Government Down $16 Billion on GM Bailout

The Weekly Standard ^ | 06/05/12 | Daniel Halper

[MissesBush]

Mitt Romney maintains that "President Barack Obama is holding on to the government's stake in General Motors to avoid an embarrassing financial loss before the election, and says he'd sell the stock quickly if he wins the White House," according to the Detroit News, which recently interviewed the Republican presidential candidate.

"There is no reason for the government to continue to hold (its GM stake)," Romney tells the news outlet. "The president is delaying the sale of the shares to try and avoid the story that the taxpayer took another loss. I would get the company independent from the government and run for the interests of the consumer and the enterprise and its workers -- not for the political considerations of government officials."

And that's the political reason: If it were to unload its shares today, the government would lost $16 billion on the deal. "At GM's Monday closing price of $21.11 a share, the government would lose $16 billion on its $49.5 billion bailout," the Detroit news reports.

Romney believes that this reason alone is why Obama won't sell the shares--since it would not be the politically expedient thing to do.

The government still owns 26 percent of GM, as it has for almost the last three years.

[MissesBush]

So funny to listen to the Dem simpletons claim GM's paid back the bailout, echoing the lies of the Obama cabal. They paid back the $6 billion in loans from the government. They never paid back the remaining $50 billion in equity share buys outs the Obama admin bought on the taxpayer's credit card...and if they were to do so, we the taxpayers would still take a $16 billion or a 1/3rd loss on the deal--things the MSM won't tell you.

[Lazlo in PA]

Motorhead, Collector Car Junkie, Speed Freak, Automotive Related Ping List.

Freepmail "Lazlo in PA" to be added or removed.

[Terry Mross]

Haven’t you all heard? GM paid it all back. Apparently demomcrats don’t understand what a refinance is.

[ROCKLOBSTER]

70% of GM cars are made outside the USA (China)

[douginthearmy]

BFD. That’s 4 days of Obamabucks.

[wjcsux]

I find this very hard to believe. GM came out with the Chevy Dolt that everyone is lining up to buy.

[Kickass Conservative]

General Motors begat Government Motors.

Government Motors begat Facebook Motors.

Who knew? BTW - Spell Check doesn't like the word "begat".