Connect with us

San Diego, CA

GM expects more than $5 billion impact from China restructuring, including plant closures

Published

on

GM expects more than  billion impact from China restructuring, including plant closures


  • General Motors expects a restructuring of its joint venture operations with SAIC Motor Corp. in China to cost more than $5 billion in charges and writedowns.
  • The restructuring charges for the “SGM” joint venture are anticipated to include “plant closures and portfolio optimization,” according to the filing.
  • GM said most of the costs are expected to be recognized as non-cash, special item charges during the fourth quarter.

DETROIT – General Motors expects a restructuring of its joint venture operations with SAIC Motor Corp. in China to cost more than $5 billion in non-cash charges and writedowns, the Detroit automaker disclosed in a federal filing Wednesday morning.

GM said it expects to write down the value of its joint-venture operations in China by between $2.6 billion and $2.9 billion. It also anticipates another $2.7 billion in charges to restructure the business, including “plant closures and portfolio optimization,” according to the filing.

GM, which previously announced plans to restructure the operations in China, did not disclose any additional details about the expected closures.

“As we have consistently said, we are focused on capital efficiency and cost discipline and have been working with SGM to turn around the business in China in order to be sustainable and profitable in the market. We are close to finalizing our restructuring plan with our partner, and we expect our results in China in 2025 to show year-over-year improvement,” GM said in an emailed statement.

GM said it believes the joint venture “has the ability to restructure without new cash investments” from the American automaker.

Advertisement

A majority of the restructuring costs is expected to be recognized as non-cash, special item charges during the fourth quarter. That means they will impact the automaker’s net income, but not its adjusted earnings before interest and taxes – a key metric monitored by Wall Street.

GM’s operations in China have shifted from a profit engine to liability in the past decade as competition grows from government-backed domestic automakers fueled by nationalism, and as a generational shift in consumer perceptions of the automotive industry and electric vehicles takes hold.

Equity income from GM’s Chinese operations and joint ventures peaked at more than $2 billion in 2014 and 2015.

GM’s market share in China, including its joint ventures, has plummeted from roughly 15% as recently as 2015 to 8.6% last year — the first time it has dropped below 9% since 2003. GM’s equity income from the operations have also fallen, down 78.5% since peaking in 2014, according to regulatory filings.

Advertisement

GM’s U.S.-based brands such as Buick and Chevrolet have seen sales drop more than its joint venture sales with SAIC Motor, Wuling Motors and others. The joint venture models accounted for about 60% of its 2.1 million vehicles sold last year in China.

Prior to this year, the only quarterly losses for GM in China since 2009 were a $167 million shortfall during the first quarter of 2020 due to the coronavirus pandemic and an $87 million loss during the second quarter of 2022.

The Detroit automaker has reported three consecutive quarterly losses in equity income for its Chinese operations this year, totaling $347 million. That includes a loss of $137 million during the third quarter.



Source link

Advertisement

San Diego, CA

Southern California’s Jewish community reacts to war in the Middle East

Published

on

Southern California’s Jewish community reacts to war in the Middle East


The Jewish community in Southern California is sharing their fears and hopes following the weekend’s strikes on Iran and retaliatory attacks on Israel, U.S. military bases and other targets in the Middle East.

The exchange of missiles in the Middle East is having a devasting effect on Iran’s defense capability, but retaliatory strikes in the region are taking a toll. 

“Weapons of enormous capacity that are targeting civilian areas,” said Elan Carr, CEO of Los Angeles-based Israeli American Council.

Carr says toppling the Iranian regime, taking out its nuclear capabilities and freeing the Iranian people from this oppressive rule should have been done decades ago.

Advertisement

“This is about seeing the most evil regime, the world chief state sponsored terrorism to no longer have the ability to do what it’s been doing,” Carr said.

Sara Brown, regional director of the American Jewish Committee, said the U.S. and Israel are concentrating strikes on Iran’s missile sites and military industrial complex. Iran’s retaliatory strikes are focused on many civilian targets.

