Were those cost cuts in vain? GM credit rating still 'junk' despite promise of improvement

The agencies that matter in the financial world -- Moody's, S&P and Fitch -- have come out of the woodwork with a "better luck next time" for General Motors. The distressed automaker, who yesterday said it would cut its dividends in half, lower retiree heatlh care costs by $900 million and gave Rick Wagoner a 30 percent paycut, couldn't erase enough doubt within the financial world to receive an upgrade from the all-important agencies. What's more is that, with more and more time elapsing without a sale, GMAC isn't likely to receive much of an upgrade either.

The three agencies seem to have a "wait and see" approach before offering GM a hand.