v3.3.0.814
Restructuring and Other Initiatives (Notes)
 9 Months Ended
Sep. 30, 2015
Restructuring and Related Activities [Abstract]  
Restructuring and Other Initiatives [Text Block]
Restructuring and Other Initiatives

We have executed various restructuring and other initiatives and we plan to execute additional initiatives in the future, if necessary, in order to align manufacturing capacity and other costs with prevailing global automotive production and to improve the utilization of remaining facilities. To the extent these programs involve voluntary separations, no liabilities are generally recorded until offers to employees are accepted. If employees are involuntarily terminated, a liability is generally recorded at the communication date. Related charges are recorded in Automotive cost of sales and Automotive selling, general and administrative expense.

The following tables summarize the reserves related to restructuring and other initiatives and charges by segment, including postemployment benefit reserves and charges (dollars in millions):
 
GMNA
 
GME
 
GMIO
 
GMSA
 
Total
Balance at January 1, 2015
$
459

 
$
751

 
$
166

 
$
2

 
$
1,378

Additions, interest accretion and other
9

 
127

 
37

 
11

 
184

Payments
(19
)
 
(385
)
 
(22
)
 
(11
)
 
(437
)
Revisions to estimates and effect of foreign currency
(11
)
 
(53
)
 
(10
)
 
—

 
(74
)
Balance at March 31, 2015
438

 
440

 
171

 
2

 
1,051

Additions, interest accretion and other
65

 
9

 
54

 
35

 
163

Payments
(19
)
 
(73
)
 
(53
)
 
(29
)
 
(174
)
Revisions to estimates and effect of foreign currency
1

 
17

 
(8
)
 
—

 
10

Balance at June 30, 2015
485

 
393

 
164

 
8

 
1,050

Additions, interest accretion and other
9

 
5

 
58

 
55

 
127

Payments
(24
)
 
(48
)
 
(48
)
 
(48
)
 
(168
)
Revisions to estimates and effect of foreign currency
(11
)
 
(31
)
 
(15
)
 
(4
)
 
(61
)
Balance at September 30, 2015(a)
$
459

 
$
319

 
$
159

 
$
11

 
$
948

 
GMNA
 
GME
 
GMIO
 
GMSA
 
Total
Balance at January 1, 2014
$
497

 
$
503

 
$
333

 
$
16

 
$
1,349

Additions, interest accretion and other
10

 
191

 
48

 
49

 
298

Payments
(30
)
 
(106
)
 
(21
)
 
(51
)
 
(208
)
Revisions to estimates and effect of foreign currency
(6
)
 
2

 
(2
)
 
(1
)
 
(7
)
Balance at March 31, 2014
471

 
590

 
358

 
13

 
1,432

Additions, interest accretion and other
10

 
179

 
27

 
24

 
240

Payments
(26
)
 
(68
)
 
(116
)
 
(29
)
 
(239
)
Revisions to estimates and effect of foreign currency
5

 
(2
)
 
(5
)
 
—

 
(2
)
Balance at June 30, 2014
460

 
699

 
264

 
8

 
1,431

Additions, interest accretion and other
9

 
173

 
70

 
5

 
257

Payments
(21
)
 
(60
)
 
(141
)
 
(10
)
 
(232
)
Revisions to estimates and effect of foreign currency
(6
)
 
(60
)
 
(16
)
 
—

 
(82
)
Balance at September 30, 2014(a)
$
442

 
$
752

 
$
177

 
$
3

 
$
1,374

________
(a)
The remaining cash payments related to these reserves for restructuring and other initiatives, including temporary layoff benefits of $351 million and $352 million at September 30, 2015 and 2014 for GMNA, primarily relate to postemployment benefits to be paid.

Three and Nine Months Ended September 30, 2015

Restructuring and other initiatives related primarily to: (1) the change in our business model in Russia described below; and (2) separation and other programs in Australia, Korea, Thailand and Indonesia and the withdrawal of the Chevrolet brand from Europe which had a total cost since inception of $663 million and affected a total of approximately 5,530 employees at GMIO through September 30, 2015. We expect to complete these programs in GMIO in 2017 and incur additional restructuring and other charges of approximately $266 million.

Three and Nine Months Ended September 30, 2014

Restructuring and other initiatives related primarily to: (1) the termination of all vehicle and transmission production at our Bochum, Germany facility in 2014 which had a total cost since inception of $716 million through September 30, 2014; and (2) separation programs in Australia and Korea and programs related to the withdrawal of the Chevrolet brand from Europe which had a total cost since inception of $454 million at GMIO through September 30, 2014.

Change of Business Model in Russia

In March 2015 we announced plans to change our business model in Russia and cease manufacturing, eliminate Opel brand distribution and reduce Chevrolet brand distribution by the end of 2015. This decision impacts 300 dealers and distributors and 1,130 employees. As a result we recorded pre-tax charges of $450 million in GME and GMIO in the nine months ended September 30, 2015, net of noncontrolling interests of $44 million. These charges included dealer restructuring and other contract cancellation costs of $99 million and employee severance costs of $13 million which are reflected in the table above. The remaining charges for cumulative translation adjustment associated with the substantial liquidation of certain legal entities and other of $182 million, sales incentives and inventory related costs of $144 million and asset impairment charges of $56 million are not included in the table above. We may incur additional charges for exit costs of up to $100 million through 2016.