgrading General Motors Co. (GM) and its subsidiary General Motors Financial Co. Inc. (GMF) to 'BBB' from 'BBB-'. At the same time, we are raising our issue-level ratings on GM and GMF's debt to 'BBB' from 'BBB-'. The stable outlook reflects our expectation that GM will sustain EBIT margins of at least 10% in North America while generating steady automotive cash flows in China amidst increasing pricing pressure and plateauing conditions in its key markets over the next 12-24 months.

  
Brief Excerpt:

...+ General Motors Co.'s operational performance in recent months has exceeded our expectations and we believe that the company will likely maintain strong automotive cash flow and steady profitability in 2017 and 2018, albeit amidst slowing global automotive demand. + We are upgrading General Motors Co. (GM) and its subsidiary General Motors Financial Co. Inc. (GMF) to '###' from '###-'. + At the same time, we are raising our issue-level ratings on GM and GMF's debt to '###' from '###-'. + The stable outlook reflects our expectation that GM will sustain EBIT margins of at least 10% in North America while generating steady automotive cash flows in China amidst increasing pricing pressure and plateauing conditions in its key markets over the next 12-24 months. NEW YORK (S&P Global Ratings) Jan. 10, 2017--S&P Global Ratings said today that it has raised its corporate credit rating on General Motors Co. and its subsidiary General Motors Financial Co. Inc. (which we deem a core subsidiary) to...

  
Report Type:

Ratings Action

Issuer
GICS
Automobile Manufacturers (25102010)
Sector
Global Issuers, Structured Finance
Country
Region
Format:
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Cite this Report

  
MLA:
S&P Global Ratings’ Credit Research. "General Motors Co. And General Motors Financial Co. Inc. Upgraded To 'BBB' On Improved Performance, Outlook Stable" Jan 10, 2017. Alacra Store. May 12, 2025. <http://www.alacrastore.com/s-and-p-credit-research/General-Motors-Co-And-General-Motors-Financial-Co-Inc-Upgraded-To-BBB-On-Improved-Performance-Outlook-Stable-1782262>
  
APA:
S&P Global Ratings’ Credit Research. (). General Motors Co. And General Motors Financial Co. Inc. Upgraded To 'BBB' On Improved Performance, Outlook Stable Jan 10, 2017. New York, NY: Alacra Store. Retrieved May 12, 2025 from <http://www.alacrastore.com/s-and-p-credit-research/General-Motors-Co-And-General-Motors-Financial-Co-Inc-Upgraded-To-BBB-On-Improved-Performance-Outlook-Stable-1782262>
  
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