“Automaker expected to announce that only a small fraction of the holders of its $27 billion in bonds agreed to swap that unsecured debt for a 10 percent equity share of a recapitalized GM.
But GM’s need for as much as $50 billion in additional financing from the government to pay off secured lenders and keep the company operating during a complicated restructuring means instead that the government’s stake will probably rise from 50 percent to as much as 70 percent, according to The Wall Street Journal. In exchange for the roughly $8 billion in aid it is expected to pony up as well, the Canadian government also will likely receive a small stake in the automaker.”
One would think that the government could not do any worse than the top management of GM running the company. That is not a good bet. The government has never run a profit at the Post Office, despite the monopoly that they hold. Amtrak has never made a profit and the trains are not as, “ON Time” as the customers have a right to demand.
Why this administration imagines that they are capable of running a business is way beyond reason. The Post Office and Amtrak prove that they cannot. This is all aside from the fact that it is not the business of government to run private sector businesses. It IS the business of government to secure our borders and they have failed to do that in spite of a creditable threat to our national security.
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