Skip to comments.Government could seek foreign investors for GM (i.e., China)
Posted on 09/19/2010 5:39:37 PM PDT by Brilliant
Investment bankers handling the upcoming General Motors Co. stock sale are expected to court foreign investors as well as those in North America...
GM and the Treasury Department would not comment Sunday on reports that the automaker is in talks with its current partner in China, SAIC, about buying a stake in the Detroit company. SAIC is owned by the Chinese government...
The U.S. Treasury loaned GM about $50 billion to help it through bankruptcy protection last year. GM has repaid $6.7 billion. The rest of the bailout money was converted to a 61 percent government stake in the company.
The government hopes to get the remaining $43 billion back with stock sales that could start in mid-November...
The Treasury statement also said banks underwriting the GM stock sale will be expected to balance getting the maximum price per share and return for taxpayers...
Last week, new GM CEO Daniel Akerson said it will take a couple years for the government to get its money back, but GM has a goal of returning the cash...
The bailout has bred resentment with some car buyers and hurt GM's sales, however. The automaker hopes the stock sale will end its government ownership and raise money for investment and to reduce debt...
Akerson indicated that it would take consistent earnings from GM and several stock sales before the money is returned.
President Obama also has said all taxpayer money will be returned, but spokesmen later said he meant the money his administration pumped into GM, not bailouts made by the Bush Administration...
The company will not sell any shares of common stock, leaving that to the government and its three other shareholders. But it plans to sell preferred stock, which pays a dividend and will be converted to common shares in 2013.
(Excerpt) Read more at finance.yahoo.com ...
That's laughably partisan and ridiculous, particularly since someone else will be President when and if it happens.
So, this is why the Regime pushed back the stock sale.
There seems to be a plan coming together here.
I guess the government bureaucrats think that the Chinese government is better at running GM than Obama is.
But in the end, GM will be a foreign automaker.
Also, the Chincoms will likely close the plants in the US and cart all the tooling back to China. Wait until the UAW guys learn that the Chicoms feel no need to pay their pensions.
“But in the end, GM will be a foreign automaker.”
That is the absolute best thing that could happen to it. The unions have ruined US auto makers.
Odds are that the Chinese would close the plants and move the works back to China; so, all the UAW guys who voted for Obama would receive pink slips thanks to Obama.
I thought China already owned part of GM/ Chevrolet via their Cherry car company? (sarc)
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Oh great plan, give GM to the Chinese. /sarcasm
I don’t really much care what happens to GM ,or Chrysler either. I never intend to buy another GM or Chrysler product.
Unions get the last laughs. Taxpayers fund both unemployment and the unions’ pensions.
Oh I just love the irony that the unions has to work for the Chicoms.. Hey you union people, how do you like the hope and change??
Maybe. They could get screwed just as the bonholders were screwed during the Regime takeover of GM.
Wait until the UAW guys learn that the Chicoms feel no need to pay their pensions.
All after how man $Billions in the failed bailout before that????
. That won't matter - I guarantee, the US Taxpayers will pick up the tab for those plumb pensions.
I wouldn’t buy a government motors car for $20. to hell with those socialist bastards,
Unfortunately, that is likely.
They burned American bondholders and now are going to sell GM to China. These people are scum. Not Americans. Scum.
There is no question that they are subsidizing the Chinese.
Also no question that they think that the Chinese are better at managing companies than Americans.
Finally those Union workers will find out what it is like to be owned by the MAN.
It would be unpatriotic for Obama to sell US owned stock to China. Or for the UAW to sell stock to the Chinese.
The irony of it will be epic. I wonder if they can take a New Yawk Lawyah to Beijing and get much done...LOL.
Once the company gets into the hands of the Chinese, it will be too late as Ford will have buried them into the ground by then.
Go Ford! The last true Patriotic automotive enterprise. They should start advertising and sponsoring Tea Party events. You want to see a boost in sales, that’s what you do.
Other nations are cheering us on. Let’s make the most of it.