General Motors Co’s new chief financial officer told analysts the automaker remains committed to the low-debt strategy and discipline on vehicle pricing emphasized by his predecessor. In a dinner meeting with analysts on Thursday, Dan Ammann said GM faced limited impact from the Japan crisis, was increasing its auto credit capabilities, and was reducing its exposure to incentives in the U.S. market, according to research notes from Barclays Capital and J.P. Morgan. “Dan emphasized fundamental continuity around GM’s financial strategy and philosophy with his predecessor,” Barclays analyst Brian Johnson said. “Dan plans to continue the low-debt strategy of his predecessor.” [Reuters]
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CFOs Are More Optimistic About Business Now That the Democrats Don’t Control the House
- Caleb Newquist
- November 23, 2010
Yet the majority of these CFOs don’t believe that the federal government’s financial policy has had any effect on their business.
So does that mean CFOs are indifferent about which party is in actually in power but more generally speaking, Republicans give them the warm fuzzies while Dems give them the heebie jeebies?
Despite the fact that more than 70 percent of chief financial officers (CFOs) at Deloitte’s annual CFO Vision conference earlier this month believe current government financial policy has either had no effect or negatively impacted their business, the tide is turning toward a more positive outlook. A majority (59 percent) of the same group of CFOs expect the recent Congressional midterm elections to have a positive impact on their industry.
Maybe we’re a little slow (especially this week) but Sandy Cockrell (he introduced us to the “bathtub recovery“) attempts to clarify:
“CFOs are confident that they can pull the levers within their own companies to do their jobs, but they are most worried about external issues involving economic recovery and regulations,” said Sanford Cockrell III, national managing partner of Deloitte’s U.S. CFO Program. “The biggest risk they see is a prolonged, stagnant recovery. Industries are also concerned about too much government intervention. If the employment picture does not also improve and if general pessimism continues to rise, we would expect pessimism to start having a larger impact on companies’ earnings and investment expectations.”
Okay so 70% of the CFOs polled “believe current government financial policy has either had no effect or negatively impacted their business,” yet they still fear government intervention? And if what Cockrell is saying rings true with the majority of CFOs polled, the second John Boehner holds the gavel as the new Speaker of the House, the employment picture may slowly begin turn around? Do we have that right? Really, finance chiefs of America? That’s what you’re pinning your hopes on?
Are they all confused or did Deloitte just throw together a poorly designed poll? We’re stumped but if you’ve got the time and energy, we’ll entertain some theories.
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The BNY Mellon CFO Isn’t Mad at Andrew Cuomo…
- Caleb Newquist
- May 13, 2010
…just disappointed about Andy getting all sue-y over BNY Mellon’s Ivy Asset Management’s involvement with Berns Madoff, which will result in more money going to – SHOCK – lawyers.
Bank of New York Mellon Corp.’s (BK) Chief Financial Officer Todd Gibbons told investors Wednesday that the company is “a bit disappointed” about the New York Attorney General’s decision to file a law suit against the bank related to Bernard Madoff’s Ponzi-scheme.
But as a result of the suit, and the current environment more broadly, legal cost are expected to run higher, the CFO said at UBS AG’s (UBS) Global Financial Services Conference in New York.
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Fannie Mae Hoping the Third CFO Is the Charm
- Caleb Newquist
- June 22, 2011
Susan McFarland will be the third CFO at FanMa since the company entered conservatorship nearly three years ago.
In case you lost count, the U.S. taxpayer has thrown $86 billion at the company but Suz is still “incredibly excited to join the Fannie Mae team and to help lead the company into the future.” Mmmmhmmm. [WSJ]