Wednesday, December 30, 2009

U.S. Taking Majority Ownership of GMAC

The Treasury has snuck out some government takeover news as the country prepares to welcome in the New Year.

The federal government said it will take a majority ownership stake in the troubled auto lender GMAC, the Treasury Department is reporting.

The government will also provide an additional $3.8 billion in funding for GMAC. This is in addition to the $12.5 billion it has already received.

The Treasury Department said it will increase its stake in GMAC to 56 percent from 35 percent and name four of nine directors.

What will they sneak out tomorrow?

2 comments:

  1. 2009 is leaving via the twilight zone...Feds basically own GM/Chrysler, now GMAC, healthcare, and pretty much all of the mortgage industry.

    What's left for 2010? Ford? Banks w/o TARP? I'm sure something with or without value can be found.

    ReplyDelete
  2. I'm glad Bush and Obama weren't in charge when the automobile started putting the horse and buggy out of business......the "too big to fail" whip manufactures, horseshoe makers and wooden cart companies would've made sure we would still be traveling by union made stagecoaches, proudly made in the USA!
    At this rate of advance I'll never get my shot at owning a flying car, I want my flying car!

    ReplyDelete