General Motors recorded a special expense of $7.1 billion last quarter related to the exit from electric vehicle and restructuring of its China business

General Motors (GM.US) announced on Thursday that it will account for a special expense of $7.1 billion for the fourth quarter of last year, primarily related to its exit from the electric vehicle business and the restructuring of its operations in China.

General Motors noted in its filing that the related expenses include approximately $6 billion stemming from adjustments to its electric vehicle development plans due to weakening demand; another $1.1 billion is related to the previously announced restructuring of its joint ventures in China, of which about $500 million is cash expenditure.

The special expenses will impact the company's net profit but will not affect adjusted performance. The market had already anticipated this news, as General Motors indicated in October of last year that it was reassessing its electric vehicle strategy and had already confirmed $1.6 billion in related expenses in the third quarter