General Motors

In October, the General Motors Corporation broke all records both in earnings and sales. The sales amounted to approximately 96,000 cars and trucks, including Buicks, Chevrolets, Cadillacs, Oldsmobiles, Oaklands. The preceding month of September had established the existing high record of sales at 89,000 cars and trucks. These sales are mostly made to dealers, who are stocking up for the winter and spring demand as well as filling current orders. October earnings rose in proportion. At an average of $130 profit per unit, the month's business must have meant something like a $12,500,000 profit to General Motors.

The directors of the Corporation evidently are believers in sharing its profits with its shareholders, particularly when the cash position of the concern is as strong as at present. In addition to its regular quarterly dividend of $1.50 on each common share, an extra dividend of $5.00 a share was declared. This means that, in addition to the $36,131,000 of regular dividends paid on Motors stock this year, $25,808,000 will be paid put in extras, making a total dividend disbursement of $61,939,000 out of 1925 profits.

This payment establishes a new high record for cash dividend payments by any U. S. corporation in peace times. It approaches the $85,140,668 paid out to its common shareholders by U. S. Steel in 1917. This year, however, Steel is paying them only $35,581,175.

The General Motors Corporation at present has no debts of any kind, and holds $155,000,000 of cash and marketable securities. The only securities ranking ahead of its common stock are its preferred issues.