The next step in the US Treasury's efforts to eliminate its financial interests in General Motors will involve the sale of 30 million shares of the automaker's stock. The government's move to divest itself of GM is all part of a larger plan to sell the remaining 300 million shares of stock it received in compensation for the 2009 bailout of the then-failing automaker. The US Treasury plans to sell off all remaining stock – around 18-percent of GM – by early next year, yet this 30 million share sell-off, which may happen today, is a much smaller divestment than the 200-million shares it sold back to GM in December for $5.5 billion. The United Auto Workers, whose retiree medical trust also owns a large chunk of The General, will also sell off 20 million shares in this latest offering.

According to The New York Times, the sale is timed in tandem with GM's return to Standard & Poor's 500-stock index, a mental milestone of sorts that many investors believe will help improve the company's under-performing stock. GM is taking the spot on the S&P 500 formerly occupied by H.J. Heinz, the Pittsburg-based food conglomerate that has gone private thanks to investment by Berkshire Hathaway and investment firm 3G Capital.

At the time of this writing, GM stock is trading at $34.04 a share, a little above its initial public offering price of $33 back in November 2010.


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  • 21 Comments
      • 1 Year Ago
      [blocked]
        me
        • 1 Year Ago
        very well said
        Carpinions
        • 1 Year Ago
        Laser, why do you bother? We know what you're going to say every time there's a GM story. The story is about GM divesting itself of more and more gov't ownership, but to you up is down and black is white. GM succeeding and doing what they said they'd do is GM failing. In danger of being outsold by Lincoln? "If Lincoln ever takes off," indeed. That's a pretty big if especially when Lincoln can't figure out how to succeed at anything. The new MKZ has been out for how long, and in America's 5th largest city I still haven't seen 1 of them, while I see ATSs - which you claim sell like garbage - weekly. Does Lincoln have product like the upcoming CTS? Hell no they don't. And the MKC is only 3 years too late at the very least while GM has had at least 1 model (now 2) competing in that market for a while; it'll have to do more than look good. Lincoln's last sales year of note was '03, 10 model years ago. They were in the mid-100k sales range then, and are trending mid 5-figure sales for 2013. Some rebound. In that same time, while Cadillac has also declined in sales, they are still well above 100k units, and both Buick AND Cadillac have been selling thousands more units a month versus Lincoln. If Cadillac is far from achieving their old dominance, the same can be said double for Lincoln, who doesn't even have a footprint in China yet. Ford is the only brand doing well at Ford. To say that Buick is dead is riotously funny, since it's one of the biggest US brands in China, and since around 75% of their sales are there. And yet still, Buick sells thousands of cars a month in the US. I would think a US brand doing well in China by selling cars made in other places would be a good thing, but I guess it actually means Buick is doing poorly...somehow. You're wrong about GMC as well, since there is actual owner loyalty attached to that brand. GMC sells tens of thousands of units a month to "idiots who want to pay more for a Chevy". Even if GMC's marketing is that cynical, it's not their fault people by GMC vehicles. Sounds to me like you I won't even get into Chevrolet because it's not necessary at this point. Nobody has ever said GM was a perfectly running organization. There is no such thing as a perfectly running company. Even Apple, the company nobody can stop making allusions to, has had major missteps like their Google-replacement maps service and their still too-basic email app. Are Apple computers just PCs that idiots will pay too much money for? Sounds to me that, like the "commies" and "socialists" you are implicitly deriding, you hate success as much as they do when it doesn't fit your mold.
        caddy-v
        • 1 Year Ago
        It's useless trying to argue with someone with the same IQ as a frog. All you have to do to figure out Laser is a screwball is read how he thinks Lincoln is the second coming of God. Lincoln will be long dead and buried while Cadillac is reading it's Eulogy.
        Pj Taintz
        • 1 Year Ago
        as soon as you said government motors, you lost any and all credibility.
      jfa1177
      • 1 Year Ago
      Just in time for them to start going back down hill. I was out a GM dealer this past weekend and was REALLY unimpressed with what they have to offer. Same crappy interiors and lack luster exterior design.
        Pj Taintz
        • 1 Year Ago
        @jfa1177
        you are clearly full of **** if you think the interiors are still crap
          m_2012
          • 1 Year Ago
          @Pj Taintz
          I must be full of it because they are pretty much junk. The couple of halo cars are getting better, but your average car still suffers from Tupperware being the preferred supplier of materials.
        OptimusPrimeRib
        • 1 Year Ago
        @jfa1177
        you didn't go to one. you're just spouting BS.
      m_2012
      • 1 Year Ago
      Good luck GM #3. What should we call the new one? New-new GM, then old-new GM, and lastly old GM. Sounds reasonable.
      imoore
      • 1 Year Ago
      I think everyone who keeps crying about "Government Motors" must be Verizon subscribers. Bet you thought the NSA wasn't going to nab your phone records, huh?
        RetrogradE
        • 1 Year Ago
        @imoore
        This has nothing to do with NSA or Verizon. But you're right to some extent. . . the government's arm is waaaay too long.
      churchmotor
      • 1 Year Ago
      Good, time to let them return to their course of extinction.
      RetrogradE
      • 1 Year Ago
      GM: "We Don't Need to Compete."
      • 1 Year Ago
      [blocked]
        aatbloke1967
        • 1 Year Ago
        Equivalent restructuring methods are employed in the UK. For incorporated entities, it's called Receivership. For non-incorporated entities, it's called an IVA. You cannot compare this situation with BL, which was a wholly nationalised entity.
      Grendal
      • 1 Year Ago
      When complaining about GM, don't forget that Ford still owes us taxpayers $5.8 billion. They have another 24 1/2 years to pay that back. Happily theirs was just a loan and they were not "bailed out."
      Hampton
      • 1 Year Ago
      I want GM to pay all our tax money back.If the government can't recoup it by selling the stock then GM needs to pay back the difference over time.
        aatbloke1967
        • 1 Year Ago
        @Hampton
        That's up to the federal government, not the taxpayer. Had GM have been left to go bankrupt, the US would today still be knocking on the door of 15%-plus unemployment given the knock-on effects.
      Stomp and steer
      • 1 Year Ago
      Why do you guys even respond to the same GM haters. They spew the same B.S. everytime and you respond like puppets.
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