GM announces return of capital to shareholders
DETROIT, August 19, 2022 /PRNewswire/ — General Motors Co. (NYSE: GM) today announced that its board of directors has authorized the reinstatement of a quarterly cash dividend on the company’s outstanding common stock at a rate of $0.09 per share. The first dividend will be paid on September 15, 2022to shareholders of record at the close of business on August 31, 2022.
GM also announced that it would resume opportunistic stock buybacks. This week, the board increased capacity under the company’s existing buyback program to $5.0 billion of ordinary shares, up $3300,000,000 remaining previously under the program.
“GM is investing more than $35 billion through 2025 to advance our growth plan, including rapidly expanding our electric vehicle portfolio and building a national battery manufacturing infrastructure,” said Mary Barra, GM President and CEO. “Progress on these key strategic initiatives has improved our visibility and reinforced confidence in our ability to fund growth while returning capital to shareholders.”
Recent growth stages include:
- The most important investment announcement in the company’s history: more than $7 billion in four Michigan manufacturing sites, including a new Ultium Cells LLC plant in Lansingwhich will create 4,000 new jobs and retain 1,000
- The launches of the GMC HUMMER EV pickup and Cadillac LYRIQ, the first vehicles developed on GM’s Ultium platform
- Significant customer demand for the GMC HUMMER EV pickup and SUV, Cadillac LYRIQ and Chevrolet Silverado EV
- First customer deliveries for the BrightDrop Zevo 600 electric delivery vehicle, with volume commitments from leading companies including FedEx, Walmart, Verizon and Merchants Fleet
- The Ultium Cells factory in Warren, Ohio is ready to go live this month; significant construction progress has been made at Ultium Cells plants in Spring Hill, Tennesseeand Lansing, Mich.which will open in 2023 and 2024 respectively
- Together, these Ultium Cells plants are expected to create 6,000 construction jobs and 5,100 operations jobs when at full capacity, and the location of a fourth cell manufacturing plant in the United States will be announced shortly.
- The successful execution of binding agreements to secure all of the battery raw materials GM needs to ramp up electric vehicle production to more than one million units of annual capacity in North America by 2025
- The historic launch of a completely driverless commercial ride-sharing service in San Francisco by Cruise, the majority subsidiary of GM
“GM’s continued strong earnings, margins and cash flow, our superior balance sheet and the achievement of several important milestones in our growth strategy allow us to invest aggressively to accelerate our all-electric future while supporting returning excess free cash to shareholders, consistent with our long-term capital allocation strategy,” said Paul Jacobsonchief financial officer of GM.
GM suspended its quarterly dividend in April 2020 in response to uncertainty caused by the global coronavirus pandemic.
Caution Regarding Forward-Looking Statements: This press release contains forward-looking statements that represent our current judgment of possible future events. In making these statements, we rely on assumptions and analyzes based on our experience and our perception of historical trends, current conditions and expected future developments and other factors we consider appropriate in the circumstances. We believe these judgments are reasonable, but these statements are not guarantees of events or financial results, and our actual results may differ materially due to a variety of important factors, both positive and negative. A list and description of these factors can be found in our Annual Report on Form 10-K and our subsequent filings with the United States Securities and Exchange Commission. We caution readers not to place undue reliance on forward-looking statements. We undertake no obligation to publicly update or otherwise revise any forward-looking statements, whether as a result of new information, future events or other factors that affect the subject matter of such statements, except when we we are expressly required to do so by law.
General Engines (NYSE: GM) is a global company focused on advancing an all-electric future that is inclusive and accessible to everyone. At the heart of this strategy is the Ultium battery platform, which will power everything from consumer vehicles to high-performance vehicles. General Motors, its subsidiaries and joint ventures sell vehicles under the Chevy, Buick, GCM, Cadillac, baojun and Wuling brands. More information about the company and its subsidiaries, including OnStara global leader in vehicle safety and security services, can be found at https://www.gm.com.
SOURCE General Motors Co.