Promising Year for General Motors Company (NYSE:GM)

Northern, WI 1/14/2013 (avauncer) - The year 2013 looks promising for General Motors Company (NYSE:GM) following the sales of the stake of the US treasury and a credit rate upgrading. The automobile giant hopes to leave the stigma associated with its resurrection from bankruptcy in 2009 behind. The treasurer of General Motors Company(NYSE:GM), James Davlin in a conference for automobile analysts said that the company would no longer be referred to as ‘Government Motors’. He hopes that people will focus on more important thing like their underlying operations instead of the uneventful incidents of the past.

The US treasury has charted out a plan to sell the stakes in a span of 12 to 15 months. Treasurer Davlin pointed out figures in support of CEO  Dan Akerson’s claim that the company would acquire of investment-grade credit rating in 2013. Davlin pointed out their current financial cushion, their strength in the world’s leading automobile markets, China and USA and the company’s eleven quarter streak of profits. Davlin hopes to maintain liquidity that would get them through the movements of the industry.

The market value of   General Motors Company(NYSE:GM) suffered until recently without any certainty of how the US Treasury would handle the shares. However with the announcement of a formal exit plan, the value of the company’s shared have surged by 20 percent. In spite of  these positive steps, General Motors Company(NYSE:GM) is still struggling to hold its stand in the highly competitive European market where its primary brands are Opel and Vauxhall. They have even decided to close their assembly plant in Germany.

Davlin also predicts that the US Dollar will rise against the Japanese yen and the Euro which means that they will have to convert their overseas earnings into Euros. Davlin also mentioned that a stable economy is expected in the US in the coming year.

The shares of General Motors Company(NYSE:GM)  were down by -0.19 % and closed at $21.13.