Posted on 04/26/2010 3:52:27 AM PDT by radioone
Uncle Sam gave GM $49.5 billion last summer in aid to finance its bankruptcy. (If it hadn't, the company, which couldn't raise this kind of money from private lenders, would have been forced into liquidation, its assets sold for scrap.) So when Mr. Whitacre publishes a column with the headline, "The GM Bailout: Paid Back in Full," most ordinary mortals unfamiliar with bailout minutia would assume that he is alluding to the entire $49.5 billion. That, however, is far from the case.
(Excerpt) Read more at americanthinker.com ...
Does Whitacre have a law degree to go with his resume? If not, he should...got all the ingredients in that advertisement to pass the low hurdle of the bar.
So what? Whitacre’s $9m compensation comes out of the same escrow fund doesn’t it ? Now that’s good money, you know it is . Just as good as the $18m Ed passed through to Rahm a few years back.
As part of the deal, GM’s suppliers got zilch.
.....hmmmm....me gets the feeling some folks on this thread, used to work for big Ed....and know how he operates?
Ed “I can respect that” Whitacre, you lying POS. The crash test dummies on the forklift behind you have more credibility. I have NO respect for lying POS scumbags like you and your boss...the lying POS president.
http://www.autoblog.com/2010/04/22/video-ed-whitacre-tells-america-gm-has-repaid-u-s-loans-in-new/
Where’s Ford’s ad saying, “ Ford is a genuinely profitable auto maker who did not sell out to the government bureaucrats. We intend to stay profitable.”
“I can respect that”.........reminded me of the line “Honey, you know I’ll Still respect you in the morning”..........
General Motors
Published: April 25 2010 19:45 | Last updated: April 26 2010 09:51Anyone looking to model himself on an American corporate hero could do far worse than channeling Lee Iacocca, the man once credited with saving Chrysler. General Motors’ new chief Ed Whitacre has spent the past several days none too subtly recreating Mr Iacocca’s finest moment by touting GM’s repayment of government loans five years ahead of schedule and hinting that an upcoming earnings report will be impressive. In 1983, Mr Iacocca announced repayment of a controversial 1979 rescue loan seven years early after releasing record profits. Mr Whitacre’s bold style and role as commercial pitchman also are reminiscent of Mr Iacocca in his prime. But that is where the similarities end.
In television advertisements and a Wall Street Journal Op-Ed titled “The GM Bail-out: Paid Back in Full”, Mr Whitacre suggests taxpayers have been made whole. Unlike 1983’s Chrysler, though, 2010’s GM remains far from a win-win, much less the profitable bet for Uncle Sam Mr Whitacre also once suggested. Its repayment only covers the $6.7bn in direct loans, not the additional $45bn converted to a 61 per cent US equity stake and preferred shares. Even after wiping out shareholders, decimating creditors and dumping brands and dealers, the new GM could not have sustained $50bn in fresh borrowing. Repaying the entire investment seems a long shot as GM would have to fetch more than $70bn in an initial public offering. More profitable Ford is worth less than $50bn. And GM received plenty of indirect help that Mr Iacocca never enjoyed through the cash-for-clunkers scheme and aid to suppliers and a former financing arm.
(Emphasis added)
Even if GM repaid its entire bailout, I still would never buy a GM car built in 2009 or later. They will be boycotted permanently, as they deserve. The day GM dies for real (like the zombie that finally burns or Glenn Close in fatal attraction) and doesn’t pop back up from the grave or the tub with more of our money in their accounts, is a day that I will celebrate.
I used to recover from my illnesses just soon as the school bus went by but I was a wee lad then and it fooled no one.
FUBO.
FUGM.
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