DETROIT -- General Motors CEO Rick Wagoner on Monday bought 50,000 shares of the automaker, which has been hit on the stock market after its warning last week of weaker-than-expected profits.
GM said last week that its 2005 earnings will be as much as 80 percent below its previous target, prompting GM's debt ratings to edge closer to "junk" status and its shares to drop to their lowest levels since December 1991.
"This is a personal investment decision for me and it demonstrates my confidence in the long-term prospects for General Motors," Wagoner said in a statement.
GM shares, which last week fell about $5.30 or more than 15 percent, bounced back slightly on Monday to close up $1.07 or 3.74 percent at $29.69 on the New York Stock Exchange.
Shares of the world's largest automaker are still down more than 60 percent since Wagoner took over as its CEO in 2000, however.