US Government Sells Final Shares of GM Stock

The US Treasury Department has sold off its final shares of General Motors stockGMUnited States of America, 1998 > present8 models
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. According to Treasury Secretary Jack Lew government made back $39 billion of its $49.5 billion investment meaning that the government lost $10.5 billion on the GM bailout 2009. The government initially took a 60.8% share in the company to prevent it from declaring bankruptcy. 

"The U.S. Treasury's ownership exit closes just one chapter in GM's ongoing turnaround story. We will always be grateful for the second chance extended to us and we are doing our best to make the most of it. Today is not dramatically different from the hundreds of preceding days during which we have worked to make GM a company our country can be proud of again," said GM CEO Dan Akerson.

The treasury department began selling of the first of its shares in 2010 and has slowly been liquidating them until now. 

GM stock closed up 1.82% yesterday and was trading for $40.90 a share, a $0.73 increase.

The Canadian government still holds 7.2% of GM stock because it also contributed to the bailout. It has made the decision to sell its shares slower than the US has in hopes of getting a better return on the investment.

Source: Autoblog