GM reports loss of $3.3 billion in first quarter

GM reported a loss of $3.3 billion for the first quarter of 2008 which the company said resulted due to plant shutdown, U.S. vehicle demand, supplier strikes and losses at GMAC. GM reported a $10-million loss in the same quarter last year.

Coming in with its third straight quarterly deficit, GM lost $5.74 per share which compares to a net loss of 7 cents per share, or $42 million loss, in the first quarter of 2007.

Strikes at American Axle & Manufacturing  Holdings Inc. cost the company’s North American operations $800 million. GM said the loss was also due to a huge shift away from trucks and SUVs in the U.S. market. GMAC lost $589 million in the first quarter.

GM bought in $24.5 billion in the North American market in the first quarter of 2008 as compared to $28.1 billion a year ago.


Source: Detroit News