U.S. Government Ends Chrysler Investment With $1.3 Billion Loss

FoxNews. ^ | 07/21/11 | FoxNews.

[Doogle]

The U.S government has sold its shares in Chrysler LLC at a likely loss of $1.3 billion in taxpayer money, the Treasury Department said Thursday, announcing the end of a controversial investment that resurrected the troubled auto company.

Italian automaker Fiat SpA, which has run the company since it emerged from bankruptcy protection in June 2009, purchased the U.S. government's remaining 98,000 shares in the auto company for $560 million.

[Doogle]

failure

[TwelveOfTwenty]

So, we’ve lost 1.3 billion dollars AND a US automobile manufacturer to a foreign company.

[SVTCobra03]

Since Chrysler owes the taxpayers $1.3 billion, I will take a 2012 Dodge Challenger 392 SRT8 in lieu of a check for my share.

[Huskrrrr]

1.3 billion. Almost sounds small next to a 1.4 trillion dollar deficit.

[Huskrrrr]

Make mine a Super-Bee Hemi pickup.

[MarkL]

People talk about "government funds" or money from the government (or even "Obama's Stash") but the problem is that all of the above are actually funds that have been taken from those who are productive and are spent by people who have no reason to actually care about how the money is spent. So it's no big deal to throw money into a deep, black hole, throwing in good money after bad... The prudent thing to do would be to hope Fiat could turn the company around (OK, probably wishful thinking), but then, the administration is trying to divest itself from all of the "Government Motors" escapades before the election, so it doesn't really matter how much money they lose, as long as it's for political gains. Plus, it provided the most important benefit to the administration: Using other peoples' money, the administration managed to funnel millions of dollars into the coffers of their political supporters and cronies.

Mark

[MarkL]

1.3 billion. Almost sounds small next to a 1.4 trillion dollar deficit.

You're right, it's less than 1/10th or 1%. But then again, our government is so good at it, they like to do it a whole lot. A billion here, a billion there, pretty soon, you're talking about "real money."

Mark

[majormaturity]

Corrected Headline: “US Takes 1.3 Billion loss to United Auto Workers; bond holders told to go F**K themselves.” There, that fixes it.

[newzjunkey]

If you lose $1.3 billion on Chrysler alone and the new owner is a foreign company, FIAT, how can Obama claim with a straight face to have saved the American auto industry?

[Doogle]

The U.S. government is prepare)d to provide up to $10 billion in loans to finance the development of massive hydrocarbon reserves off Brazil’s coast (08/05/09)

Billionaire investor George Soros bought an $811 million stake in Petroleo Brasileiro (Petrobras) in the second quarter(08/15/09)

The Obama administration’s six-month delay in approving new offshore drilling leases in federal waters will become a new three-year ban, Interior Secretary Ken Salazar quietly told reporters last Friday. Which means that no new oil and gas leases will be approved during President Obama’s term even though two –thirds of the American public supports such activity, according to a December 2009 Rasmussen poll.

[OKSooner]

"U.S. Government Ends Chrysler "

[scooby321]

He saved the United Auto Workers who recycled that money into Campaign donations.

[SunkenCiv]

Thanks Doogle. See, there’s nearly $600 million to delay the default. Nice bookkeepin’, Zero.

[Doogle]

..he lies

[patton]

Even more funny, The Senior Bond-Holders Obama gave a haircut - was the teacher’s union retirement fund.

[Robwin]

But the article states, Chrysler has made a remarkable turnaround from two years ago, when it was rescued by the government. The company earned net income of $116 million in the first quarter and is forecasting 2011 earnings of $200 million to $500 million. Under the leadership of Fiat CEO Sergio Marchionne, the company has cut costs and revived its sales by refurbishing most of its lineup of Jeep, Chrysler, Dodge and Ram vehicles. Its sales rose 30 percent in June compared to the previous year.

So if that's the case, we are not getting our money back because?

[BobP]

[Doogle]

So if that's the case, we are not getting our money back because?

..ask your Congressman why

[lowbridge]

bump

[Age of Reason]

Nice of us to bail out a company so Italy could have it.