                        GENERAL MOTORS CORPORATION

                             10/28/93

             10/27/93 52-Wk-Rng FY/Q  EPS93  EPS94 PE94 NxtQtr LyQtr
General Motor   46.88   49-29   12/4   2.15   4.50 10.4   0.89 -0.39


52 Wk           EPS                   P/E              Ind.
Range     1992    1993E   1994E      1993    1994      Div.    Yield
=====     ====    =====   =====      ====    ====      ====    =====
$50-30    -3.02   $2.15   $4.50       21.8X   10.4X    $0.80     1.7%

*  3Q results, $0.10 loss vs $1.86 loss a year ago, better-than-expected.

*  North American Automotive drove year to year improvement, but biggest
   surprise was strength in international operations.

*  Increasing 1993 est. to $2.15 from $1.25 and 1994 est. to $4.50 from
   $4.00.

*  No change in market performer rating.

GM REPORTED THIRD QUARTER RESULTS OF $0.10 LOSS VERSUS $1.86 LOSS A YEAR AGO.
1993 results exclude three unusual items, which aggregate to a net loss of $289
million or $0.39 per share. Analysts increased their 1993 estimate to $2.15 per share
from $1.25 and their 1994 estimate to $4.50 from $4.00.  The increases reflect
the better-than-expected results and slightly more aggressive margin
assumptions, which appear justified given the strong third quarter results.
Cost reduction efforts in North American automotive (NAO) continue to be the
key element driving GM's operating improvement.  The biggest earnings surprise
in the quarter came from the strong international results, specifically Latin
America.

SHARP REVERSAL IN OPERATING LOSSES TO $263 MILLION IN THIRD QUARTER FROM
$2.1 BILLION A YEAR AGO.  Total revenues increased 3.5% to $26.8 billion
and automotive related revenues increased 2.5% to $23.2 billion.  A 2.7%
increase in volume was partially offset by a 0.2% decline in pricing
(revenue per unit).  Total gross margin (pre pension expense) increased to
15.4% from 7.8% a year ago.  In the automotive segment, gross margin
increased to 14.0% from 5.3% a year ago.  The higher margins reflected
ongoing cost reduction efforts in North America, higher volume, and a
reduction of incentives in the U.S. market.  Retail incentives declined to
$958 per unit from $1,412 a year ago.  Fleet sales also declined to 15% of
total U.S. sales from 18% a year ago, as GM continued to curtail sales to
daily rental car companies.  In the fourth quarter, expect GM's fleet activity
to follow the normal seasonal pattern and pick back up.

TURNAROUND IN NORTH AMERICAN AUTOMOTIVE DRIVES YEAR OVER YEAR IMPROVEMENT.
Excluding unusual items, GM reported a net loss in NAO of $831 million versus a
$1.9 billion loss a year ago.  The improvement was largely in line with
expectations.  Strong international automotive profits continued to be the big
surprise, increasing 63% to $422 million from $260 million a year ago.  Record
results in South America (with Brazil leading the way) more than offset weak,
but still profitable European results.  In aggregate, third quarter net income
of $176 million was $300 million higher than-expected, with $240 million of
this difference attributable to higher-than-expected international results.
Results in GM's non-automotive subsidiaries (EDS, Hughes, and GMAC) were
generally in line with expectations.

POSITIVE CASH FLOW IN THIRD QUARTER.  Cash balances declined to $8.2 billion
from $9.1 billion in the second quarter.  GM's debt to capital ratio was flat
at 56.0% versus second quarter levels.  GM confirmed that the unfunded pension
liability would be roughly $24 billion at yearend versus $14.0 billion at
yearend 1992, with the primary factor in the increase the sharp drop in
interest rates.  GM contributed $4.0 billion to the pension fund year to-date,
and indicated, without specifics, that it plans to make significant
contributions to the pension fund over the next six years.  Given the higher
pension liability, expect pension expenses to increase $700 million ($0.57
per share after-tax) to $3.3 billion in 1994 from $2.6 billion in 1993.

MARKET PERFORMER RATING UNCHANGED.  Analysts have been positive about the
changes taking place at GM and, in fact, expect relatively strong earnings
momentum over the next two to three years.  Third quarter results reaffirm this
positive view and highlight the substantial operating leverage inherent in GM's
restructuring of NAO.  They still have two concerns, however, with the stock:
(1) GM's new product lineup over the next three years is relatively light
compared with either Chrysler's or Ford's; and (2) the timeframe for GM to
generate decent profits and replenish its weakened balance sheet is limited,
given expectation of peak U.S. vehicle demand in 1996.


