RNS Number:3832M
General Motors Accept Corp Canada
16 June 2003
Consolidated Financial Statements of
General Motors Acceptance Corporation of Canada, Limited
March 31, 2003
(Unaudited)
CONSOLIDATED BALANCE SHEETS
(in thousands)
ASSETS
March 31, December 31,
2003 2002
(unaudited)
Cash and cash equivalents $ 190,500 $ 781,000
Subordinated interests in securitization trusts, net
(Note 3) 374,592 344,336
Finance receivables and loans, net (Note 2)
Consumer 4,998,978 5,556,658
Commercial 3,800,817 2,997,186
Allowance for credit losses
(71,970) (76,920)
Total finance receivables and loans, net 8,727,825 8,476,924
Investment in operating leases, net (Note 4) 5,239,676 5,169,099
Notes receivable from affiliates 2,644,982 2,760,795
Investments 1,084,392 1,084,392
Other assets 448,929 575,804
TOTAL ASSETS $ 18,710,896 $ 19,192,350
Reference should be made to the Notes to Consolidated Financial Statements.
LIABILITIES AND SHAREHOLDER'S EQUITY
March 31, December 31,
2003 2002
(unaudited)
Liabilities
Debt payable within one year (Note 6) $ 6,465,750 $ 6,394,603
Accounts payable to GMCL and affiliates 137,756 146,460
Interest payable 158,153 184,766
Income and other taxes payable 18,729 74,635
Accrued expenses and other liabilities 447,251 478,106
Future income taxes 660,954 656,807
Debt payable after one year (Note 7) 8,960,654 9,432,215
Total Liabilities $ 16,849,247 $ 17,367,592
Shareholder's Equity (Note 8)
Capital stock without par value (authorized -
unlimited,
outstanding - 1,450,000 common shares) 50,000 50,000
Contributed surplus 129,692 129,692
Retained earnings 1,681,957 1,645,066
Total Shareholder's Equity $ 1,861,649 $ 1,824,758
TOTAL LIABILITIES AND SHAREHOLDER'S EQUITY $ 18,710,896 $ 19,192,350
CONSOLIDATED STATEMENTS OF INCOME AND RETAINED EARNINGS
(in thousands)
For the Quarter Ended March 31,
2003 2002
(unaudited) (unaudited)
Financing Revenue
Consumer $ 92,659 $ 95,967
Commercial 70,845 94,583
Operating leases 325,105 238,619
Total financing revenue 488,609 429,169
Interest and discount (193,573) (174,507)
Depreciation on operating leases (245,200) (166,684)
Net financing revenue 49,836 87,978
Other income 67,761 59,001
Net Financing Revenue and Other Income 117,597 146,979
Expenses
Operating expenses (50,646) (39,723)
Provision for credit losses (3,220) (9,415)
Total expenses (53,866) (49,138)
Income before income taxes 63,731 97,841
Provision for income taxes (26,840) (35,533)
Net Income 36,891 62,308
Retained earnings, beginning of period 1,645,066 1,375,465
Retained earnings, end of period $ 1,681,957 $ 1,437,773
Certain amounts for 2002 have been reclassified to conform with the 2003
presentation.
