Wednesday, December 19, 2012
GM gets sweetheart deal on stock buy-back scheme
In the same week that TIME appallingly named Obama Man-O'-the-Year, it looks like he and the GM unions are screwing the American people yet again......
From the WeeklyStandard -- "The Detroit automaker said it will purchase 200 million shares of GM stock held by Treasury for $5.5 billion — or $27.50 per share — nearly $2 above the stock's closing price on Tuesday," the Detriot News reports.
However, the break even price — the price that GM would need to pay for each share in order to pay back the money the government put in to the company —is $53 a share. That means, GM is saving more than $5 billion by buying back its stock now.
Why does GM get to decide at what price they purchase stock shares? I don't get to do that. GM continues to make shitty cars just like before their illegal bailout and Obama continues to give the unions special deals to reward them for re-electing him and the American taxpayers(and by taxpayers I mean those of us with jobs) get shafted to the tune of tens of billions of dollars.
I have absolutely lost what little confidence I ever had in my government at this point. The utter corruption and graft are rampant to the point that we are little more than a banana republic with our leaders stuffing our money into their supporters' pockets as well as their own. I would bail on America tomorrow....if I could afford it.