GM Prices $2.5 Billion of Senior Unsecured Notes

News provided by

Nov 04, 2014, 05:06 ET

DETROIT, Nov. 4, 2014 /PRNewswire/ -- General Motors Co. (NYSE: GM) announced today the pricing of three series of senior unsecured notes for a total of $2.5 billion. These notes include $500 million of 4.00 percent notes due in 2025, $750 million of 5.00 percent notes due in 2035 and $1.25 billion of 5.20 percent notes due in 2045. The offering is expected to settle on Nov. 12, 2014.

GM intends to use the net proceeds from the sale of the notes toward the expected redemption of the Series A Preferred Shares on or after December 31, 2014 and, to the extent not used for the expected redemption, for general corporate uses.

"Favorable market conditions made now the appropriate time to add liquidity to further strengthen our fortress balance sheet and improve our financial flexibility," said Chuck Stevens, GM executive vice president and chief financial officer.

GM has filed a registration statement, including a prospectus and preliminary prospectus supplement, with the SEC for the offering to which this communication relates. Prospective investors should read the prospectus in that registration statement, the preliminary prospectus supplement and the other documents that GM has filed with the SEC for more complete information about GM and this offering. The documents are available for free by visiting EDGAR on the SEC Web site at www.sec.gov. Alternatively, copies of the preliminary prospectus supplement and the accompanying prospectus may be obtained by contacting the joint book-running managers at J.P. Morgan Securities LLC, 383 Madison Avenue, New York, NY. 10179, Attention: Investment Grade Syndicate Desk, Goldman, Sachs & Co., 200 West Street, New York, NY. 10282, Attention: Prospectus Department, or by calling (866) 471-2526 or (212) 834-4533, or Morgan Stanley & Co. LLC, 180 Varick Street, New York, NY. 10014, Attention: Prospectus Department, or by calling (866) 718-1649.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities, in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. Any offer or sale of these securities will be made only by means of a prospectus, including a prospectus supplement, forming a part of the related registration statement.

General Motors Co. (NYSE:GM, TSX: GMM) and its partners produce vehicles in 30 countries, and the company has leadership positions in the world's largest and fastest-growing automotive markets. GM, its subsidiaries and joint venture entities sell vehicles under the Chevrolet, Cadillac, Baojun, Buick, GMC, Holden, Jiefang, Opel, Vauxhall and Wuling brands.

Forward-Looking Statements

In this press release and in related comments by our management, our use of the words "plans," "expect," "anticipate," "possible," "potential," "target," "believe," "commit," "intend," "continue," "may," "would," "could," "should," "project," "appears," "projected," "potential," "positioned," "outlook," "upside" or similar expressions is intended to identify forward-looking statements that represent our current judgment about possible future events. We believe these judgments are reasonable, but these statements are not guarantees of any events or financial results, and our actual results may differ materially due to a variety of important factors. Among other items, such factors may include: our ability to realize production efficiencies and to achieve reductions in costs as a result of our restructuring initiatives and labor modifications; our ability to maintain quality control over our vehicles and avoid material vehicle recalls and the cost and effect on our reputation of product recalls; our ability to maintain adequate financing sources, including as required to fund our planned significant investment in new technology; our ability to successfully integrate Ally Financial's International Operations; the ability of our suppliers to timely deliver parts, components and systems; our ability to realize successful vehicle applications of new technology; overall strength and stability of our markets, particularly outside of North America and China; costs and risks associated with litigation and government investigations including those related to our recent recalls; our ability to remain competitive in Korea and our ability to continue to attract new customers, particularly for our new products. GM's most recent annual report on Form 10-K and quarterly reports on Form 10-Q provides information about these and other factors, which we may revise or supplement in future reports to the SEC.

SOURCE General Motors