General Motors, the world's largest car maker, today reported a 51 per cent drop in fourth-quarter profits, hurt by continuing losses in Europe and a slowdown in sales from its core North American market.
Detroit-based GM said earnings dropped to $609 million, or $1.15 per share, in the fourth quarter, before one-time charges totaling $520 million, versus earnings of $1.3 billion, or $1.95 per share, in the previous-year quarter.
The fourth-quarter charges included $939 million to cover costs associated with the phase-out of its 103-year old Oldsmobile brand, and $713 million to cover job cuts and plant closings in North America and Europe.
The company also reported a fourth-quarter after-tax gain of $1.132 billion on the previously announced sale of a Hughes Electronics satellite unit to Boeing.
The results beat Wall Street forecasts of $1.12 per share, according to market research firm First Call/Thomson Financial.