Everyone was all smiles at the opening of talks, UAW's Cindy Estrada noted GM's better-than-expected Q2 profits: a reminder the union is looking for raises.

Ever since General Motors went bankrupt in 2009, GM and the United Auto Workers have made a concerted effort to make nice.

The company and the union have put aside the years of antagonistic relations and built a new relationship. GM Chief Executive Mary Barra, whose father was a union member for years, has clearly stated that she values good relations with the UAW.

Cathy Clegg, GM’s vice president of labor relations, has credited the union with helping to boost the quality of GM’s vehicles and the company has made several announcements during the winter and spring that highlighted the company’s commitment to investing in American jobs and American workers.

However, the union is also expecting a pay raise for its workers during this year’s bargaining with GM and wasn’t about to let the announcement of better-than-expected earnings go without letting the company know they have clear designs on the company’s profits.

GM posted net income of $1.1 billion, or $0.67 per share, which included a $1.1 billion loss from special items before tax, or 62 cents per share, related to the difficulties in South America. Earnings before interest and taxes (EBIT) adjusted increased to $2.9 billion and EBIT-adjusted margin grew to 7.5%.

UAW vice president Cindy Estrada, who opened negotiations with the GM last week, was quick to note that GM cannot claim poverty when the negotiations began to intensify over the next few weeks.

“Today’s higher than forecasted earnings announcement once again show that the hard work and sacrifices of UAW members during the tough economic times have led to a much brighter future for General Motors,” Estrada said.

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“This once again demonstrates that when we work together, we win together,” she added, underscoring the union’s position on sharing the company recent prosperity.

Estrada has said she would consider a strike a failure. But the ban on strikes at GM that was part of the GM’s federal bailout ends when the current contract expires in September.

(Click Here for details about GM-UAW contract negotiations.)

GM’s net revenue in the second quarter of 2015 was $38.2 billion, compared to $39.6 billion in the second quarter of 2014. The change in revenue is more than attributed to a negative net foreign currency exchange impact, GM said.

“The first two quarters of the year were strong as we fully capitalized on a robust North American industry and maintained our strength in China, despite the challenging conditions in the market,” said Barra.

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“We said our goal was to improve our earnings and margins this year, and we are on-plan. Consistent with that, we believe our results in the second half of the year will be even better than the first half, and we’re confident we will meet our 2016 targets,” she added.

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