Reference should be made to the Notes to Consolidated Financial Statements.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
For the Quarter Ended March 31,
2003 2002
(unaudited) (unaudited)
Operating Activities
Net income $ 36,891 $ 62,308
Depreciation 245,650 167,029
Provision for credit losses 3,220 9,415
Gain on sale of finance receivables - Consumer (13,016) -
Net change in:
Other assets 126,426 2,002
Accounts payable to GMCL and affiliates (8,704) 196,572
Interest payable (26,613) (48,182)
Income and other taxes payable (55,906) (40,504)
Accrued expenses and other liabilities (30,856) 52,806
Future income taxes 4,147 (12,715)
Cash provided by operating activities 281,239 388,731
Financing Activities
Net change in short-term debt 82,380 307,220
Issuance of long-term debt 801,291 882,629
Repayment of long-term debt (1,284,084) (1,023,032)
Increase in contributed surplus - 34,692
Cash provided by (used in) financing activities (400,413) 201,509
Investing Activities
Acquisitions of finance receivables and loans (5,183,083) (5,000,286)
Liquidations of finance receivables and loans 4,195,432 3,599,500
Proceeds from sales of finance receivables 746,545 386,000
Purchases of operating lease assets (765,614) (1,269,683)
Disposals of operating lease assets 449,837 761,562
Net change in:
Notes receivable from affiliates 115,813 189,017
Investments - (34,692)
Subordinated interests in securitization trusts (30,256) (18,158)
Cash used in investing activities (471,326) (1,386,740)
Decrease in cash and cash equivalents (590,500) (796,500)
Cash and cash equivalents at beginning of the period 781,000 1,302,001
Cash and cash equivalents at end of the period $ 190,500 $ 505,501
Supplemental disclosure
Cash paid for:
Interest $ 219,765 $ 222,649
Taxes $ 79,905 $ 92,497
Certain amounts for 2002 have been reclassified to conform with the 2003
presentation.
Reference should be made to the Notes to Consolidated Financial Statements.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(unaudited)
Note 1. Basis of Presentation
The accompanying interim unaudited consolidated financial statements have been
prepared by General Motors Acceptance Corporation of Canada, Limited (the
"Company") in accordance with Canadian generally accepted accounting principles,
using the same accounting policies and methods of application as used in the
Company's financial statements as of and for the year ended December 31, 2002.
In the opinion of management, the financial statements include all necessary
adjustments (which are of a normal and recurring nature) for the fair
presentation of the results of the interim periods presented and consistent with
prior period reporting.
These financial statements should be read in conjunction with the Company's
December 31, 2002 audited consolidated financial statements. Certain amounts in
prior year unaudited interim consolidated financial statements have been
reclassified to conform with current year presentation.
Note 2. Finance Receivables and Loans
The composition of finance receivables and loans outstanding was as follows:
March 31, December 31
2003 2002
(unaudited)
(in thousands)
Consumer
Retail Automotive $ 4,998,978 $ 5,556,658
Commercial
Automotive:
Wholesale 2,780,157 1,900,681
Leasing and lease financing 676,666 718,349
Term loans to dealers and other 343,994 378,156
Total commercial 3,800,817 2,997,186
Total finance receivables and loans1 $ 8,799,795 $ 8,553,844
1 Net of unearned income of $464,226 and $534,774 at March 31, 2003 and December
31, 2002, respectively.
Note 3. Sale of Finance Receivables
In February 2003, the Company sold retail finance receivables with contractual
principal aggregating $836.0 million. A gain of $13.0 million was realized on
the sale. In 2002, the Company sold retail finance receivables with contractual
principal aggregating $1,745.1 million, resulting in total realized gains of
$35.6 million. The outstanding principal balance of sold retail finance
receivables totaled $2,981.4 and $2,581.5 million at March 31, 2003 and December
31, 2002, respectively.
The Company has also sold wholesale receivables on a revolving basis resulting
in a decrease in the balance of wholesale receivables outstanding of $2,385.0 at
March 31, 2003 and December 31, 2002.
The retained interest amounts recorded with respect to securitization activity
is comprised of the following:
March 31, December 31,
2003 2002
(unaudited)
(in thousands)
Subordinated interests in securitization trusts $ 399,403 $ 366,102
Allowance for estimated credit losses on sold
receivables (24,811) (21,766)
Total $ 374,592 $ 344,336
Note 4. Investment in Operating Leases, Net
Investments in operating leases, including unamortized deferred lease
origination costs, were as follows:
March 31, December 31,
2003 2002
(unaudited)
(in thousands)
Vehicles and other equipment, at cost $ 6,411,791 $ 6,393,764
Accumulated depreciation (1,172,115) (1,224,665)
Investment in operating leases, net $ 5,239,676 $ 5,169,099
Note 5. Lines of Credit With Banks
Established committed revolving lines of credit with banks totaled $1.25 billion
at March 31, 2003 and December 31, 2002, of which $625 million will expire on
June 16, 2003 and $625 million will expire on June 16, 2006.
