Tuesday, April 19, 2011

Obama administration looking to sell General Motors

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.


1 comment:

Anonymous said...

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!!!!!!