American Motors Reports $125-Million Annual Loss

American Motors reported that it suffered a $6.7-million loss in the final quarter of 1985, bringing its loss for the year to $125.3 million.

AMC said that most of the loss was incurred in the first half of the year and that losses have been cut substantially in recent months. Nevertheless, the 1985 showing was far short of the $15.5-million profit AMC reported in 1984.

Income for the year also was down--to $4 billion, compared to $4.2 billion in 1984, the company said. In the quarter, sales were $1.13 billion, up from $1.06 billion a year earlier.

The company lost $622.5 million from 1980 through 1984.

AMC President Jose Dedeurwaerder issued a statement reiterating the company’s position that it won’t show significant profits until a new auto assembly plant begins making cars next year in Brampton, Ontario.

For the past several years, AMC’s U.S. car operations in Kenosha, Wis., have been suffering dismal sales while the company has been able to make high profits on Jeep utility vehicles made in Toledo, Ohio. Jeeps sold at record rates during 1985, and the company projects a better year for 1986.

There were no earnings per share in either quarter.