GM announces more than $5 bn hit to earnings in China venture

New York: General Motors announced Wednesday it will book more than $5 billion in losses and write-downs due to the restructuring of its China joint-venture.

Facing heavy competition in China that has led to steep price write-downs, the SAIC General Motors Corporation is restructuring operations, resulting in non-cash

impairment of between $2.6 and $2.9 billion and equity losses of around $2.7 billion, GM said in a securities filing. GM and Chinese company SAIC each own 50 percent of the company.