Taxpayers Will Lose $11 Billion on GM Bailout

[Dont Taz Me Bro]

Hey, we told you so, but giving political kickbacks was far more important than fiscal responsibility.

NEW YORK — A report that the US government plans to sell off much of its remaining stake in General Motors this year despite the firm's lackluster share price caused investors to flee the stock Tuesday.

After the Wall Street Journal reported a government sale could come within the next six months, GM's shares fell by nearly 1.3 percent to end at $29.59.

The government sale would "almost certainly" mean that US taxpayers would take a loss from a politically controversial $50 billion rescue of the auto giant in 2009, according to the paper.

The government would need to sell its roughly 500 million shares for $53 dollars each in order to break even, but GM's stock is currently hovering at a price of just under $30 per share.

At the current price, the government would lose more than $11 billion, but the Obama administration is willing to accept the loss in order to cut its last ties to the auto manufacturer, the newspaper said, citing unnamed sources.

AFP: GM stock lower amid report of quick govt sale

 

[Soggy in NOLA]

Hey, we told you so, but giving political kickbacks was far more important than fiscal responsibility.

NEW YORK — A report that the US government plans to sell off much of its remaining stake in General Motors this year despite the firm's lackluster share price caused investors to flee the stock Tuesday.

After the Wall Street Journal reported a government sale could come within the next six months, GM's shares fell by nearly 1.3 percent to end at $29.59.

The government sale would "almost certainly" mean that US taxpayers would take a loss from a politically controversial $50 billion rescue of the auto giant in 2009, according to the paper.

The government would need to sell its roughly 500 million shares for $53 dollars each in order to break even, but GM's stock is currently hovering at a price of just under $30 per share.

At the current price, the government would lose more than $11 billion, but the Obama administration is willing to accept the loss in order to cut its last ties to the auto manufacturer, the newspaper said, citing unnamed sources.

AFP: GM stock lower amid report of quick govt sale

Gee.... go figure. At least a bunch of union guys didn't lose their jobs. That's all that matters.

 

[Soggy in NOLA]

Considering they never addressed the $26,500,000,000 in unfunded pension liabilities, we'll get to see this movie again.. and soon. Next time... let GM fold. The world will go on.. I promise.

 

[Avorysuds]

So, being 1 side predicted this, are they now the smartest people on the planet or still a bunch of old white racists?

 

[Soggy in NOLA]

Same for the Wall Streeters.... we need to stop rewarding bad/risky behavior.

 

[PLYMCO_PILGRIM]

Hey, we told you so, but giving political kickbacks was far more important than fiscal responsibility.

NEW YORK — A report that the US government plans to sell off much of its remaining stake in General Motors this year despite the firm's lackluster share price caused investors to flee the stock Tuesday.

After the Wall Street Journal reported a government sale could come within the next six months, GM's shares fell by nearly 1.3 percent to end at $29.59.

The government sale would "almost certainly" mean that US taxpayers would take a loss from a politically controversial $50 billion rescue of the auto giant in 2009, according to the paper.

The government would need to sell its roughly 500 million shares for $53 dollars each in order to break even, but GM's stock is currently hovering at a price of just under $30 per share.

At the current price, the government would lose more than $11 billion, but the Obama administration is willing to accept the loss in order to cut its last ties to the auto manufacturer, the newspaper said, citing unnamed sources.

AFP: GM stock lower amid report of quick govt sale

Gee.... go figure. At least a bunch of union guys didn't lose their jobs. That's all that matters.

That was the ENTIRE point of the auto bailout in the first place.

We should have let chevy and chrysler fail and let ford pick up the pieces....hell maybe give a grant to Tesla motors instead of bailing out compaines that can't operate profitably.

 

[boedicca]

Hey, we told you so, but giving political kickbacks was far more important than fiscal responsibility.

Gee.... go figure. At least a bunch of union guys didn't lose their jobs. That's all that matters.

That was the ENTIRE point of the auto bailout in the first place.

We should have let chevy and chrysler fail and let ford pick up the pieces....hell maybe give a grant to Tesla motors instead of bailing out compaines that can't operate profitably.

But wait! Without the bailout we wouldn't have the Epic Chevy Volt!

 

[Dr.House]

11 Billion is a big loss...

Not the change we were hoping for....

 

[Claudette]

WOW Color me surprised.

