Every evening, Wilmington daily commercial., 1921-02-17
GENERAL MOTORS EARNED
S2.O5 A. SHARE IN 1920
Net Profits of $48, ,252, 900, as
Compared With 500. .OO5. .484
in 1919.

The net income of the General Motors
CORPORATION for the year ended Deoem-
Der 81, 1920 was $93.b00.000 from which
there has been deducted s45. .24S.D00 to
cover various items. including Federal
taxes. Inventories. writeoffs. deprecia-
ton Of plants. etc. which made net
profits after all charges approximately
S4s.262. 900 After preferred and
debenturo dividends of $6.113.S00 the
balnnce available for tho common stock
was Approximately s42. 1873 200 or S2.ob
n share on the 20.b52. $50 shares Of no
par value common stock outstanding at
the close of the year. This compares
with 1919 net profits after all charges of
$50. .006. asa which after preferred and
debenture dividends was equal to s36 80
a share on 1.534.100 shnres of 800
par value common stock then outstand-
ing.
The balance sheet as of December 81.
1920. shows total current assets of
capitaI of Sl4S. 1895. 900. Cash In bank
1868 1893. 900 and total current liabilities
of $I16.544. 600. making net working
totals S49,278, 600 Sight drafts. notes
receivable and accounts receivable total
S4s.681 900 and inventories stood at
SIC .oOO, 900 on the liabilities side. notes
count payable and trade accoptancea
total 25.794,OO0.
Since the annual report of the General
Motors Corporation will not be com
pletcd for some weeks and since II IS
desired that stockholders bo acquainted
with tho results of operations last year
and ~ the position OF the company az
tho Cloac of the year an approximate
balance sheet and statement of earn
ings rs being sent 70 ockhoiders with
n letter from Pierre s DUPONT, presi
] don't. which says IN part
Sales for 1920 were approximately
s565 900. 600 being an increase of s66.-
OOn 900 over preceding year
The motor car busncFe. in common
with other lines of manufacture auf
fered acuteIy from conditions which
obtained during the last -four months oi
the vear Demand for the COMPANY :
producta. which had been inaistent an'
lIrgent during the first part Of the year
was sharply curtailcd in september
inventories reached their peak abou'
tho middle of October aud during th'
ensuing ton weeks 10 December ~, th'
company was able, notwith standing th'
shrtnkasc In sale1 10 effect net r.
ducrinr, in Inventories Of approximate
I Se5 GOO 600 In addition. inventories
wore further written down in th'
amount Of S25. $500 900 as ~ Decemhe
I 81 in order 20 reduce unit prices 70 tn
Y market
Il Officers Of the company have clearly
IN mind the Importance Of rnaintatuini
a strong cash position and Of reducing
\ company inventories and current II
cfelytedness During the year the com
many paia as Federal income aud eNcca
pruflt taxes approximately s2s s.oOo.ent
IN addition $4,000, 600 OF notes issue
\ IN connection with the purchase 9
4 Fisher Body Corporation We're retire
and approximately ss6.o0O.00o was *
,ronded IN extending and improvin
planfs and facilities Company plant
aro equipped with tho IaioSt and mos
efncient machinery for economical mar
ufacturu and 10 further important q
perditures along these lines are no
contemplated or appear necessary.
White in closing the books all know
lOases and appropriate write down OF II
ventories have been taken care q
nevertheless board q directors at II
next meeting viii be requested 90 con
sFCler the advisabiity 81 appropriatln
some part ,rot exceedluE $lo .o0o.e0ol I
a,,rnlus account AZ ii reserve for fuiuT
contings ncies
In view of the conditions II q
tines OF industry, the oiiicers oi the con
panv do NOT feed justified az this tin
a. making a forecast of this year
earnings reports from alsdlndtoi
however. are encourage ing anu -,
company is Va an excellent posltten
take advantage oS. and - proht ~ =
,,,,rrove,nents In trade which IL seen
re;.son,.ble 10 anticipate during the con