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Politics : American Presidential Politics and foreign affairs -- Ignore unavailable to you. Want to Upgrade?

To: TimF who wrote (44931)	8/18/2010 3:48:04 PM
From: DuckTapeSunroof	Read Replies (1) \| Respond to of 71588

Re: "My only point of disagreement with your post is the idea that its very highly likely that the government's short term cost would have been higher without the bailout." GAO and CBO both concluded that it was. Re: "They may have been, but GM failing without a bailout isn't a forgone conclusion." Oh contraire mon frere! (No way in Hell they had enough capital left to avoid liquidation --- given that no other big investors were willing to belly-up to the bar to inject the necessary Billions required to pull the Enterprise through bankruptcy reorganization.)

To: TimF who wrote (44931)	8/18/2010 4:36:22 PM
From: DuckTapeSunroof	Read Replies (1) \| Respond to of 71588

General Motors Files for IPO That Will Reduce Treasury's Stake By David Welch and Michael Tsang bloomberg.com General Motors Co. filed for an initial public offering that may be the second-largest American IPO in history and reduce the U.S. to a minority investor. GM, 61 percent owned by the government, didn’t disclose the number of shares that will be offered or the price range in a statement filed today with the U.S. Securities and Exchange Commission. The automaker will not sell any common shares itself while offering preferred shares alongside the IPO, the filing showed. The U.S. Treasury will sell some of the common shares it owns in GM, according to the filing. The aim of the offering is to sell a fifth of the Treasury’s 304 million shares, people familiar with the IPO said in June, cutting the government’s stake to less than 50 percent. GM may seek to raise as much as $16 billion in the IPO, a person familiar with the plans said last week, making it the second-largest in U.S. history behind Visa Inc.’s $19.7 billion deal in March 2008. Outgoing Chief Executive Officer Ed Whitacre has pushed to end government ownership of the Detroit-based company, which received a $50 billion taxpayer bailout following its bankruptcy in June 2009. Whitacre, 68, said last week that he would step down as CEO Sept. 1 and as chairman at the end of the year, ceding both titles to Dan Akerson, a managing director of the Carlyle Group. Akerson, 61, has been on GM’s board since July 2009 and previously served as chairman and CEO of XO Communications, Nextel Communications and General Instrument Corp. Morgan Stanley, JPMorgan Chase & Co., Bank of America Corp. and Citigroup Inc. will lead the offering, the filing showed. To contact the reporters on this story: David Welch in Southfield, Michigan, at dwelch12@bloomberg.net; Michael Tsang in New York at mtsang1@bloomberg.net.