Executives at General Motors Corp. (GM) suggested on Wednesday that U.S. industry sales had bottomed despite a year-on-year decline of more than 40% in March.

The company, facing a May 31 deadline to meet a U.S. government-imposed restructuring, offered a more optimistic outlook than rival Ford Motor Co. (F).

Manufacturers all reported an improvement in business at the end of the month, largely driven by new incentives.

Mike DiGiovanni, GM sales analyst, said the trends "bode well" for an annualized industry selling rate of 10.5 million for 2009.

"We're seeing some stability in the overall SAAR," he said on a conference call, noting "the first signs of brightening".

GM's own sales fell 45% in March compared with a year earlier, but like the top five U.S. manufacturers saw the rate of decline alleviate compared with February.

Ford executives had said on an earlier call that it was too early to call a bottom, though economic indicators suggested improved demand conditions would emerge in around three months.

GM shares recently were down 2% to $1.90. Ford shares traded at $2.71, up 3%.

-By Doug Cameron, Dow Jones Newswires; 312-750-4135; doug.cameron@dowjones.com