Late Friday in an SEC filing, General Motors Company said that it will make its initial public offering of stock by July 10 of next year, or one year after its emergence from bankruptcy protection by a Federal Court in New York. In the interim CEO Fritz Henderson is being paid $105,000 a month starting back in January of 2009.
The filing contained no financial results for the second quarter, and the company said they would not be provided until after the third quarter of this year.
Sales declined 19% in the U.S. in July and, with the exception of Asia, GM is struggling to hold marketshare globally. How the company is performing is critical to the valuation of the shares issued, but the lack of public financial data that conforms to generally accepted accounting principles will make an assessment difficult for outsiders. GM is a private company and therefore not subject to the same filing requirements as publicly held companies under the Securities Exchange Act of 1934.
“Today’s disclosures are consistent with our commitment to remain transparent and to keep the public informed of our progress,” said Fritz Henderson, GM president and CEO in a statement.
The company will continue to file “certain information” with the SEC about material business matters, as well as provide certain disclosures about the company’s financial status and key indicators of the company’s progress.
The company is now authorized to issue 2.5 billion shares of common stock, an order of magnitude higher than the old number of common shares outstanding, which finished trading at less than $1 per share.