For more than four years now, General Motors has been systematically and successfully executing a plan to grow profitably around the world:
All of this investment has given us solid momentum. As you can read in this report and in our annual report to stockholders, we have launched some of the best-designed and highest quality vehicles in our history.
From 2010 to 2013, we also generated almost $600 billion in revenue, earned more than $30 billion after interest and taxes (adjusted for special items) and had more than $17 billion in adjusted free cash flow.
In addition, we passed several important milestones. In 2013, Standard & Poor’s restored us to the S&P 500 Index, which opened the door to new investors, including index mutual funds. Moody’s Investors Service elevated GM to investment grade status. Finally, the U.S. Treasury sold its remaining stake in the company, and we will be forever grateful for the extraordinary assistance we received.
All of these investments and milestones suggest that GM is a healthy company. That is certainly true. But what makes us a vibrant and exciting company is the way our culture is embracing the customer: what they want, what they need and what they deserve when they buy a new GM product.
This customer focus underscores why sustainability is and will continue to be a core strategy for GM. Customers — and that includes everyone who might someday buy a GM product — expect us to be thoughtful, honorable and responsible in everything we do. In other words, they care about more than the cars. They care how we build them and how we engage with the world around us. This knowledge, and the discipline that flows from it, is transforming our approach to product design, manufacturing, safety, quality, the environment, customer care and a host of other areas, as you can read in this report.
It is also guiding our response to the large safety recalls announced in early 2014 that involve the ignition switches in certain GM vehicles no longer in production. Rest assured that we are completely focused on this issue at the highest levels of the company, and we are working to exceed everyone’s expectations for customer care, responsiveness and transparency.
Nothing is more important than the safety of our customers, so we are also making changes to ensure that GM has the best product safety practices in the industry. One of our first actions was to name a vice president of Global Vehicle Safety to oversee the safety development of GM vehicle systems on a global basis, the confirmation and validation of safety performance, and post-sale safety activities such as recalls. There will be more changes because we are determined to emerge from this crisis stronger and wiser so we can accelerate the momentum we generated throughout 2013.
That momentum is on full display throughout this report. In these pages, you can see how GM is developing connectivity and other technologies that are building blocks for semiautonomous and autonomous vehicles. You can tap into our latest thinking about dealing with population growth, increasing urbanization and congestion in the world’s major cities. We have mapped out our strategies for addressing climate change in these pages, along with a wealth of other information.
A few statistics show just how comprehensive our approach is. For example, we are committed to reducing the average CO2 tailpipe emissions from our U.S. vehicle fleet 15 percent by 2017, while China will target a 28 percent reduction by 2020 and Europe a 27 percent reduction by 2021.
The vehicles we design, build and sell tell these stories the best:
Of course, how we manufacture our vehicles is an equally important part of our sustainability strategy. For example, we added a net seven landfill-free sites in 2013 to bring our total to 111 worldwide. In addition, our facilities are also working toward a 20 percent reduction in energy and carbon intensity by 2020 from a baseline of 2010, while more than doubling renewable energy use globally.
These and other examples reflect our core values that guide everything we do, from the time we conceive a new vehicle through the entire ownership experience:
It’s clear to me and my leadership team, our Board of Directors and deep into the ranks of the company that this is the right way to win. We like the results we are seeing, but we fully recognize we have a tremendous amount of work to do. We must innovate more, seize opportunities faster and work harder to achieve true leadership — a claim that matters only if your customers, employees, communities and other stakeholders agree.
Thank you for your ongoing support and interest in our progress.
Chief Executive Officer