S&P lifts General Motors view to positive

Standard & Poor's said it revised the outlook on General Motors Co. and its subsidiary General Motors Financial Co. Inc. to positive from stable and affirmed the BBB- ratings on both companies.

All of the ratings on both companies are unchanged.

The outlook revision reflects a belief that General Motors is well positioned to continue to improve the profitability of its regional operations over the next two years, the agency said.

The generally positive fundamentals in the global automotive industry will support steady profitability for the company in North America and improved profitability for its operations in Europe and the Asia-Pacific region, which will more than offset its meaningful losses in South America, S&P said.

The positive outlook reflects the increased likelihood that the agency may upgrade the company over the next 12 months, given its improved track record of operational execution and exceptionally strong credit metrics, the agency said.

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