US Treasury Dept. Begins GM Stock Sale

The US Treasury Department has begun its sale of its 18% of General MotorsGMUnited States of America, 1998 > present8 models
240 photos
stock that it purchased when it bailed out the automotive giant in 2009. It began with 60.8% ownership of GM but has slowly been reducing its share in the company over the last three years. It announced that it would sell the remaining shares in December, and it would take 12 to 15 months. 

"We are pleased with the progress to date and will continue exiting this investment in accordance with our previously announced plan and timetable, and in a manner that maximizes returns for taxpayers," said Tim Massad, Treasury assistant secretary for financial stability.

It is unlikely that the US government will even break even on bailing out GM. It cost $49.5 billion to bail out the automaker in 2009, and as of March 2013, it had made back $30.4 billion. 

The news of the sale has had little effect on GM's stock price. It closed on April 6 at $31.83 per share, and as of this writing on April 7, it is trading at $31.88 a share. 

Source: Automotive News