Quote:
Originally Posted by moto-camaro
i just checked the web, couldn't find anyting that outright says whether GM does or does not have to pay back the money from the bailout/loans. if anyone finds one, post the link up, i'd like to get the story straight, seeing as we've got conflicting rumors on the go here. i heard the same as SummoneR, GM has to pay it back, as they're Auto Loans, not auto bailouts.
Will gm go bankrupt? it's a possibility. does that mean it's gone? no.
i wish the harbingers of doom would be silent and stop instilling mass panic.
|
I keep saying this on these boards when this topic comes up ... there's nothing to pay back. They are NOT loaning GM money ... they are taking stock in the company in return for the injection of funds. There may be even more money they provide to GM over the next few years in the form of a loan but a whole lot if not all the money the government invests is being taken as stock.
This is not like the Chyrsler bailout years ago where the gov merely loaned money and chrysler paid it back. This time the government is buying the company. The NY Times has a big article on it this morning.
The feds are likely to own 70% of the company ... the unions another 20% with the Canadian government having another smaller chunk. Private investment in the company is being wiped out entirely .....