GM says pretax earnings took $1.1B hit from autoworkers strike, but says it can absorb costs of deal

General Motors says pretax earnings took a $1.1 billion hit this year from a six-week strike by autoworkers, but the company expects to absorb the costs of a new contract and is even raising its dividend. The Detroit automaker on Wednesday reinstated its full-year earnings forecast that was withdrawn during the United Auto Workers strike that ended at GM on Oct. 30. The company now predicts full-year net income of $9.1 billion to $9.7 billion, down from its pre-strike outlook. But GM expects to generate more cash for the full year. It plans to cut capital spending, including a slowdown in spending on electric vehicles and at Cruise, its troubled autonomous vehicle unit. GM says it will raise the dividend 33% to 12 cents per share starting in January.