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Old 05-24-2011, 03:41 PM
Pooka Pooka is offline
Pooka
 
Join Date: Sep 2005
Posts: 664
GM 'borrowed' right at $50 Billion from the US. Last November it paid back $26 Billion and the US still holds 500 million shares of GM. GM still owes $26 Billion.

US ownership in GM was at 61%. It is currently 26%.

If GM stock hits $53 a share the US will break even. It is currently right at $30.75. If the US gov sold all of its' stock today it would bring in $15,375,000,000 and would still need to find $10,625,000,000 to be made whole.

The US government estimates 1,414,000 jobs were saved.

If these jobs pay an average of $45,000 a year, with a personal income tax rate of 15%, that is $9,544,500,000 a year in revenue to the US Treasury. So far the US has made, over the last two years, $19,089,000,000 in personal tax revenue from this deal.

Therefore, if Uncle Sam sold all of his stock today at a loss we would still be $8,434,000,000 ahead on this deal, and every year from now on stand to pick up around $10 Billion in revenue due to this 'bail-out'.

All in all not a bad days work.
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