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GM Financial Posts Income of $51 Million in September Quarter

General Motors Financial Company Inc., formerly known as AmeriCredit Corp., reported net income of $51 million for the quarter ended Sept. 30, 2010.

by Staff
November 10, 2010
2 min to read


FORT WORTH, Texas — General Motors Financial Company Inc., formerly known as AmeriCredit Corp., reported net income of $51 million for the quarter ended Sept. 30, 2010.

Net income for the September quarter was adversely impacted by $43 million ($30 million after tax) of expenses directly related to the acquisition of the company by General Motors. The company reported net income of $26 million for the same period a year earlier.

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Originations were $959 million for the September quarter, compared to $906 million for the quarter ended June 30, 2010 and $229 million for the quarter ended Sept. 30, 2009. Finance receivables totaled $8.7 billion, compared to $10.0 billion at Sept. 30, 2009.

Annualized net charge-offs were 5.4 percent of average finance receivables for the September quarter, compared to 8.4 percent for the year-ago period.

Finance receivables 31-to-60 days delinquent were 6.2 percent of the portfolio in the September quarter, compared to 7.6 percent in the year-ago period. Accounts more than 60 days delinquent were 2.5 percent of the portfolio in the September quarter, compared to 3.8 percent in the year-ago period.

The allowance for loan losses as a percentage of finance receivables was 6.1 percent at Sept. 30, 2010, compared to 6.6 percent at June 30, 2010 and 8.2 percent at Sept. 30, 2009.

The company had total available liquidity of $856 million at Sept. 30, 2010, consisting of $538 million of unrestricted cash and approximately $318 million of borrowing capacity on unpledged eligible receivables.

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