General Motors to cut costs by $10bn

General Motors yesterday announced a plan to cut costs by $10 billion, suspend its common stock dividend and sell up to $4 billion in assets in a bid to shore up cash to survive a deep industry slump.

The restructuring, the second in the just past six weeks, is driven by high fuel prices, a shift away from trucks and SUVs, and the weakest US industry-wide auto sales in a decade. The automaker said it would cut white-collar employment costs by 20 per cent.

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