Slide 1: 2009 Fourth Quarter Strategic Actions
Exhibit 99.2 2009 Fourth Quarter Strategic Actions January 5, 2010 4:00 PM EST Contact GMAC Investor Relations at (866) 710-4623 or investor.relations@gmacfs.com
Slide 2: Forward-Looking Statements
Forward-Looking Statements In this presentation, the use of the words "expect," "anticipate," “forecast,” “initiative,” “plan,” “goal,” “outlook,” “priorities,” “target,” “objective,” "estimate," "project," "intend," "evaluate," "pursue," "seek," "may," "would," "could," "should," “when,” "believe,"
Slide 3: Fourth Quarter Actions: Summary
Fourth Quarter Actions: Summary • Stress Test Resolution: GMAC issued securities to the U.S. Treasury in exchange for $3.79 billion in cash Completes the two-part capital investment anticipated in connection with SCAP • Strategic Mortgage Actions: GMAC will take a $3.8 billion pre-tax charge related
Slide 4: Fourth Quarter Actions: Benefits
Fourth Quarter Actions: Benefits These strategic actions also provide GMAC the best opportunity to fully repay the U.S. Treasury on a timely basis • Minimizes impact on GMAC from future ResCap issues • Positions GMAC for improved financial performance • Strengthens GMAC’s capital base • Accelerates
Slide 5: Details of Capital Actions
Details of Capital Actions • GMAC received $3.79 billion in cash from the issuance of new securities to the U.S. Treasury, which included $2.54 billion in exchange for Trust Preferred securities and $1.25 billion in exchange for Mandatory Convertible Preferred securities (“MCP”) – Allows GMAC to ach
Slide 6: Details of Mortgage Related Actions
Details of Mortgage Related Actions • A strategic review of the mortgage operations has resulted in several reclassifications and revaluations of certain mortgage related assets, which GMAC intends to sell – International ResCap Assets: ResCap reclassified the majority of its international mortgage
Slide 7: ResCap Balance Sheet Analysis
ResCap Balance Sheet Analysis • From its peak of approximately $136 billion in 2006, ResCap has reduced its assets to approximately $20 billion while working through the challenges of underperforming legacy assets • Of the approximately $20.0 billion in assets remaining on ResCap’s balance sheet, $4
Slide 8: Mortgage Valuation: ResCap and Ally Bank
Mortgage Valuation: ResCap and Ally Bank • A thorough analysis was conducted, which utilized several assumptions to determine the adjusted carrying values for the ResCap and Ally Bank domestic mortgage loans: – Defaults, loss severity and prepayments: Projected based on loan level characteristics su
Slide 9: Conclusion
Conclusion Capital Actions • Structure results in $3.79 billion of new capital from the U.S. Treasury • Finalizes the amount and terms of the additional capital to be issued to the U.S. Treasury in connection with SCAP • Strengthens GMAC’s capital base • Reduces fixed charge requirements with the co