Perrysburg Dodgeboy wrote:
:h WTF Spoon, are you saying Chrysler and GM were given free money and never paid their LOANS back at 13.7% interest?
I didn't mean to bring up this argument again. Since its been brought up, I'll answer.
GM "paid" its LOANS with stock options. Paid is in quotations because the gov't and its taxpayers still haven't received equal value in payment for the LOANS that they extended to GM. Those stock options aren't worth the amount of the LOANS and the US gov't will either have to sell those stocks at a loss or wait a long time for the value to rise enough that they equal the value of the loan. Meanwhile, the US gov't accepted the undervalued stock as "payment in full" so that GM doesn't have to continue to pay interest on the loan to the taxpayers that fronted the money. I'm not mad at GM for this, shame on the government for screwing the taxpayers with this bogus agreement.
What really pisses me off is that GM also got a massive BAILOUT from US taxpayers that they will never have to repay. GM guys like to gloss over this fact and insinuate that GM paid back every single penny they received from the gov't. That is just typical gov't double talk though. If you believe that, you probably also believe that if you like your insurance, you can keep it...
