The US Treasury has announced a $9.7 billion loss on the $49.5 billion it used to bailout General Motors in 2009, according to a report from the The Detroit News, which in turn cites the quarterly report from the Special Inspector General of the Troubled Asset Relief Program to Congress.
The Treasury's original stake in GM saw it taking 912 million shares or 60.8 percent of the company in the bailout, numbers which have since fallen considerably. Since 2009, the Feds have sold off 811 million shares, and now own less than seven percent of the resurgent GM.
According to The Detroit News, in order for the government to break even on its original investment in GM, its remaining shares would need to sell for $147.95. That would be a significant jump from the projections made back in July and very unlikely to happen in the short-term, as the automaker is trading at $36.04, as of this writing. If the stock maintains its price, the total loss for taxpayers when all is said in done should be around $10 billion.
The Treasury's original stake in GM saw it taking 912 million shares or 60.8 percent of the company in the bailout, numbers which have since fallen considerably. Since 2009, the Feds have sold off 811 million shares, and now own less than seven percent of the resurgent GM.
According to The Detroit News, in order for the government to break even on its original investment in GM, its remaining shares would need to sell for $147.95. That would be a significant jump from the projections made back in July and very unlikely to happen in the short-term, as the automaker is trading at $36.04, as of this writing. If the stock maintains its price, the total loss for taxpayers when all is said in done should be around $10 billion.
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