GM to Buy Back 200 Million Shares from US Treasury

But, but, but Obama and GM said they paid back all of the bailout loan. Obama lied a lot about the auto bailouts that will cost the taxpayers around $25 billion.

From CNBC:

General Motors said on Wednesday it will buy back 200 million of its shares from the U.S. Treasury, which intends to sell the rest of its GM stake over the next 15 months, bringing to an end ownership that led to the nickname “Government Motors.”

Chief Financial Officer Dan Ammann said GM will pay $5.5 billion, or $27.50 a share, for the Treasury stake in a deal expected to close by year-end. That represents a 7.9 percent premium on Tuesday’s closing price.

GM shares rose 8.7 percent to $27.72 in premarket dealings.

Treasury said it will sell its remaining stake of about 300.1 million shares “through various means in an orderly fashion” over the next 12 months to 15 months, and could begin the process as soon as January.

GM received about $50 billion from the U.S. Treasury as part of its 2009 bankruptcy restructuring in 2009 under the Troubled Asset Relief Program (TARP).

The deal will raise the proceeds Treasury has recovered to $28.6 billion. That leaves $20.9 billion left on the original bailout amount, meaning the government would have to sell its remaining shares at an average price of $69.72 to break even.

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Liberal Logic: The Tale of Two Auto Companies…

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Obama’s Delusional Presidency

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Detroit News Thanks Obama for the Bailout Then Endorses Romney

Burn! Bush started the auto bailout. All Obama did was make it bigger and more costlier to the taxpayers by rewarded his union bosses and union workers while screwing non-union Delphi workers out of their pensions.

From The Hill:

The Detroit News is thanking President Obama for his administration’s $80-billion bailout of the U.S. auto industry, but the self-proclaimed conservative newspaper is endorsing Republican Mitt Romney for president.

In an editorial published Thursday, the paper said it was not an easy decision to endorse Romney over Obama considering the loans that were given to General Motors and Chrysler in 2008 and 2009. But the newspaper said the former Massachusetts governor would be a better fit for the White House in 2012.

“Don’t assume that it was a no-brainer for a conservative newspaper to endorse a conservative presidential candidate,” the newspaper’s editorial board wrote.

 

“We recognize and are grateful for the extraordinary contribution President Obama made to Michigan in leading the rescue of General Motors and Chrysler. Had either of those companies been allowed to go under, Michigan’s economic maladies would have become fatal.”

“[H]ad Obama done as well with the rest of the economy, it would be hard to deny him a second term,” the newspaper said.

“Obama said himself in a midterm television interview that if by the end of his first term the economy was still broken, he should not be re-elected,” the editorial continued. “Well, the economy is still broken, and we have lost confidence in the president’s ability to make the necessary repairs.”

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Fact-Checking Obama’s Lies on Jobs Created, Auto Bailouts

Obama showed up and did what Obama does best: LIE

Lie #1- 5 million jobs and #2- Detroit should go bankrupt.

OBAMA: And what I want to do, is build on the five million jobs that we’ve created over the last 30 months in the private sector alone. And there are a bunch of things we can do to make sure your future is bright.

Since Team Obama’s 4.5 million jobs created lie was busted, Obama has since added an additional 500,ooo to his imaginary number and didn’t dare mention that 50% of college graduates are unemployed and living at home with their parents. Obama wants everyone to forget about the 4.3 million jobs that were lost during his first 16 months of “recovery.”

Number one, I want to build manufacturing jobs in this country again. Now when Governor Romney said we should let Detroit go bankrupt. I said we’re going to bet on American workers and the American auto industry and it’s come surging back.

Obama continues to lie about an article Romney wrote about allowing the auto industry to go though a structured bankruptcy. Obama know this is a lie but continues telling it in the hopes that his weak-minded followers will believe it. The taxpayers will lose about $24 billion due to the auto bailout BUSH started and Obama takes credit for.

I’m sure they’re will be more fact-checking but fact-checking every Obama lie is exhausting.

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GM Heading Toward Bankruptcy…AGAIN!!!

