NEW YORK (TheStreet) -- General Motors (GM) shares closed trading up 0.14% to $34.79 on Wednesday after the U.S. automaker announced that it was idling 9,000 workers and halting production at one of its three Brazilian plants.
The company stopped production at the plant, halting the production of over 1,900 vehicles since Tuesday, due to a payment dispute with two local transport companies, according to the Wall Street Journal.
The two transportation companies, Tegma and Transzero, have been in ongoing negotiations with GM over freight-fare increases. GM's decision to halt production came as a surprise to officials at Tegma since the company was still providing services to the GM, a company spokesman told the Journal.
GM has said that it will not continue production until a deal is reached.
TheStreet Ratings team rates GENERAL MOTORS CO as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate GENERAL MOTORS CO (GM) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its increase in net income, impressive record of earnings per share growth, notable return on equity and largely solid financial position with reasonable debt levels by most measures. We feel its strengths outweigh the fact that the company has had lackluster performance in the stock itself."