GM to spend $1.4 billion to modernize Arlington SUV factory - Reuters
Though GM operates almost 400 factories around the world and sells vehicles in 120 countries under 11 different brands, the vehicles built in Arlington alone generate about $3 billion or more in profits annually, or almost half of GM's $6. 5... Each of Arlington's 3,800 hourly employees could take credit for earning the company about $800,000 a year in profit, though they get the same profit sharing checks as every other U. S. worker. GM shares are trading below their $33 a share initial public offering price, and the company is under pressure to prove to investors it can boost profits from North America to 10 percent of revenue or more. GM's global operating profit was 5. 8 percent of revenue in the first quarter, while North American profits were 8. 8 percent of revenue. One supplier source said the Detroit company has decided the next-generation big SUVs in 2019 will use more aluminum to reduce weight and boost fuel economy, which helps meet tougher federal fuel efficiency requirements and hedge against higher... The Chevrolet Tahoe, GMC Yukon and the Cadillac Escalade not long ago were symbols of the company's failure to respond to change. When GM was restructured in a government-funded bankruptcy, President Barack Obama and the company's leaders touted high-mileage cars such as the Chevrolet Volt hybrid as symbols of the U. S. auto industry's new direction. Source: www.reuters.com
