GM Shareholders To Be Left With Owning 1% of GM

Why these guys havent been wipedout like Cerberus chyrsler stake?

http://www.cnbc.com/id/15840232?video=1104538522&play=1

 

The plans for GM are comical.

Gov't willing to take 50% "haircut" on bailout money in exchange for 50% of the common shares. With the UAW becoming the second largest shareholder followed by the bond holders. Existing shareholders will own 1% of the company.

All this and it still goes bankrupt. LoL

 

Bondholders getting stiffed for political reasons, just what you need in a credit crisis

 

Bondholders are the one getting the shaft here. 100% bond in exchange for 10% of the future company.. Ha.

Maybe this is Obama's way to push GM into BK.

 

IF GM decalres chapter 11 or 7 then Obama would gain respect in my eyes. It would be a mercy killing.

 

In their defense the politicians currently in charge can't help it.

They're just too fucking stupid to know any better.

 

This will be the death knell for GM. Having the union as workers was bad enough but giving them the power to choose management and run the company will not work out well in the long run. Many of the union workers probably don't even know what the difference between an asset and a liability is.