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GM poised for revamp

Saturday 17 October 1992 18:02 EDT
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GENERAL MOTORS, the world's largest car maker, is expected to announce a major restructuring after rumours last week that it would be forced to file for Chapter 11 bankruptcy protection. The company denied the rumours but said it would lose up to dollars 845m in the third quarter, only a small improvement on the dollars 1bn it lost a year ago.

To show it is taking steps to improve its performance, GM will almost certainly announce drastic measures. These may include the departure of its chairman, Bob Stempel, and a radical restructuring, It has already announced plans to cut 74,000 jobs over the next three years and close 21 factories.

GM is expected to lose up to dollars 5bn this year, compared with dollars 7.1bn last year.

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