P&A Providers & Administrators
MenuMENU
SearchSEARCH

GM Chief Akerson Buys Shares Before Decline to Low Since Automaker’s IPO

August 10, 2011
3 min to read


General Motors Co. Chief Executive Officer Dan Akerson purchased $250,500 in shares of the automaker, a day before the company fell to a new low.


Akerson bought 10,000 shares yesterday at $25.05, Detroit- based GM said in a regulatory filing. Akerson, 62, owns 103,600 shares after the purchase, today’s filing said.

Ad Loading...


The stock-market rout that sent the Dow Jones Industrial Average to its lowest since September 2010 helped send GM shares a new closing low in New York Stock Exchange composite trading since the automaker’s November initial public offering. GM fell $1.62, or 6.3 percent, to $23.92 as of 4:15 p.m, according to Bloomberg.


Akerson, GM’s CEO since September, said yesterday he was unsure whether “turmoil” in the securities markets may discourage consumers from buying new vehicles. The largest U.S. automaker has forecast at least 13 million new-vehicle sales in 2011, including medium- and heavy-duty trucks.


“We’re a little unsure of these numbers,” Akerson said at a conference with analysts yesterday. “When the market does recover, we should be able to really leverage it beyond what you’ve seen so far since our IPO.”


Akerson’s purchase of GM stock is the second in less than three months. He bought $939,900 in shares of the automaker on May 11, when GM traded at $31.33, according to a filing the following day.


GM will benefit from moves to cut costs planned for the next decade, Akerson and other executives said yesterday.

Ad Loading...

Dan Ammann, GM’s chief financial officer, said frequent changes to the automaker’s product plan waste $1 billion a year. Canceling or delaying product programs adds to engineering costs because GM has to pay more to suppliers when orders change, Ammann said during a presentation.


GM plans to reduce the number of architectures that its vehicles are built from to 14 by 2018, from 30 in 2010. The number of engine platforms will be cut by about half in the next decade, according to a slideshow presentation.


GM may be able to improve its profit margins by 2.3 percentage points from last year to 7.4 percent by 2015, Barclays Capital analyst Brian Johnson said today in a research note. GM didn’t commit to a specific margin target, said Johnson, who rates GM “overweight” and is based in New York.


At today’s closing price, the value of the U.S. Treasury Department’s stake in GM has plunged $7.53 billion since Jan. 7. GM shares closed that day at $38.98, the highest since the IPO.


Treasury holds more than 500 million shares, making it GM’s largest owner. The government’s stake is worth $12 billion, down from $19.5 billion as of Jan. 7.

Ad Loading...


The U.S. Treasury took a 61 percent stake in GM as part of its $49.5 billion bailout of the automaker. The Treasury sold $13.6 billion worth of stock in the November IPO.

More Industry

Photo of white Ford F-10 pickup parked on a dirtl road next to a body of water and with a fishing boat hitched to it
Industryby Hannah MitchellJune 16, 2026

Texas vs. California

The state known for its pickups penchant threatens to overtake the traditional center of U.S. car culture as it grows sales of new vehicles and pays more for them.

Read More →
Toyota Sienna car driving down road.
Industryby Lauren LawrenceJune 16, 2026

Hybrids Record Highest Annual Mileage

A new study shows that conventional hybrids are the most heavily driven vehicles on the road, while plug-in hybrids are the least-driven power train.

Read More →
Graphic of used vehicle volume index
Industryby StaffJune 16, 2026

Black Book: Weekly Market Update

Last week's wholesale vehicle auction activity reflected seasonal patterns as buyers stayed choosy about selections, analysts reported.

Read More →
Ad Loading...
Photo of the back of an electric Mercedes
Industryby Hannah MitchellJune 10, 2026

Auto Prices Ride May Moderation

Flat ATPs and asking prices clocked in below long-term averages for the month, though some segments saw significant price gains, reported Cox Automotive.

Read More →
Photo of white Toyota car in front of dealership
Industryby Hannah MitchellJune 9, 2026

Auto Retail Families Get Out While the Getting’s Good

Kerrigan Advisors’ first-quarter Blue Sky Report shows a sharp uptick in buy-sell deals as more retailers take advantage of handsome values while seeking to escape market risk.

Read More →
daytime, front of car dealership Lexus of Vancouver
Industryby Lauren LawrenceJune 3, 2026

Holman Opens New Lexus Dealership

Located in the heart of Clark County, Lexus of Vancouver features a multi-level showroom, more than 30 service bays, an indoor drive for drop-off and pick-up and a fleet of courtesy vehicles.

Read More →
Ad Loading...
Subwoofer in trunk of car.
Industryby Lauren LawrenceMay 26, 2026

Ownership Priorities are Shifting

A new survey shows that in the U.S. vehicle quality for generation Z is largely defined by advanced safety features, intuitive technology and premium sound systems.

Read More →
Man's hand holding gas pump in fuel tank of white car
Industryby Hannah MitchellMay 26, 2026

Pump Price Jump Calculated

ISeeCars.com examined fuel costs for different power trains, finding which ones have experienced the biggest hits since the war in Iran commenced.

Read More →
Graphic showing previous week's truck and SUV segment prices
Industryby StaffMay 20, 2026

Black Book: Weekly Market Update

Wholesale values fell last week despite the spring season still being in the traditional full-gear mode, analysts said.

Read More →
Ad Loading...
Photo of dealership sign with Toyota logo
Industryby Lauren LawrenceMay 19, 2026

Arkansas Auto Group Acquires First Indiana Rooftop

Performance Brokerage Services represented both the buyer and seller in the sale of Carver Toyota of Columbus by Carlock Automotive Group.

Read More →