I have never understood this and really don’t understand why people aren’t screaming bloody murder if what I think is correct.
from what I read this is what’s happened.
1) GMC declared bankruptcy and all the stock holders lost a bundle of cash.
2) the Government propped it up with Billions of dollars.
3) now they are declaring an IPO?
what the heck about the prior stock holders.
this makes no sense!!!
am I right here?
sorry I meant GM
..."will be able to"? It should say...will be forced to.
” Whereas bondholders should have had equal standing to other unsecured claims, such as the UAW’s, this was not the case as bondholder rights were subordinated.”
I understand that secured bond holders should have been in the front of the line, not equal to other unsecured creditors. The UAW pension should have been turned over to the PBGC. Instead, taxpayers assumed obligations for outrageous pension and medical benefits. I cannot understand how Obama pulled this off. It seems that the bankruptcy was contrary to existing law. Since no new laws were created, I cannot understand how the secured bondholders could not use the courts to stop this legalized theft.
Everything these people do is about taking money from people who work hard for it and giving it to people who vote democrat.
This is why I will never, ever, buy a GM vehicle.