US: GM pays $4bn into pension plans

By just-auto.com editorial team | 2 December 2010

General Motors Company on Thursday said it had made the previously announced voluntary US$4bn cash contribution to its United States hourly and salaried pension plans, with a $2.7bn contribution going to the hourly plan and $1.3 bn to the salaried plan.

"This pension contribution puts us another step closer to our goal of fully funding our pension plans and achieving minimal debt. With a healthy balance sheet, a lower cost structure and focus on revenue generation, we continue to put in place the fundamentals for sustainable success," CFO Chris Liddell said in a statement.

All of the company's US pension plans were last concurrently remeasured on 31 Decembe, 2009 for the 2009 Form 10-K and were underfunded by $17.1bn. The company will next remeasure all of its US pension plans at year end 2010 and their funded status will be included in the 2010 Form 10-K.

GM US pension plans currently provide benefits to approximately 688,000 participants.