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Taxpayers own 60.8% of new GM: When's our first shareholder meeting?

By J.B. Williams
web posted July 13, 2009

The biggest bankruptcy in US history was also the fastest bankruptcy in US history. Isn't it amazing how fast the government can move when they are motivated by a historic confiscation of private sector power and wealth?

GMAs of Friday morning, American taxpayers are now the majority shareholder in the newly created Government Motors, which will build the Chevrolet, Cadillac, GMC and Buick brands.

American taxpayers paid over $50 billion for 60.8% of GM. That money was used to save 66,000 American jobs. That comes to $757,575.76 per job saved. A little pricy if you ask me, but we are talking about union jobs here.

By comparison, less than 1% of the Obama-Pelosi "stimulus" package was directed at stimulating small businesses, which account for 98% of all jobs in America. But when it came time to save union jobs, Obama-Pelosi opened up the taxpayer pocketbook and coughed up a very generous for each GM job saved.

More than 20,000 GM employees are still headed for the unemployment line, and 1,900 GM dealerships (private small businesses) are out of business. 4,100 GM dealerships, most of them in Democrat strongholds were saved.

Of course, the United Auto Workers made a solid investment in Obama. They gave $25,403,252 in the 2008 election cycle, over 99% of it to Democrats. The National Auto Dealers Assn gave $23,991,908 in 2008, 65% of it to Republicans.

It's easy to see who the winners are today, and how they won. But the losers are many... Who really got "bailed out" here?

Old GM stockholders and creditors are losers. They will get to spend the next few years in bankruptcy court trying to get 5 cents on the dollar for their investment in the old GM. Their luck ran out the moment Obama was elected.

The 1,900 auto dealers, most of them Republican, are losers too. The American taxpayer, who paid $757,575.76 for each of 66,000 GM jobs saved, are big losers, especially since they won't get an invite to shareholder meetings and will never see a dividend check on their investment, despite the fact that they now own 60.8% of GM.

Consumers might be the biggest losers of all in the end... Obama-Pelosi wants to end the sale of GM's flagship autos, because they are not "green." So far in 2009, GM's biggest selling products are the Chevy Silverado pick-up (24,000 sold) – the Chevy Malibu (9312 sold) – and the Chevy Impala (7062 sold).

These three autos make up the lions share of GM sales in the first half of 2009 and Obama is at the G-8 Summit promising to rid the world of these "gas guzzlers" in support of Al Gore's Global Warming Swindle, which even the EPA has debunked now.

So, what is GM going to build and sell under Obama-Pelosi management? The leftist "climate control" scam seeks to do away with the only autos Americans are able to sell today. Ford also survives on the sales of their F-150 pick-up and SUVs.

Taxpayers own GM now, but Obama-Pelosi will be running it. They will be at the shareholder meetings as the controlling shareholder, just as they controlled the bankruptcy to their political advantage, thanks to your money. I'll thank you, since they won't.

But you and I won't be invited to the party. Don't stand at your mailbox waiting for your dividend checks...you will starve to death waiting for that check to arrive.

Wouldn't it be fun to show up at shareholder meetings though? To protect our investment, I'd move to immediately terminate all labor union contracts. After all, the only industries lost in America over the last 50 years have been union labor industries, forced into an uncompetitive corner by union thugs busy lining their own pockets.

The companies kicking our butts in manufacturing don't have labor union thugs to worry about and their non-union workers consistently decline to unionize, by secret ballot. Today, they are treated far better than any slave to union thugs.

That's why union thugs are pushing Obama to outlaw the secret ballot. Jimmy Hoffa returns... Ve vill hav our vay.... or ve vill bash your head in until you vote our vay!

The Fed kicked the last GM shareholders out in the cold and confiscated their company by way of Fed controlled bankruptcy, taking America's biggest private auto maker from the private sector to the government list of assets in a short six weeks. They are making fast work of their Marxist agenda. Viva La Revolution!

Evil capitalists, who had invested their life savings in GM for years, were dumped like undesirable liabilities. Make no mistake, Obama-Pelosi did that. Keep that in mind as you right off the losses in your 401k and watch the stock market continue to tank, as investors continue to refuse to invest in Obama-Pelosi Marxism.

Who voted for this?

Is this the "change" they had in mind? ESR

© 2009 J.B. Williams

Other related stories:

  • Would you invest in the new GM? by Jack Ward (June 8, 2009)
    After what Barack Obama has done to General Motors, would you invest in it or any other American company, wonders Jack Ward
  • Welcome to Government Motors by Daniel M. Ryan (June 1, 2009)
    Daniel M. Ryan is rubbing his hands with glee at the notion of a government-owned General Motors...if only at the hope that some politicians and bureaucrats learn some valuable lessons
  • It's a...miracle! by Daniel M. Ryan (May 4, 2009)
    The fight to "save" General Motors from going into insolvency has prompted Daniel M. Ryan to offer up some tongue in cheek commentary on how well shareholders will make out
  • Let bankruptcy courts take the wheel by Thomas A. Bowden (February 16, 2009)
    General Motors is already waiting for its next installment of bailout cash -- Thomas A. Bowden says the corporation should instead be waiting in line at bankruptcy court


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