General Motors secured a $6 billion line of credit on Wednesday, just two days after cutting 164 more jobs due to the ongoing United Auto Workers (UAW) strike.
In a filing with the Securities and Exchange Commission (SEC), GM said it entered into a new 364-Day Revolving Credit Agreement with JPMorgan Chase to secure the line.
The automaker’s tally of workers furloughed in connection with the work stoppage now exceeds 2,100, while the strike, which began on Sept. 15 at plants for Detroit’s Big Three in Michigan, Missouri and Ohio, is in its 20th day.
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"This morning, GM filed an 8K disclosing that we have secured an additional revolving credit facility," a GM spokesperson said in a statement sent to FOX Business. "GM’s total automotive liquidity was approximately $38.9 billion at the end of the second quarter. The business has continued to perform well since then."
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The deal requires that GM maintain at least $4 billion in global liquidity and at least $2 billion in U.S. liquidity.
"We are being prudent in the face of uncertainty," the GM spokesperson added.
GM estimates the strike impact in the automaker's third quarter was about $200 million.
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Meanwhile, the auto strike has already cost the U.S. economy nearly $4 billion, according to the latest numbers from Michigan economic consulting firm Anderson Economic Group.
The breakdown shows the work stoppage has cost workers $325 million in direct wages, while automakers collectively lost $1.12 billion, dealers and customers lost $1.2 billion and suppliers took a $1.29 billion blow.
Last month, Stellantis cut roughly 370 jobs due to the strike and Ford temporarily furloughed 600 workers, according to Forbes.
In a media briefing on Friday, Ford executives cautioned that a prolonged work stoppage at its assembly plants would not only hurt the company but could lead to as many as 500,000 workers at suppliers losing their jobs.
In an August regulatory filing, Ford announced a $4 billion credit line with JPMorgan.
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FOX Business reporter Breck Dumas and Reuters contributed to this report.
