[Guest post by DRJ]
GM used other bailout funds to make this repayment and American taxpayers may be on the hook for $14-$20B more if GM doesn’t become profitable:
In other words, GM exists to make sure its employees get their pension, and the American government has guaranteed those pensions.
— DRJ
Pronounced "Patter-EE-koh"
E-mail: Just use my moniker Patterico, followed by the @ symbol, followed by gmail.com
Disclaimer: Simpsons avatar may resemble a younger Patterico...
The statements made on this web site reflect the personal opinions of the author. They are not made in any official capacity, and do not represent the opinions of the author's employer.
| M | T | W | T | F | S | S |
|---|---|---|---|---|---|---|
| 1 | 2 | 3 | 4 | |||
| 5 | 6 | 7 | 8 | 9 | 10 | 11 |
| 12 | 13 | 14 | 15 | 16 | 17 | 18 |
| 19 | 20 | 21 | 22 | 23 | 24 | 25 |
| 26 | 27 | 28 | 29 | 30 | ||
Powered by WordPress.
It was Noir Humor during the salad days that GM was a Health-Care and Pension Provider, who just happened to manufacture cars (poorly).
AD - RtR/OS! (9562e0) — 4/23/2010 @ 1:04 pmHow many taxpayer dollars went to pay for those ads that lied lied lied about the loans being repaid ahead of schedule?
JD (9f2abc) — 4/23/2010 @ 1:24 pmwell, this is certainly unexpected.
😀
redc1c4 (fb8750) — 4/23/2010 @ 1:25 pm“What a difference a year makes. Just about a year ago, the American auto industry was on the brink of collapse. Today, General Motors announced that it has repaid its $6.7 billion loan to the U.S. government in full five years ahead of schedule, and Chrysler announced that, after taking one-time charges last year associated with its restructuring, it produced an operating profit in the first quarter of 2010 for the first time since the economic crisis began. The prospect of a faster than anticipated exit from government involvement and a return of most of the taxpayers’ investment in these companies has materially improved.
This turnaround wasn’t an accident of history. It was the result of considered and politically difficult decisions made by President Obama to provide GM and Chrysler – and indeed the auto industry – a lifeline, if they could demonstrate the will to reshape their businesses and chart a path toward long-term viability without ongoing government assistance.”
Posted by Lawrence H. Summers on April 21, 2010 at 11:50 AM EDT
http://www.whitehouse.gov/blog/2010/04/21/auto-industry-a-year-later
Nobody really cares about the pesky details Larry. Carry on.
daleyrocks (1d0d98) — 4/23/2010 @ 1:29 pmI did that once for my credit cards: had a good deal on a cash advance and used some of that to pay on my credit cards the next month.
It also doesn’t mention how the Unions are the ones who REALLY own GM now.
jakee308 (a38882) — 4/23/2010 @ 1:29 pmWhen GM was considering BK (a real BK, not the phoney-baloney O-BK), it was speculated that they might do it to dump their retiree obligations upon the taxpayer through the Pension Benefit Guaranty Corporation, since that was the primary millstone they needed to shed.
AD - RtR/OS! (9562e0) — 4/23/2010 @ 1:36 pmIt would be interesting to compare how much that would have cost the taxpayers then, vs how much we’re on the hook for now, what with the retiree costs, the TARP funds, and whatever else the Feds have loaned them that probably will never be repaid.
The Obama administration and the unions all think that if they only get more of workers in unions it will be 1960 all over again. Unless we have another WWII where the rest of the industrialized world is bombed flat the U.S. will never have the advantages that allowed the unions to get more money for less work.
In Springfield IL, union teachers marched outside the Capitol yelling for the lawmakers to “raise our taxes”. Because the only reason we have any private companies is so the union members can all have a pay raise every year.
MU789 (25b69d) — 4/23/2010 @ 2:59 pm“raise our taxes”
The Legislature should accomodate them.
AD - RtR/OS! (9562e0) — 4/23/2010 @ 3:06 pmPass a Specialty Occupation Tax on teachers of, say 5% of the mean state-wide wage, and let them pay that which they have advocated.
Sometimes I click on youtubes just for cause I think it’s important that “they” know I saw it.
That’s probably kind of silly, but it’s what I do, sometimes.
happyfeet (c8caab) — 4/23/2010 @ 6:30 pmMore of the fraud that the White House seems to be feeding Americans daily.
SPQR (26be8b) — 4/23/2010 @ 7:06 pm