Note 6. Debt Payable Within One Year
March 31, 2003 March 31, December
Weighted 2003 31, 2002
Average (unaudited)
Interest Rate
(in thousands)
Short-term notes
Domestic 3.172% $ 2,675,037 $ 2,657,598
Foreign1 3.240% 164,311 87,113
Total principal amount 2,839,348 2,744,711
Unamortized discount (9,532) (8,503)
Total 2,829,816 2,736,208
Bank loans and overdrafts 4.720% 9,541 20,770
Other notes and debentures payable within one year
Domestic 5.709% 2,838,270 2,799,445
Foreign2 3.423% 788,123 838,180
Total 3,626,393 3,637,625
Total payable within one year $ 6,465,750 $ 6,394,603
This debt, guaranteed by General Motors Acceptance Corporation, is unsecured.
1Denominated in U.S. dollars
2Denominated in Euro and Japanese Yen
Note 7. Debt Payable After One Year
Denominated in
Contract Foreign Currency March 31, December 31,
Maturity Date Rate (In millions) 2003 2002
(unaudited)
(in thousands)
March, 2004 6.500% GBP 100 $ - $ 250,194
June, 2004 6.000% NOK 400 80,162 90,876
June, 2004 5.500% 100,000 100,000
September, 2004 5.750% 100,000 100,000
September, 2004 1.480% Y 1,000 12,214 13,286
September, 2004 6.250% 100,000 100,000
December, 2004 6.500% 100,000 100,000
January, 2005 7.000% USD 200 293,280 315,640
February, 2005 (1) Y 6,000 73,282 79,721
February, 2005 8.250% NZD 100 80,740 82,746
February, 2005 (2) USD 30 43,992 47,346
March, 2005 7.000% 100,000 100,000
March, 2005 7.750% USD 250 366,600 394,550
April, 2005 (3) Euro 26 40,358 42,246
April, 2005 7.000% CZK 1,000 49,498 52,458
April, 2005 12.250% PLN 100 36,001 41,233
July, 2005 5.250% DKK 400 85,044 88,979
October, 2005 7.500% NZD 100 80,740 82,745
November, 2005 6.125% DKK 400 85,044 88,979
December, 2005 6.625% 100,000 100,000
February, 2006 6.125% DKK 600 127,566 133,469
March, 2006 6.250% 100,000 100,000
May, 2006 6.250% 100,000 100,000
September, 2006 6.125% 100,000 100,000
November, 2007 6.125% DKK 400 85,044 88,979
February, 2008 6.000% DKK 500 106,305 111,224
Notes with original maturities up to ten years with a weighted average interest rate at
March 31, 2003 of 5.98% 6,414,784 6,527,544
$ 8,960,654 $ 9,432,215
(1) Interest at a rate of 0.10% above the 3 month JPY LIBOR rate
(2) Interest at a rate of 0.21% above the 3 month US LIBOR rate
(3) Interest at a rate of 0.20% above the 3 month EURIBOR rate
Note 8. Shareholder's Equity
There have been no changes in authorized or issued share capital held by GMAC as
at March 31, 2003.
Note 9. Guarantees
The Company has standard indemnification clauses in certain of its funding
arrangements that would require the Company to pay lenders for increased costs
due to certain changes in laws or regulations. Since any changes would be
dictated by legislative and regulatory actions, which by their nature are
unpredictable, the Company is not able to estimate a maximum exposure under
these arrangements.
This information is provided by RNS
The company news service from the London Stock Exchange
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