“We are hearing from our partners from around the region, who are terrified,” Brown said. “Across the Middle East right now, I think there is a tremendous amount of fear, but also hope and also resolve.”

AJC is the advocacy arm for Jewish people globally. Many members and partner groups are in harm’s way. Brown says the risk is great, but the potential reward is world changing.

“That Iranian people will get to choose leadership for themselves, that we will finally see a pathway forward for peace across the Middle East,” Brown said.

Advertisement

If wars of the past hadn’t produced lasting peace, then why now? Carr says Iran’s nuclear capabilities are destroyed and Iran’s military and proxies are weakened after Israel’s response to the Oct. 7 Hamas ambush.

“No more terrorist network throughout the Middle East. Think of what that could mean. Think of the normalization we could see,” Carr said.

President Donald Trump expects fighting to last several weeks. Some critics are concerned about a drawn-out conflict that could spread.

Carr is not convinced.

“Who is going to enter a war against the U.S. and Israel? Russia is plenty busy. China has no interest in jeopardizing itself this way,” Carr said.

Advertisement

Besides the six Americans killed as of Monday night, government officials say 11 people were killed in retaliatory strikes in Israel.



Source link

Continue Reading

San Diego, CA

San Diego Zoo Safari Park’s Elephant Valley: Get closer to elephants

Published

on

San Diego Zoo Safari Park’s Elephant Valley: Get closer to elephants


San Diego — Before we see elephants at Elephant Valley in the San Diego Zoo Safari Park, we come face to face with destruction, only the wreckage is beautiful. A long, winding path takes guests around and under felled trees. Aged gray tree hunks form arches, for instance, over bridges that tower over clay-colored paths with hoof prints.

The design is meant to reorient us, to take us on a trail walked not by humans but traversed and carved by elephants, a creature still misunderstood, vilified and hunted for its cataclysmic-like ability to reshape land, and sometimes communities.

“It starts,” says Kristi Burtis, vice president of wildlife care for the Safari Park, “by telling the story that elephants are ecosystem engineers.”

Advertisement

Elephant Valley will open March 5 as the newest experience at the Escondido park, its aim to bring guests closer than ever to the zoo’s eight elephants, which range in age from 7 to 36, while more heavily focusing on conservation. The centerpiece of the 13-acre-plus parkland is a curved bridge overlooking a savanna, allowing elephants to walk under guests. But there are also nooks such as a cave that, while not previewed at a recent media event, will allow visitors to view elephants on their level.

In a shift from, say, the Safari Park’s popular tram tour, there are no fences and visible enclosures. Captive elephants remain a sometimes controversial topic, and the zoo’s herd is a mix of rescues and births, but the goal was to create a space where humans are at once removed and don’t impede on the relative free-roaming ability of the animals by keeping guests largely elevated. As an example of just how close people can get to the herd, there was a moment of levity at the event when one of the elephants began flinging what was believed to be a mixture of dirt and feces up onto the bridge.

“Our guests are going to be able to see the hairs on an elephant,” Burtis says. “They can see their eyes. They can see the eyelashes. They can see how muscular their trunks are. It’s really going to be a different experience.”

Elephant Valley, complete with a multistory lodge with open-air restaurants and bars, boasts a natural design that isn’t influenced by the elephant’s African home so much as it is in conversation with it. The goal isn’t to displace us, but to import communal artistry — Kenyan wood and beadwork can be found in the pathways, resting spaces and more — as a show of admiration rather than imitation.

“We’re not going to pretend that we’re taking people to Africa,” says Fri Forjindam, now a creative executive with Universal’s theme parks but previously a lead designer on Elephant Valley via her role as a chief development officer at Mycotoo, a Pasadena-based experiential design firm.

Advertisement

“That is a slippery slope of theming that can go wrong really fast,” she adds. “How do we recognize where we are right now, which is near San Diego? How do we populate this plane with plants that are indigenous to the region? The story of coexistence is important. We’re not extracting from Africa, we’re learning. We’re not extracting from elephants, we’re sharing information.”

