Well Duh! GM Seeks Revolving Credit Line And Finds No Takers

Despite having more cash than debt for the first time in decades, GM is going back to Wall Street in search of fresh debt. Over the weekend, The General has been in talks with several banks to secure a $5b revolving line of credit to shore up its liquidity position ahead of an IPO that’s rumored to take place in August. At $5b, GM’s desired line of credit would essentially replace the $5.8b the automaker has repaid to the Treasury, and will help it deal with a number of pressing cash needs to maintain its shaky global empire.


But with so many pressing uses for the cash, and political pressure mounting for a rapid IPO, can GM deal with its issues and take on more debt and be worth what the government wants it to be worth? Troublingly, the answers to these questions are not to be found on GM’s balance sheet.



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upwards - 7/6/2010 4:16:05 PM

0 Boost

So predictable of you....
Obama and the uaw in every article you post in.

upwards - 7/6/2010 5:09:36 PM

0 Boost

Today is only one day.

Joe_Limon - 7/6/2010 2:33:16 PM

-2 Boost

geeze 009, another flame baiting article headline? Autoli... oh wait this one isn't about Toyota, and it doesn't have 20+ postings yet. :P

Agent009 - 7/6/2010 3:22:12 PM

-4 Boost

LOL. Well I try!

bfghemicuda - 7/7/2010 11:52:28 AM

+1 Boost

I'm suprised GM even tried. With the stranglehold the Obama regime and the Union Godfather have on them there is no room for anyone else. Borrowing from the Government is like making a pact with the devil.

rubenkincaid - 7/7/2010 4:39:39 PM

+1 Boost

GM was given 50 Billion and have repaid 7 billion. Who would lend them another dime at this point? A bank?Not enough new product, not enough good product. They shouldn't have been given any taxpayer money to begin with.

carbus - 7/8/2010 1:01:25 PM

+1 Boost

GM borrowing more money? What about the previous bond holders - are they not interested? No - they were burned along with suppliers and dealers!