GM says it no longer needs fed loan to go green

WASHINGTON (AP) — General Motors, in another sign of its progress since a government-led bankruptcy, said today it is withdrawing its application for $14.4 billion in federal loans it had sought to help build more fuel-efficient cars.

GM, which has posted three straight profitable financial quarters since its 2009 bankruptcy, said it no longer needed the loans because the company's cash position has improved. GM applied for the loans in 2009 to modernize plants to build fuel-efficient vehicles.

"This decision is based on our confidence in GM's overall progress and strong, global business performance," said Chris Liddell, GM vice chairman and chief financial officer. Liddell said withdrawing the application was "consistent with our goal to carry minimal debt on our balance sheet."

The $25 billion low-interest loan program is administered by the Energy Department. It was created by a 2007 law to help car companies retool older factories to build green cars.