GM Falls to 13-Year Low

Updated from 3:24 p.m. EST

General Motors (GM Quote) stunned the stock market Wednesday with an ominous profit warning, leading to speculation that the auto giant will be forced into a restructuring that could permanently alter the face of one of America's most enduring symbols of industry.

Cutting its 2005 earnings outlook by more than half, the No. 1 automaker expects to lose $1.50 a share in the first quarter and earn just $1 to $2 a share for all of 2005. The company had previously predicted a break-even first quarter and earnings of $4 to $5 a share for 2005.

The warning led Fitch to cut its rating of GM and GMAC's corporate debt to triple-B-negative, its lowest investment grade level. ...