Businessweek

rtners, and government agencies. OnStar, LLC (OnStar) is a wholly-owned subsidiary of the company serving approximately 6.3 million subscribers in the U.S. and Canada, and through a joint venture, China. OnStar is a provider of connected safety, security, and mobility solutions and information technology. OnStar's primary services include automatic crash response, stolen vehicle assistance, remote door unlock, turn-by-turn navigation, vehicle diagnostics, and hands-free calling. Strategy As part of the company’s long-term strategy to reduce petroleum consumption and greenhouse gas emissions it is committed to continuing development of its hydrogen fuel cell technology. Environmental and Regulatory Matters The company is subject to laws and regulations that require the company to control automotive emissions, including vehicle exhaust emission standards, vehicle evaporative emission standards, and onboard diagnostic system requirements. AUTOMOTIVE FINANCING GM Financial purchases automobile finance contracts for new and used vehicles purchased by consumers primarily from franchised and select independent dealerships. GM Financial primarily offers financing to consumers who are unable to obtain financing from various traditional sources. GM Financial services its loan portfolio at regional centers using automated loan servicing and collection systems. GM Financial finances its loan origination volume through the use of credit facilities and securitization trusts that issue asset-backed securities to investors. In 2012, GM Financial commenced commercial lending activities in the U.S. centered on floor plan financing of dealer vehicle inventory and dealer loans to finance dealer sites, facilities, facility improvements, and working capital. GM Financial originates leases for the company’s customers in Canada through FinanciaLinx Corporation. In 2012, GM Financial began offering consumer sub-prime financing in Canada. The company offers a lease product in certain geographic areas through its franchised dealerships that targets consumers with prime credit bureau scores leasing new GM vehicles. Significant Events In April 2013, Ford Motor Co. and General Motors Company have signed an agreement under which both companies would jointly develop a new generation of advanced nine- and 10-speed automatic transmissions. Initial design and engineering work is already under way. In May 2013, General Motors Co. and Nissan Motor Co. Ltd. announced the companies have signed an agreement for Nissan to produce a small cargo vehicle that GM would sell in the United States and Canada.