---------WASHINGTON (AP) — President Barack Obama couldn't let General Motors fail, but he won't concede he's taking over the company.
With a 60 percent equity stake in the carmaker and $50 billion in taxpayer money riding on GM's success, the federal government isn't exactly a hands-off investor.As GM enters into Chapter 11 bankruptcy protection, Obama's economic team is stressing that its goals are to maximize the return to taxpayers and to exit from its involvement as quickly as possible. But as one administration official put it Sunday night, there is an inevitable tension between those two objectives.
WASHINGTON, D.C. (daily kenoshan) - General Motors, the 100 year old industrial superpower and maker of Chevrolet, Buick, Cadillac and other automobiles, announced they will file for bankruptcy protection, the outcome of which will cut 21,000 jobs and reduce to 2600 the number of automobile dealerships. President Obama applauded the reorganization move and estimated the time frame for the court action to be completed at 60-90 days. Once the bankruptcy is finalized, the government will own 60% of the failed GM Corporationand will pump billions into the leaner, reorganized company. This will be the governments biggest foray into private industry in history.