Obama wants to bring the “success” of the auto bailouts, where the taxpayers will lose $25 billion, to all of American manufacturing. GM stocks are plumeting. Sales are down 41% and it looks like GM is heading toward bankruptcy…again.

From Forbes:

President Obama is proud of his bailout of General Motors.  That’s good, because, if he wins a second term, he is probably going to have to bail GM out again.  The company is once again losing market share, and it seems unable to develop products that are truly competitive in the U.S. market.

Right now, the federal government owns 500,000,000 shares of GM, or about 26% of the company.  It would need to get about $53.00/share for these to break even on the bailout, but the stock closed at only $20.21/share on Tuesday.  This left the government holding $10.1 billion worth of stock, and sitting on an unrealized loss of $16.4 billion.

Right now, the government’s GM stock is worth about 39% less than it was on November 17, 2010, when the company went public at $33.00/share.  However, during the intervening time, the Dow Jones Industrial Average has risen by almost 20%, so GM shares have lost 49% of their value relative to the Dow.

It’s doubtful that the Obama administration would attempt to sell off the government’s massive position in GM while the stock price is falling.  It would be too embarrassing politically.  Accordingly, if GM shares continue to decline, it is likely that Obama would ride the stock down to zero.

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House Ways and Means Chairman Demands Delphi Pension Termination Documents from Obama Administration

Romney should get all 20,000 Delphi non-unionized employees to be in a political ad that tells Americans what Timothy Geithner and President Obama did to their pensions and health care benefits. It also needs to be pointed out that Obama’s ex car czar ducked Inspector General’s questions for almost three years before ratting out Team Obama. Obama’s first car czar, Steven Rattner, already spilled his guts on this fraud.

We have learned from the SIGTARP report, and Obama’s car czars, that Team Obama used politics to close GM dealerships in Republican districts. The regime changed bankruptcy laws to reward union workers over GM shareholders. They fired GM CEO Rick Wagoner, due to his severance package, and installed Whitacre who had zero experience in the automotive field. They sacked the pensions of non union Delphi workers but made sure UAW union worker kept their benefits. We learned that David Axelrod and Rahm Emanuel were heavily involved with these political decisions.

From DC:

Republican House Ways and Means Committee chairman Dave Camp demanded Wednesday that the U.S. Treasury Department and the Obama administration release records connected to an emerging scandal surrounding autoworker pensions terminated during the auto bailout. The Pension Benefit Guaranty Corporation (PBGC) and the Treasury Department axed pensions in 2009 for 20,000 non-union salaried retirees who worked for Delphi.

Those workers’ pension plans lost between 30 and 70 percent of their value, while similar plans covering members of the United Auto Workers and other labor unions were preserved and made whole.

Camp fired off letters to PBGC director Josh Gotbaum, Treasury Secretary Timothy Geithner and White House Counsel Kathryn Ruemmler, asking for dosuments by September 7. His committee seeks internal documents and communications relating to the decision-making process that resulted in those pension losses for non-union Delphi retirees.

From the PBGC, Camp demanded Gotbaum provide “all records, including but not limited to electronic mail to or from PBGC, the Departments of Treasury, Labor and Commerce and the Executive Office of the President of the United States” that relate to Delphi and General Motors’ interest in Delphi “for the period of January 1 through December 31, 2009.”

He demanded similar documents from Geithner and Ruemmler.

“Treasury has claimed in testimony and court filings that it had no substantial role in the decision to deny 20,000 salaried retirees of Delphi the full pension they were promised and worked hard to earn,” Camp wrote in his letters to the high-ranking officials. “However, documents obtained from the Pension Benefit Guaranty Corporation (PBGC) pursuant to the Freedom of Information Act (FOIA) and recently published raise questions about the full extent of Treasury’s involvement in the decisions that ultimately picked winners and losers among Delphi’s retirees.”

A House Ways and Means committee press release cited an Aug. 7 story in The Daily Caller that included internal PBGC emails showing senior White House and Treasury officials were behind the pension terminations.

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Taxpayer Loss on Auto Bailouts Jumps Up to $25 Billion

On top of this bad news, Obama wan’t to bring this “success” to all US manufacturing.

