General Motors (GM) earned its highest profit ever last year. The 103-year-old company made $7.6 billion in 2011, up 62 percent from 2010.
Full-year revenue rose 11 percent to $105 billion.
North America led the way with a $7.2 billion pretax profit. But problems surfaced that could hurt future earnings: GM lost $700 million before taxes in Europe, and lost $100 million in South America.
GM’S fourth-quarter profit was flat with 2010. GM earned $500 million, or 28 cents per share. Revenue rose 3 percent to $38 billion. Before one-time items, GM earned 40 cents per share
GM plans to freeze salaried workers’ pensions
Analysts expected earnings of 42 cents on revenue of $37.9 billion.
The company says union workers will get $7,000 profit-sharing checks.
{The Associated Press/Matzav.com Newscenter}
They make the highest profits ever and freeze salaried workers’ pensions. Union workers, however, will share in the company’s good fortune by getting profit-sharing checks.
Looks like having a union to fight for you is good for your pocket-book. GM has to share its mountain of cash with some of the people who helped make it.
Is this maybe why some rich businessmen don’t like unions?