The loans are paid back.
Listen, folks. The facts in the case are not in question here.
Were there loans? Yes.
Was there a stock purchase? Yes.
Does the taxpayer own a portion of GM? Yes.
Have the loans been paid back? Yes.
If the government sold the stock today, would they lose money? Yes. To the tune of $6-$10 Billion.
but...
Does GM owe the government money? Answer: No. They do not.
If you're against the government owning private stock no matter what the circumstances, fine, that's one thing. But GM does not, by anyone's definition, 'Owe' the government anything.
THOSE LOANS HAVE NOT BEEN PAID BACK MAM
hell they used tarp money to pay the first 5 billion back
Why go to this level of denial?
Opinion
Did General Motors Really Repay Its Taxpayer Bailout?
By Sen. Charles "Chuck" Grassley
Published April 23, 2010
| FOXNews.com
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General Motors announced this week that it repaid its multibillion-dollar taxpayer-backed TARP loans. GM even bragged that it was able to “repay the taxpayers in full, with interest, ahead of schedule, because more customers are buying [GM] vehicles.” There was great fanfare, including expensive, around-the-clock GM TV commercials nationwide. But, the hype is not the reality. In fact, GM did not repay the loans with money it earned from selling cars. Instead, GM repaid the TARP loans with money it withdrew from another TARP fund at the Treasury Department.
The day before the GM story broke, Neil Barofsky, the government TARP watchdog, testified before the Senate Finance Committee. He explained that GM did not use earnings to repay its TARP debt. The April quarterly report to Congress from his office stated: “The source of funds for these quarterly [debt] payments will be other TARP funds currently held in an escrow account.”
GM filings with the SEC reveal that GM was paying 7 percent interest on a $6.7 billion TARP debt. The filings also confirm that the source of funds for GM’s debt repayments was a multibillion-dollar TARP-funded escrow account at Treasury; that means it was taxpayer money — not earnings.
Read more:
Did General Motors Really Repay Its Taxpayer Bailout? - FoxNews.com
That article is over a year old. And I'm a dude.
Everything you need to know is right here.
PolitiFact Ohio | Rep. Jim Renacci's GM stock claim crashes on accuracy
As I said, the facts of the case are not in question. I'll stipulate that we overpaid for the stock in the newly re-organized company. For the sake of argument, I'll even stipulate that they used the TARP money that bought the stock to pay back the loans they recieved from TARP (although I think it's moot, as money is fungible).
By definition, the entity doesn't owe the government *ANYTHING.* The government has an ownership interest in the company.
Like I said, when you buy stock, the company does not then "Owe you money."
Can you show me where the tax payer got the other 40 billion?
Can you explain to me how the first 5 billion that GM took from tarp got paid back?
GM owns about 17% of the original GM
thats all thats been paid back
Treasury gets $11.7 billion from GM stock sale - Yahoo! Finance
WASHINGTON (AP) -- The Treasury Department says it has received $11.7 billion from the sale of 358.5 million shares of General Motors stock.
Treasury announced that the net proceeds from the GM stock sold last week were delivered on Tuesday. Treasury officials said that the government could receive an additional $1.8 billion assuming the bankers exercise options to purchase an additional 53.8 million shares of GM common stock within 30 days of the initial stock offering.
The government put $49.5 billion into GM as part of its bailout of the giant automaker.
In addition, Treasury said it will receive another $2.1 billion from GM when the automaker repurchases preferred stock that was issued under the government's $700 billion Troubled Asset Relief Program. That sale is supposed to take place in December.
The $11.7 billion in net proceeds represented the amount the government received after subtracting fees paid to the banks which handled the initial public offering.
In the IPO, GM's owners -- mainly the U.S. government -- sold 478 million shares at $33 each.
The stock traded as high $35.99 on the first day of trading last Thursday before settling with a gain of 3.6 percent at $34.19 for the day.
On Tuesday, GM shares followed the broader stock market down to close at $33.25, off 83 cents, or 2.4 percent, from Monday's close.
Such volatility is normal for stock in the days following an initial public offering, especially one the size of GM's, said Scott Sweet, managing partner of IPO research firm IPO Boutique. The conflict between North and South Korea, he said, is causing jitters in all segments of the stock market in a light trading week due to the Thanksgiving holiday, he said.
"There are few safe havens," Sweet said. "A geopolitical event such as the Korean situation is a highly combustible lightning rod to a market with little holiday liquidity."
GM's stock slipped perilously close to the IPO price of $33, which could trigger computerized "stop loss" orders from bigger investors. Analysts say the investment banks that ran the deal likely would persuade larger investors to step in before it got to that point. The banks are prohibited from buying the stock themselves by Securities and Exchange Commission rules until it hits the IPO price.
TARP was used to stabilize the financial system and prop up numerous banks, auto companies GM and Chrysler and insurance giant American International Group.
"General Motors' successful initial public offering is another important milestone in our efforts to recover TARP funds on behalf of the American taxpayer," Tim Massad, Treasury's acting assistant secretary for the bailout program, said in a statement.
With the receipt of the $11.7 billion from last week's sale of GM stock, Treasury said that a total of $252.1 billion has been returned to taxpayers from the TARP program.
Reflecting a stabilization of financial markets, Congress earlier this year voted to reduce the original $700 billion authorization for TARP down to $475 billion.
http://www.msnbc.msn.com/id/40341208/
