Tuesday, May 26, 2009

Government Motors

The White House is offering the UAW 100 cents on the dollar for equity in a restructured GM. By comparison, other bond-holders are being offered less than a tenth of that:

While the Obama administration has been playing hardball with bondholders, it has been more than happy to play nice with the United Auto Workers. How else to explain why a retiree health-care fund controlled by the UAW is slated to get a 39 percent equity stake in GM for its remaining $10 billion in claims while bondholders are being pressured to take a 10 percent stake for their $27 billion?


1 comment:

D.W. Drang said...

"Eez Social-eezm"WV: ovans. Where His Imperial Majesty is going to send us if we don't shut the f*** up and get with the program.