Press Release: General Motors, LG Electronics Reach Agreement on Bolt EV Recall Costs

General Motors, LG Electronics Reach Agreement on Bolt EV Recall Costs

Tue, October 12, 2021

LG will reimburse GM for recall costs and expenses

WARREN, Mich. - General Motors Co. (NYSE: GM) announced today it has reached an agreement under which LG Electronics Inc. will reimburse GM for costs and expenses associated with the recall of Chevrolet Bolt EVs and EUVs due to manufacturing defects in battery modules supplied by LG.

As a result of the agreement, GM will recognize an estimated recovery in its third-quarter earnings that will offset $1.9 billion of $2.0 billion in charges associated with the recalls.

"LG is a valued and respected supplier to GM, and we are pleased to reach this agreement," said Shilpan Amin, GM vice president, Global Purchasing and Supply Chain. "Our engineering and manufacturing teams continue to collaborate to accelerate production of new battery modules and we expect to begin repairing customer vehicles this month."

General Motors (NYSE:GM) is a global company focused on advancing an all-electric future that is inclusive and accessible to all. At the heart of this strategy is the Ultium battery platform, which will power everything from mass-market to high-performance vehicles. General Motors, its subsidiaries and its joint venture entities sell vehicles under the Chevrolet, Buick, GMC, Cadillac, Baojun and Wuling brands. More information on the company and its subsidiaries, including OnStar, a global leader in vehicle safety and security services, can be found at https://www.gm.com.

MEDIA CONTACT:

Jim Cain

GM Communications

313-407-2843

[e-mail]

INVESTOR CONTACT:

Michael Heifler

GM Investor Relations

313-418-0220

[e-mail]

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(END) Dow Jones Newswires

October 12, 2021 08:26 ET (12:26 GMT)

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