GM also acknowledged that its third-quarter North American pretax profit margin of 7.8 percent was far below rival Ford Motor Co.'s 12 percent. GM plans to close the gap in part with higher revenues when new products, including pickup trucks, roll out. GM now has the oldest North American model lineup in the industry, but it plans to revamp 70 percent of its models in the next two years.
The company also said 12,600 — about 30 percent — of its U.S. salaried retirees took lump-sum payments instead of monthly pension checks. It also expects to close a deal next month to shift liability for its salaried pension plan to an annuity managed by The Prudential Insurance Co. The actions will cut GM's pension liability by $29 billion, $3 billion more than the original estimate of $26 billion, the company said.
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