The U.S. government is currently the biggest owner of General Motors stock. It was a condition of that company’s bailout in 2009. So when you hear that the government is looking at selling off all its stock, that may seem like a good thing, until you read what the Wall Street Journal put out today.
Mainly, that GM stock is currently at $29.35 and in order for the government to break even it needs to sell its shares at about $53. And then you read that despite the over $11 billion loss that would ensue, the Obama administration might do it anyway this summer. Why? Because 2012 is an election year. Source: The Blaze
Who gets stuck holding the bag? The U.S. taxpayer, as usual.The WSJ explains.
Possibly the worst part of this story is their need to sell GM prior to the 2012 Presidential Election so as to not make it an issue. $11 Billion loss just so they can avoid talking about it. Just sad!!!!!!
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