GM Wants Out of Government Ownership But Obama Refuses
General Motors is pushing the Treasury Department to sell its stake in the company, but the Feds are resisting... interesting!According to Market Watch, GM is suffering from the government's participation in its management. After the largest bailout in U.S. history, taxpayers (and we use that term loosely) own about 27 percent of the company. But General Motors says that government ownership is hurting its reputation, and due to salary restrictions built into the bailout, GM is having trouble attracting talent.
The joke is GM stands for "Government Motors," and it's hurting the company's sales, perception and value.
Another reason the government won't sell its shares in GM is because it would result in a huge financial loss. The Treasury Department would "take a bath" financially, and Obama doesn't want proof the bailout failed in an election year.