Treasury Selling GM Stock - $10 Billion Loss

Discussion in 'Politics & Religion' started by pspr, Jun 5, 2013.

  1. pspr

    pspr

    Good job Mr. President. :mad: You should have followed bankruptcy laws like Romney suggested instead of making them up as you went along.
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    The U.S. Treasury said Wednesday it plans to sell 30 million additional shares of General Motors stock in a new public offering in conjunction with GM’s return to the S&P 500 index on Thursday.

    The United Auto Workers Retiree Medical Benefits Trust — which holds about 14 percent of GM — will also participate by selling 20 million shares, making the total offering size 50 million shares. It represents about 12 percent of Treasury’s outstanding GM stock.

    The move may mean that Treasury completely exits in 2013, rather than by the end of March 2014. The return to the S&P will prompt significant demand for GM shares and the stock has recently traded near its highest level since February 2011. GM is filing a new prospectus ahead of the sale.

    The Treasury sold nearly 20 percent of its remaining shares in General Motors Co. in the first three months of the year, the Detroit automaker disclosed Thursday.

    The Treasury, which initially held 60.8 percent of GM as part of the U.S. $49.5 billion bailout, now owns just 16.4 percent, or 241.7 million shares. In December, the Treasury sold GM 200 million shares of its stake for $5.5 billion to reduce its stake to 300 million shares.

    In total, Treasury has recouped $30.6 billion. At current trading prices, Treasury would lose around $10 billion on its GM bailout.


    http://www.detroitnews.com/article/...s-GM-stock?odyssey=tab|topnews|text|FRONTPAGE
     
  2. Tsing Tao

    Tsing Tao

    Honestly, was there any doubt this would happen?
     
  3. pspr

    pspr

    None. The only question was how much was it going to cost us in the end. Now we know.
     
  4. Lucrum

    Lucrum

    Not from me.
    Has the federal government made any money from it's "investments" since Odumbo started throwing OUR money around?
     
  5. pspr

    pspr

    I think they made some money on Bush's TARP program.

    But, under Obama? I think it all went into the pockets of people like Al Gore, George Soros and a thousand other Obama supporters and donors.