Obama Administration Projects $30 Billion Loss From Auto Bailout

The Obama administration will tell Congress Wednesday that it expects to lose about $30 billion of the $82 billion government bailout of the auto industry, two administration officials familiar with the report said today.

The estimate -- the first public accounting of losses connected to the rescue of General Motors and Chrysler -- is in line with what the Government Accountability Office, the Troubled Asset Relief Congressional Oversight Panel and former auto czar Steve Rattner have suggested.

But it is lower than previous internal administration estimates.

The Treasury Department has loaned $50 billion to General Motors, and swapped all but $6.7 billion of it for a 61 percent majority stake in the automaker. In order for taxpayers to be repaid fully, GM's stock would have to be worth far more than current estimates when the company goes public as early as next year.

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DinamoR - 12/8/2009 8:42:04 PM

-1 Boost

LMAO so since he doesn't support blowing 900 billion on a very likely pointless war, you start launching all the typical right wing mindless insults at him- card carrying, anti war, blah blah.

Hey, we sucked it up and paid our taxes while you crazy people took us to war in Iraq. It will cost us $3 trillion in the next 50 years (health care for troops included). No room for you to whine about any bailouts

This is the GOP in a nutshell: no taxes for rich people, no taxes for corporations, some taxes for poor people and middle class, and all of that money going to wars.

hahaha fiscal responsibility my ass

EL34 - 12/8/2009 2:47:45 PM

-3 Boost

I predict a $30 Trillion loss from the Obama adminsitration before he's booted out of office.

Yes we can!

HSCenterconsole - 12/8/2009 3:01:10 PM

+3 Boost

I can't wait to hear 1UAW's spin on this article.

upwards - 12/8/2009 7:48:09 PM

0 Boost

True

DinamoR - 12/8/2009 8:44:00 PM

0 Boost

of course. spending is what makes capitalism work. when spending stops- capitalism collapses. during normal times, private sector does the spending. during great economic crisis, gov. has to step in and carry the load, if not, everything collapses. Like it did in 1929