Washington -The Treasury Department says in a new report the government expects to lose more than $25 billion on the $85 billion auto bailout. That’s 15 percent higher than its previous forecast.

The government isn’t losing it. The taxpayers incur this loss.

In a monthly report sent to Congress on Friday, the Obama administration boosted its forecast of expected losses by more than $3.3 billion to almost $25.1 billion, up from $21.7 billion in the last quarterly update.

Yet this campaigning idiot tells his flock how successful the bailout was and want to bring this success to more US manufacturing.

The report may still underestimate the losses. The report covers predicted losses through May 31, when GM’s stock price was $22.20 a share.

On Monday, GM stock fell $0.07, or 0.3 percent, to $20.47. At that price, the government would lose another $850 million on its GM bailout.

Notice the pattern of losses under Obama? Solyndra, GM= taxpayer losses.

The government still holds 500 million shares of GM stock and needs to sell them for about $53 each to recover its entire $49.5 billion bailout. At the current price, the Treasury would lose more than $16 billion on its GM bailout.

The steep decline in GM’s stock price has indefinitely delayed the Treasury’s sale of its remaining 26 percent stake in GM. No sale will take place before the November election.

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Obama: Lets Repeat Auto Industry Success with More Bailouts

Great idea. Obama wants to screw Americans out of more money with this “success” from the auto bailouts. After all, it only caused the taxpayers to lose $23.6 Billion.

PUEBLO, Colo. – President Obama, while villifying Mitt Romney for opposing the auto industry bailout, bragged about the success of his decision to provide government assistance and said he now wants to see every manufacturing industry come roaring back.

Maybe Romney doesn’t agree with the government taking over a private industry to reward union workers over stockholders then lying about the amount of money lost due to this “success.” By the way, Mr. President, the manufacturing sector is shrinking under your policies.

“I said, I believe in American workers, I believe in this American industry, and now the American auto industry has come roaring back,” he said. “Now I want to do the same thing with manufacturing jobs, not just in the auto industry, but in every industry.

Obama believes in the unionized workers, not so much for the private sector, which is claimed is doing fine. The auto industry is roaring back due to the government buying their product but sales fell 41% last month.

“I don’t want those jobs taking root in places like China, I want those jobs taking root in places like Pueblo,” Obama told a crowd gathered for a campaign rally at the Palace of Agriculture at the Colorado State Fairgrounds here.

Obama is clueless about GM shipping jobs and assembly lines to China. The incompetent moron has no clue to what’s going on.

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Emails: Geithner, Treasury Drove Cutoff of Non-Union Delphi Workers’ Pensions

A liar and taxcheat. Just your typical Obama goon!

Anybody notice a pattern? Members of Team Obama testify before Congress, lie and say no this didn’t happen only to have e-mails show it did? Obama is so beholden to the labor unions his administration totally screwed GM shareholders in order to reward union workers and now we learn Obama’s top taxcheat led the cutoff of non union workers’ pensions. This as Obama just labeled Mitt Romney “Romney-hood.”

From DC:

Emails obtained by The Daily Caller show that the U.S. Treasury Department, led by Timothy Geithner, was the driving force behind terminating the pensions of 20,000 salaried retirees at the Delphi auto parts manufacturing company.

The move, made in 2009 while the Obama administration implemented its auto bailout plan, appears to have been made solely because those retirees were not members of labor unions.

Must also mention that the Inspector General’s report (a Democrat & Obama donor) showed GM dealership closures were also political.

The internal government emails contradict sworn testimony, in federal court and before Congress, given by several Obama administration figures. They also indicate that the administration misled lawmakers and the courts about the sequence of events surrounding the termination of those non-union pensions, and that administration figures violated federal law.

This has happened with Solyndra testimony and when Obama members testified on the Fast & Furious gun scandal. Obama administration officials say No, No, No only to have emails that show they lied. No wonder they have been illegally using personal email accounts. They want to hide the truth.

Delphi, a General Motors company, is one of the world’s largest automotive parts manufacturers. Twenty thousand of its workers lost nearly their entire pensions when the government bailed out GM. At the same time, Delphi employees who were members of the United Auto Workers union saw their pensions topped off and made whole.

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