News / Economy

US to Sell Last of Its Stake in General Motors

Mark Reuss, President of GM North America, introduces 2015 Chevrolet Colorado at the 2013 Los Angeles Auto Show, Calif., Nov. 20, 2013.
Mark Reuss, President of GM North America, introduces 2015 Chevrolet Colorado at the 2013 Los Angeles Auto Show, Calif., Nov. 20, 2013.
The U.S. says it plans to sell the last of its ownership stake in automaker General Motors by the end of the year.

The government owned 61 percent of the world's second biggest auto manufacturer five years ago. The U.S. took control of GM after handing it a nearly $50 billion bailout to keep it from collapsing at the height of the steep American economic downturn in 2008.

But the government has gradually been selling portions of the 912 million shares it owned, leaving its stake at less than 2 percent. The government has so far recovered more than $38 billion of its bailout. At GM's current stock price of about $38 a share, the government would recoup more than another $1 billion with the sale of its last 31 million shares.

In the final accounting, the government investment in GM could cost taxpayers about $10 billion.

But a Treasury official, Tim Bowler, said Thursday that if the government had not bailed out GM and another automaker, Chrysler, "the cost to the country would have been substantial," with lost jobs and lower economic growth.

Overall, the government says it has come out slightly ahead with its investments in failing businesses during the economic downturn that was the country's worst in seven decades. The U.S. handed out more than $421 billion in bailouts and so far has recovered more than $431 billion.

You May Like

Video Experts Warn World Losing Ebola Fight

Doctors Without Borders says world is losing battle against Ebola, unless wealthy nations dispatch specialized biological disaster response teams More

Video Experts: Rise of Islamic State Significant Development in Jihadism

Many analysts contend the group - which grew out of al-Qaida in Iraq - has been rebuilding for years More

US-Based Hong Kongers Pledge Support for Pro-Democracy Activists

Democracy advocates call on Chinese living abroad to join them in opposing new election rules for their home territory More

This forum has been closed.
Comment Sorting
Comments
     
by: Ian from: USA
November 22, 2013 11:38 AM
1) " In the final accounting, the government investment in GM could cost taxpayers about $10 billion."
The country swallowing step number one, according to the government experts in order to fulfill step number 2 below
2) "But a Treasury official, Tim Bowler, said Thursday that if the government had not bailed out GM and another automaker, Chrysler, "the cost to the country would have been substantial," with lost jobs and lower economic growth"

Is that really true ? General Motors expanded its small truck and SUV manufacturing in China 4 months after closing down facilities in Janesville, Wisconsin, increased its manufacturing capacity in China by 55 percent .They also planned to open 4 new assembly plants in China by the end of 2015
Americans are still standing in lines looking for jobs , why do we bailed out companies that provide plenty of new jobs for chinese and no new jobs for americans . Does the chinese government pay for the unemployment cost burden here ?

Shouldn't we have a piece of paper signed by these companies pledging new jobs here before handing out our precious money

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
Larger Than Life Chinese Lanterns Make Southern California Appearancei
X
Elizabeth Lee
September 02, 2014 8:57 PM
Chinese lanterns with a long history are lighting up in 21st century style at the Los Angeles County Fair in southern California. Visitors can see traditional lanterns that hang, but also lanterns in the shape of animals, iconic landmarks and many other objects, all created by artisans from a place in China known for its lanterns. Elizabeth Lee has the details from the fair in the city of Pomona.
Video

Video Larger Than Life Chinese Lanterns Make Southern California Appearance

Chinese lanterns with a long history are lighting up in 21st century style at the Los Angeles County Fair in southern California. Visitors can see traditional lanterns that hang, but also lanterns in the shape of animals, iconic landmarks and many other objects, all created by artisans from a place in China known for its lanterns. Elizabeth Lee has the details from the fair in the city of Pomona.
Video

Video Experts See Rise of ISIS as Significant Development

The Islamic State’s rise seems sudden. It caught the U.S. by surprise this summer when it captured large portions of northern Iraq and spread its wings in neighboring Syria. But many analysts contend that the group - which grew out of al-Qaida in Iraq - has been rebuilding for years. VOA's Jela de Franceschi takes a closer look at the rise of ISIS and its implications for the Middle East and beyond.
Video

Video Israel Concerned Over Syrian Rebels in Golan

Israeli officials are following with concern the recent fighting between Syrian rebels and government forces near the contested Golan Heights. Forty-four U.N. peacekeepers from Fiji have been seized by Syrian Islamist rebels and the clashes occasionally have spilled into Israel. VOA’s Scott Bobb reports from Jerusalem.
Video

Video Ukraine Schools Resume Classes, Donate to Government Forces

A new school year has started in Ukraine but thousands of children in the war-torn east are unable to attend because of ongoing clashes with pro-Russia rebels. In Ukraine's capital, patriotic education has become the norm along with donations to support injured security forces fighting to take back rebel-held areas. VOA's Daniel Schearf reports from Kyiv.
Video

Video US Detainees Want Negotiators for Freedom in North Korea

The three U.S. detainees held in North Korea were permitted to speak with foreign media Monday. The government of Kim Jong Un restricted the topics of the questions, and the interviews in Pyongyang were limited to five minutes. Each of the men asked Washington to send a representative to Pyongyang to secure his release. VOA’s Carolyn Presutti has our story.
Video

Video Turkmen From Amerli Describe Survival of IS Siege

Over the past few weeks, hundreds of Shi'ite Turkmen have fled the town of Amerli seeking refuge in the northern city of Kirkuk. Despite recent military gains after U.S. airstrikes that were coordinated with Iraqi and Kurdish forces, the situation remains dire for Amerli’s residents. Sebastian Meyer went to Kirkuk for VOA to speak to those who managed to escape.
Video

Video West Africa Ebola Vaccine Trials Possible by Early 2015

A U.S. health agency is speeding up clinical trials of a possible vaccine against the deadly Ebola virus that so far has killed more than 1,500 people in West Africa. If successful, the next step would be a larger trial in countries where the outbreak is occurring. VOA's Carol Pearson has more.
Video

Video Survivors Commemorate 70th Anniversary of Nazi Liquidation of Jewish Ghetto

When the German Nazi army occupied the Polish city of Lodz in 1939, it marked the beginning of a long nightmare for the Jewish community that once made up one third of the population. Roughly 200,000 people were forced into the Lodz Ghetto. Less than 7,000 survived. As VOA’s Kane Farabaugh reports, some survivors gathered at the Union League Club in Chicago on the 70th anniversary of the liquidation of the Lodz Ghetto to remember those who suffered at the hands of the Nazi regime.

AppleAndroid

World Currencies

EUR
USD
0.7537
JPY
USD
103.79
GBP
USD
0.6032
CAD
USD
1.0957
INR
USD
60.522

Rates may not be current.