General Motors Corp. said it was reiterating its earnings outlook for the first quarter and full-year 2002, as strong U.S. sales continue to prop up profits. The world's largest automaker said it was still forecasting earnings of $1.20 per share for the first quarter, excluding results from its Hughes satellite division and any charges from its European restructuring. GM said it was sticking with its earnings forecast of $3.50 per share for all of 2002, also excluding European charges and Hughes. The statement came in advance of a GM presentation to analysts in Detroit.GM Chief Executive Officer Rick Wagoner said even in a competitive environment, the company was improving its earnings and balance sheet. "We're continuing to work on all aspects of the business to reduce cost," Wagoner said. "We have made a lot of progress in simplifying the company."But "the margins are not adequate in the business, and we don't see any pricing relief coming," he added.The average forecast for first-quarter earnings from 15 Wall Street analysts is $1.06 per share, while the average full-year forecast is $3.55 per share, according to Thomson Financial/First Call.GM has kept its North American auto business profitable, thanks to a combination of strong sales incentives, cost cutting and a popular line of trucks and sport utility vehicles. By comparison, both Ford Motor Co. and the Chrysler arm of DaimlerChrysler AG have set targets of breaking even this year.Before Wagoner spoke, GM Chairman Jack Smith praised the company's management and the turnaround of the company, which he acknowledged had been in "big trouble" at the start of the 1990s.He also credited GM's offer of interest-free loans in the wake of the Sept. 11 attacks with helping to revive the American economy. "It's beauty was its simplicity, and we did it fast ... it had a major impact on keeping the national economy rolling," Smith said.Wagoner said competition in the U.S. market was still fierce, especially from Japanese automakers. Wagoner and other GM executives have repeatedly said over the past several months that a weak Japanese yen was giving Japan's automakers a cost advantage of up to 30 percent.