The administration will take the loss just to get GM off the radar?? Ah whats 11 billion of the taxpayers dollars. Apparantly Chump change in the eyes of the administration.

Gotta love that Volt. Was well worth our 11 Billion doncha think??

 

[PLYMCO_PILGRIM]

Gee.... go figure. At least a bunch of union guys didn't lose their jobs. That's all that matters.

That was the ENTIRE point of the auto bailout in the first place.

We should have let chevy and chrysler fail and let ford pick up the pieces....hell maybe give a grant to Tesla motors instead of bailing out compaines that can't operate profitably.

But wait! Without the bailout we wouldn't have the Epic Chevy Volt!

[ame=http://www.youtube.com/watch?v=CZ4gitSm1Xg]YouTube - 2008 Tesla Roadster: This Electric Sports Car Is the Real Thing[/ame]

or

[ame=http://www.youtube.com/watch?v=dVk_j7dqcCY]YouTube - Overview: 2011 Chevrolet Volt[/ame]


oh i smell a thread: Private sector electric car vs govt backed electric car

 

[kyzr]

Make the new thread, would you rather buy a "GSE" electric car or a publicly traded electric car?

The catch would be that the G-Car would be 1/2 the cost of the private car because the feds would keep bailing out the union made G-car.

 

[BlindBoo]

If is the most powerful word in the english language.

If the government sell the stock for less the 53.07 per share we will loose 11 billion.

Okay.

 

[Dr.House]

If is the most powerful word in the english language.

If the government sell the stock for less the 53.07 per share we will loose 11 billion.

Okay.

No...

If the stock would sell for $53 we break even...

If it sells for what it's worth today, we lose 11 Billion...

If it drops below today's opening price by the time they sell we lose even more....

Pay attention...

 

[RDD_1210]

"Why do you all hate corporations so much? "

How did I do with that one?

 

[Avatar4321]

"Why do you all hate corporations so much? "

How did I do with that one?

Pretty poorly. This has nothing to do with hating corporations. It has to do with wasting taxpayer money to support a company merely to pay back unions for electing certain politicians to office.

 

[RDD_1210]

"Why do you all hate corporations so much? "

How did I do with that one?

Pretty poorly. This has nothing to do with hating corporations. It has to do with wasting taxpayer money to support a company merely to pay back unions for electing certain politicians to office.

But we all know nothing is more important then jobs, right? Think how many jobs would have been lost if we let GM die. That's what you guys have been preaching all this time, right? Jobs are priority #1?

 

[Dr.House]

"Why do you all hate corporations so much? "

How did I do with that one?

Pretty poorly. This has nothing to do with hating corporations. It has to do with wasting taxpayer money to support a company merely to pay back unions for electing certain politicians to office.

But we all know nothing is more important then jobs, right? Think how many jobs would have been lost if we let GM die.

How many jobs would we have lost if GM went belly up?

That's what you guys have been preaching all this time, right? Jobs are priority #1?

Apparently not to the 0bama administration....

 

[RDD_1210]

Pretty poorly. This has nothing to do with hating corporations. It has to do with wasting taxpayer money to support a company merely to pay back unions for electing certain politicians to office.

But we all know nothing is more important then jobs, right? Think how many jobs would have been lost if we let GM die.

How many jobs would we have lost if GM went belly up?

That's what you guys have been preaching all this time, right? Jobs are priority #1?

Apparently not to the 0bama administration....

Right, Obama hates employed people because unemployed people vote for democrats. We all know this.

 

[BlindBoo]

If is the most powerful word in the english language.

If the government sell the stock for less the 53.07 per share we will loose 11 billion.

Okay.

No...

If the stock would sell for $53 we break even...

If it sells for what it's worth today, we lose 11 Billion...

If it drops below today's opening price by the time they sell we lose even more....

Pay attention...

Again I stand corrected. So it's all speculation based on unnamed sources that the government is going to sell. Humm smells a little like fishes to me.

 

[Dont Taz Me Bro]

But we all know nothing is more important then jobs, right? Think how many jobs would have been lost if we let GM die. That's what you guys have been preaching all this time, right? Jobs are priority #1?

Anyone with a basic education understands that losing money in order to keep people employed is a lose lose scenario and I think you know that too.

You claimed earlier today you thought I was becoming partisan. Well, based on some of your more recent retorts I think you're becoming willfully stupid. Maybe that's the real problem.