Treasury takes $10.5B loss on $49.5B bailout of GM, sells last of its shares.

[CathyInBlue]

Feds Sell Off Remaining Stake in GM, Post $10B Bailout Loss | TheBlaze.com

When the federal government bailed out Chrysler way back when, it did it in the form of guaranteed loans, which Chrysler paid back, with interest, and early. The feds actually made money on the Chrysler bailout. Now, we've just flushed $10.5 billion down the drain over the course of, what? 4 years? with the propping up of GM. I guess that's a drop in the bucket compared with the buying of bonds by The Fed to the tune of $85B/month in perpetuity.

I guess it's true, what they say. "To err is human. To truly **** up an economy requires the federal government."

 

[Tanfodude]

So what else is new when it comes to the .gov.

 

[mrjarrell]

Not sure about the rules concerning introducing all of the parties involved in this debacle to some good old fashioned tar and feathers and then having a public hanging or 500. Our children will be paying this crap off for the rest of their lives, they're indentured servants to out of control government. Sad thing is both wings of the Boot On Your Neck Party are responsible and the electorate will just keep sending them back to do it all over again. Looks like the boxes are well and truly broken.

 

[hooky]

This can't be true. The president has said on numerous occasions that the every dime has been paid back and we've actually made money on it.

 

[CathyInBlue]

If you like your plan, you can keep your plan.
If you like your doctor, you can keep your doctor.
We're making money on the automaker bailout.
I didn't have sex what that wo—

Wait a minute. I guess after a while, the lies of all the Democrats just sort of start to run together.

I'll just leave this here: https://www.youtube.com/watch?v=8ZSiNvD6_bI

 

[billybob44]

If you like your plan, you can keep your plan.
If you like your doctor, you can keep your doctor.
We're making money on the automaker bailout.
I didn't have sex what that wo—

Wait a minute. I guess after a while, the lies of all the Democrats just sort of start to run together.

Well, yes, BUT it seems like I remember Bush I saying something about "NO new TAXES"..

Somewhere down the line they mostly ALL do that...Bill.

 

[Manatee]

Consider how much unemployment we would have paid to the industry if the car companies failed. The parts industry would have gone down the drain. If it would have been a court-ordered restructuring of GM as some insist it should have been, then investors would have lost money and reduced their tax burden.

Nothing is simple and there are no right answers in this. Saving GM for 10 billion seems a reasonable deal considering how much were are pissing away trying to save Afghanistan.

 

[GodFearinGunTotin]

What does it say about the state of government financial malfeasance when a $10B loss sounds like chump change?

Top GM executives, including GM’s North American President Mark Reuss, have said in the past that the government bailout and the resulting “Government Motors” moniker hurt its image with certain demographics. GM hopes today’s sell-off will help it shake its association with Washington and boost sales, especially in the pickup truck market.

What would help even more, is if GM refunded the remaining $10B.

 

[Blackhawk2001]

Consider how much unemployment we would have paid to the industry if the car companies failed. The parts industry would have gone down the drain. If it would have been a court-ordered restructuring of GM as some insist it should have been, then investors would have lost money and reduced their tax burden.

Nothing is simple and there are no right answers in this. Saving GM for 10 billion seems a reasonable deal considering how much were are pissing away trying to save Afghanistan.

The best decision the feds could have made would have been to keep their fat fingers off both GM AND Chrysler. As it is, the gubmint got to select "winners" and "losers" and they tossed the bankruptcy statutes on its collective ears doing so.

 

[hooky]

Consider how much unemployment we would have paid to the industry if the car companies failed. The parts industry would have gone down the drain. If it would have been a court-ordered restructuring of GM as some insist it should have been, then investors would have lost money and reduced their tax burden.

Nothing is simple and there are no right answers in this. Saving GM for 10 billion seems a reasonable deal considering how much were are pissing away trying to save Afghanistan.

You know that GM went through a bankruptcy right? That would be a court ordered restructuring where investors lost money.

And just because we're pissing away money on one **** hole, doesn't mean we should be doing it on another.

 

[RockofStrength]

Consider how much unemployment we would have paid to the industry if the car companies failed. The parts industry would have gone down the drain. If it would have been a court-ordered restructuring of GM as some insist it should have been, then investors would have lost money and reduced their tax burden.

Nothing is simple and there are no right answers in this. Saving GM for 10 billion seems a reasonable deal considering how much were are pissing away trying to save Afghanistan.

Therefore, logically, we should eliminate unemployment checks from government sources.

 

[-Jake-]

Hey its only a 20% loss, not bad for government work.

 

[Twangbanger]

... Nothing is simple and there are no right answers in this....

Maybe you're right...but I wish we'd tried just a _bit_ harder to find that right answer. Companies like GM wrote off the American market long ago, in profit terms. They now make all their profit overseas, lose money here, and only maintain a loss-leader presence in North America to maintain their legacy image and stay in the good graces of The Government.

The irony is that a true, businesslike, uncompassionate, court-administered bankruptcy could have actually changed that. But rather than undergo chemotherapy and take the chance of coming out alive but ugly and missing our hair, we made a conscious decision to keep the body hooked up to life support. It will never grow or thrive or conquer again, but at least it will look the same as it used to, so we can maintain the image of something that does not really exist anymore. (Cue Bob Seger music and slow-motion video of a pickup truck with Cowboy inside, rolling through a muddy field...)

 

[John Galt]

Why sell now?
Who bought those shares?
Why not just hold onto those shares and "garnish" GM's profits until the taxpayer is paid back?
Why .....

 

[gstanley102]

Why sell now?
Who bought those shares?
Why not just hold onto those shares and "garnish" GM's profits until the taxpayer is paid back?
Why .....

Ford announced recently they will be closing operations in Australia.
Government Motors announced today they will be closing operations in Australia.
It seems the business climate has become unfavorable.

Might have been the best time to dump the Government Motors stock.

 

[Jludo]

Something about privatizing profits and socializing losses

 

[threedhuntr]

"With the final sale of GM stock, this important chapter in our nation’s history is now closed,” Lew said in a statement."

Chapter closed ?????? Yeah .... accept for the huge taxpayer loss we are forced to swallow.

 

[308offate]

Everything the government touches turns to turds lol at this one

 

[MikeDVB]

Any idea why it was a bailout and not just loans?

 

[hooky]

Any idea why it was a bailout and not just loans?

Overly simplified, because loans would have to be repaid. That ultimately would have led to pension payouts being cut and wages to current workers being cut. Barry wouldn't do that to his union buddies. It was more politically expedient to transfer wealth from all of us to them, rather than loan them money via gov't guaranteed loans.