CEO says GM a year behind on product development

DETROIT (AP) — A big cut in research and development spending while General Motors was in bankruptcy protection set the company's new product plans back by about a year, its top executive told reporters today.

Chairman and CEO Daniel Akerson said GM is working to accelerate vehicle plans that were postponed when R&D spending was cut to $5 billion per year as the company was trying to save money during its 2009 stay in bankruptcy protection. The spending has since been restored to $7 billion.

GM executives have been scrambling to get the new products back on track, trying not to fall too far behind competitors such as Ford Motor Co. as they update cars and trucks on a more regular basis.

Newly redesigned cars and trucks tend to sell faster because they take advantage of new technology and are quieter, handle better and generally are more efficient.