Word on the Street

GM began to pay back its U.S. & Canadian government loans today, sending $1 billion to Washington and $192 million to Ottawa & Toronto.

 

According to GM Chairman and CEO Ed Whitacre Jr., the company plans to repay both governments in full by the end of June – assuming the economy doesn’t take a turn for the worse.

 

GM owes the U.S. government a total of $52 billion, with $6.7 billion of that in loans (the rest comes from the U.S. government’s equity position of roughly 61% in the automaker). It also owes $1.4 billion in loans to the Canadian and Ontario governments.

 

GM probably could have paid back more had talks to sell its Saab brand of cars to a Dutch automaker not collapsed this week…

 

 

This marks the third time this year that a deal by GM to sell an unwanted brand has fallen through.

 

[Via http://youngragingbull.wordpress.com]

• Team Britney in the News - BRITNEY SPEARS