But designing a space that is elephant-first yet also built for humans presented multiple challenges, especially when the collaborating teams were aiming to construct multiple narratives around the animals. Since meetings about Elephant Valley began around 2019, the staff worked to touch on themes related to migration and conservation. And there was also a desire to personalize the elephants.

“Where can we also highlight each of the elephants by name, so they aren’t just this huge herd of random gray creatures?” Forjindam says. “You see that in the lodge.”

That lodge, the Mkutano House — a phrase that means “gathering” in Swahili — should provide opportunities for guests to linger, although zoo representatives say reservations are recommended for those who wish to dine in the space (there will also be a walk-up, to-go window). Menus have yet to be released, but the ground floor of the structure, boasting hut-like roofing designed to blend into the environment, features close views of the elephant grazing pool as well as an indoor space with a centerpiece tree beneath constellation-like lighting to mimic sunrises and sunsets.

Throughout there are animal wood carvings and beadwork, the latter often hung from sculptures made of tree branches. The ceiling, outfitted with colorful, cloth tapestries designed to move with the wind, aims to create less friction between indoor and outdoor environments.

Advertisement

There are, of course, research and educational goals of the space as well. The Safari Park works, for instance, with the Northern Rangelands Trust and Loisaba Conservancy in Kenya, with an emphasis on studying human-elephant conflict and finding no-kill resolutions. Nonprofits and conservation groups estimate that there are today around 415,000 elephants in Africa, and the African savanna elephant is listed as endangered by the International Union for Conservation of Nature.

Studies of the zoo’s young elephants is shared with the Reteti Elephant Sanctuary in the hopes of delivering care to elephant youth to prevent orphanage. Additionally, the Safari Park has done extensive examination into the endotheliotropic herpes virus. “The data that we collect from elephants here, you can’t simply get from elephants in the wild,” Burtis says.

One of the two entrances to Elephant Valley is outfitted with bee boxes; bees are known to be a natural elephant deterrent and can help in preventing the animals from disrupting crops or communities. To encourage more natural behavior, the plane is outfitted with timed feeders in an attempt to encourage movement throughout the acreage and establish a level of real-life unpredictability in hunting for resources. Water areas have been redesigned with ramps and steps to make it easier for the elephants to navigate.

With Elephant Valley, Forjindam says the goal was to allow visitors to “observe safely in luxury — whatever that is — but not from a position of power, more as a cohabitor of the Earth, with as much natural elements as possible. It’s not to impose dominance. Ultimately, it needed to feel natural. It couldn’t feel like a man-made structure, which is an antiquated approach to any sort of safari experience where animals are the product, a prize. In this experience, this is the elephant’s home.”

Advertisement

And the resulting feel of Elephant Valley is that we, the paying customers, are simply their house guests.



Source link

Continue Reading

San Diego, CA

Man fatally struck by hit-and-run vehicle in San Diego

Published

on

Man fatally struck by hit-and-run vehicle in San Diego


A man in the Mission Bay Park community of San Diego was fatally struck Sunday morning by a hit-and run vehicle, authorities said.

The victim was also struck by a second vehicle and that motorist stayed at the scene to cooperate with officers, the San Diego Police Department reported.

The initial crash occurred at about 2:20 a.m. Sunday in the area of West Mission Bay and Sea World drives.

The pedestrian was in the southbound lanes of the 2000 block of West Mission Bay Drive when he was struck by a silver vehicle also in the southbound lanes. That vehicle fled the scene, continuing southbound, police said.

Advertisement

A 28-year-old man driving his vehicle southbound ran over the downed pedestrian.

“That driver remained at the scene and is not DUI,” according to a police statement. “The pedestrian was pronounced deceased at the scene.”

Anyone with information regarding the initial crash was urged to call Crime Stoppers at 888-580-8477.



Source link

Advertisement
Continue Reading
Advertisement

Trending