WASHINGTON, D.C. -

Acknowledging significant improvement in its business performance, General Motors announced it is withdrawing its $14.4 billion application for direct loans from the U.S. Department of Energy.

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Officials recounted that the Advanced Technology Vehicles Manufacturing Loan Program (Section 136 of the Energy Independence and Security Act passed in December 2007) authorized $25 billion in direct Department of Energy loans to companies for retooling U.S. factories to make vehicles and components that improve fuel economy.   

“This decision is based on our confidence in GM’s overall progress and strong, global business performance,” noted Chris Liddell, GM vice chairman and chief financial officer.

“Withdrawing our DOE loan application is consistent with our goal to carry minimal debt on our balance sheet,” Liddell continued.

GM highlighted that it has successfully launched a $23.1 billion initial public offering of stock. And for the first nine months of 2010, the company calculated the offering generated $4.2 billion in net income attributable to common stockholders.

Additionally, GM pointed out that it has invested approximately $3.4 billion in U.S. facilities that have created or retained nearly 11,000 jobs — most of which have gone toward new, fuel-efficient vehicles such as the electric Chevrolet Volt, the Chevrolet Cruze and advanced battery manufacturing.

“Our forgoing government loans will not slow our aggressive plans to bring more new vehicles and technologies to the market as quickly as we can,” Liddell declared.

“We will continue to make the necessary investments to assert our industry leadership in technology and fuel economy,” he added.

The automaker contends Congress appropriated funding for the Department of Energy loan program in the fall of 2008 at a time when the auto industry was seeking to maintain its product and technology programs while contending with the developing global economic crisis.  

GM indicated that it submitted its current application to the Department of Energy in October 2009.