U.S. to Lose $25 Billion on Auto Bailout

Uh huh the same auto bailout the Emperor just referred to last week saying what they did for the auto industry he wants to do to other industries. So tell us Mr. Economics and Business Genius how does that work exactly if they all would result in billions lost?

Jackass… all I can say, he is a jackass who has no clue on how business works.

The choices this election cannot be any more clear. We have had enough of this clown and his SOCIALIST agenda. Time for some R&R!

by David Shepardson | DETROIT NEWS
Washington – The Treasury Department says in a new report the government expects to lose more than $25 billion on the $85 billion auto bailout. That’s 15 percent higher than its previous forecast.

In a monthly report sent to Congress on Friday, the Obama administration boosted its forecast of expected losses by more than $3.3 billion to almost $25.1 billion, up from $21.7 billion in the last quarterly update.

The report may still underestimate the losses. The report covers predicted losses through May 31, when GM’s stock price was $22.20 a share.

On Monday, GM stock fell $0.07, or 0.3 percent, to $20.47. At that price, the government would lose another $850 million on its GM bailout.

The government still holds 500 million shares of GM stock and needs to sell them for about $53 each to recover its entire $49.5 billion bailout. At the current price, the Treasury would lose more than $16 billion on its GM bailout.

The steep decline in GM’s stock price has indefinitely delayed the Treasury’s sale of its remaining 26 percent stake in GM. No sale will take place before the November election.

Treasury spokesman Matt Anderson said the costs were still far less than some predicted.

“The auto industry rescue helped save more than one million jobs throughout our nation’s industrial heartland and is expected to cost far less than many had feared during the height of the crisis,” Anderson said. …read more