We believe that such a transaction would strengthen the credit ratings for GMAC and therefore make a much better environment for running a financial-services organization.
Quotes about gmac (15 Quotes)
The cash infusion stemming from a potential GMAC sale would give GM additional financial flexibility, though clearly at the expense of earnings power.
One of the likely sticking points in the pending sale of GMAC may well be resolution on Delphi, further emphasizing GM's interest in avoiding a labor dispute.
This 'hand-in-glove' working relationship between GM Auto and GMAC provides ample benefits to our dealers and our stockholders, and is critical to our ability to compete in the marketplace,
GMAC allows you to choose the level of rental cover required - its standard is 125 per cent of the mortgage interest, but if you pay a higher arrangement fee, you can get that down to just 100 per cent.
These potential actions are intended to restore GMAC's investment-grade credit rating and to renew its access to low-cost funding, ... In addition, these actions are designed to preserve and to grow the synergies between GM and GMAC, especially cost-effective auto financing, and sustaining GMAC's diversified earnings growth.
We are exploring how we would attain a separate rating for GMAC. We would probably look at and evaluate any and all options that would lead to that, ... Whether we would pursue those options, I don't know, but certainly we want to know what those options are.
Comments today at the Geneva auto show that General Motors is in no rush to sell GMAC, and that a sale is not necessary before next year, suggest the sale process has stalled.
We doubt a buyer gets in front of risk that a strike cripples GM North America. UAW negotiations tend to go down to the wire -- now March 31 -- so a GMAC sale is harder to envision before sometime in the second quarter.
Getting rid of GMAC wouldn't get GM itself back to profitability but what it would do is buy them some time and that's critical in this business. They need some time to get some decent product to the marketplace.
Plans to sell a controlling GMAC stake would likely boost credit ratings and cut funding costs, ... divert earnings from GM.
His motivation was to unlock that equity in GMAC. Rumor has it that it's not going well.
This winter GMAC rate incentive provides GM Certified customers with excellent value and affordable financing rates on some of our most popular vehicles. GM Certified Used Vehicles continues to lead the certified pre-owned category in delivering top-quality, low-mileage, fully inspected and reconditioned vehicles that help build consumer confidence in GM products.
The bonds had a little bit of a run-up over the week, which I thought was probably a little overdone. They're still facing the same problems. In the short term they need to sell a controlling stake in GMAC, get the cash of 10 billion or more, and then resolve the Delphi situation.
GMAC bondholders would be delighted to see a transaction of some sort take place and ecstatic if it were investment grade.