General Motors and Hughes in Discussions With News Corporation

  DETROIT, May 1 /PRNewswire/ -- General Motors Corp. (NYSE: GM, GMH) and 
its subsidiary, Hughes Electronics Corp., stated today that after review by 
the board of Hughes and as part of their evaluation of strategic restructuring 
alternatives, the GM Board of Directors has authorized proceeding with further 
discussions with The News Corporation Limited and Sky Global Networks, Inc., a 
subsidiary of News Corporation, regarding a proposal to combine Hughes with 
Sky Global.  
There can be no assurance that the parties will reach an agreement 
regarding such a transaction, or, that if an agreement is reached, any 
conditions to the transaction would be satisfied or that a transaction would 
be consummated.  
Any transaction involving the combination of Hughes and Sky Global would 
be subject to a number of conditions, including the approval of the boards of 
directors of General Motors, Hughes, News Corporation, and Sky Global, the 
preparation, negotiation and execution of definitive agreements, the approval 
of the holders of GM's $1-2/3 par value and Class H common stocks, and certain 
regulatory requirements.  
If a transaction is to be proposed to GM stockholders, GM would file with 
the Securities and Exchange Commission and distribute to its stockholders a 
Registration Statement on Form S-4, including a prospectus and proxy/consent 
solicitation statement, in connection with any transaction that may result 
from these discussions.  Holders of GM $1-2/3 and GM Class H common stocks 
would be urged to read these and any other related documents the corporation 
may issue.  If and when these documents are filed, they can be obtained for 
free at the SEC's website, .  Additional information on how to 
obtain these documents from General Motors would be made available to 
stockholders if and when a transaction is to occur.  Such documents are not 
currently available.  
This communication shall not constitute an offer to sell or the 
solicitation of an offer to buy, nor shall there be any sale of securities in 
any jurisdiction in which such offer, solicitation or sale would be unlawful 
prior to registration or qualification under the securities laws of any such 
jurisdiction.  No offering of securities shall be made except by means of a 
prospectus meeting the requirements of Section 10 of the Securities Act of 
1933, as amended.  
General Motors, and its directors and executive officers, may be deemed to 
be participants in the solicitation of proxies or consents from the holders of 
GM $1-2/3 common stock and GM Class H common stock in connection with any 
transaction that might be proposed to GM stockholders.  Information about the 
directors and executive officers of GM and their ownership of GM stock is set 
forth in the proxy statement for GM's 2001 annual meeting of shareholders. 
Investors may obtain additional information regarding the interests of such 
participants by reading the prospectus and proxy/consent solicitation 
statement if and when it becomes available.  
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SOURCE  General Motors Corporation  

    -0-                             05/01/2001 P 
    /CONTACT:  Toni Simonetti of General Motors Corporation, 212-418-6380/ 
    /Web site: / 

(GM GMH)  
CO:  General Motors Corporation; Hughes Electronics Corp.; The News  
 Corporation Limited; Sky Global Networks, Inc. 
ST:  Michigan 
SU:  TNM  
-0- May/01/2001 21:14 GMT
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