GM has said that it does not need US$2bn of funding for March that it had previously requested from the US government.
The company said in a statement that it had advised the Presidential Task Force on the auto industry that the US$2bn requested for March ‘would not be needed at this time’.
It also said that ‘this development reflects the acceleration of GM’s company-wide cost reduction efforts as well as pro-active deferrals of spending previously anticipated in January and February’.
GM also said it will remain in regular contact with the Presidential Task Force on the status of GM’s restructuring actions, its liquidity position, timing of future funding requests, and other relevant topics of mutual concern.
GM faces a March 31 deadline to demonstrate viability to the US government and is pushing for concessions from the UAW and bondholders to bolster its case.
