Final day: Subscribe for $1.52/week.

GM near deal to sell China venture control to partner SAIC

/article/20091203/GLOBAL/312039927

As a U.S. tax payer I can't get too excited about GM giving up control of its most profitable asset.

If GM could buy it back for a premium in the future - I hate to think what that premium would be.

Finally, I seriously doubt that any funds from GM operations outside the U.S. will end up going to pay back obligations to the U.S. tax payers anytime soon.

The bailout was done by the U.S. government to benefit a broad swath of U.S. citizens - employees, surviving dealers, and the automotive supply chain.

There should be no practical expectation that funds are going to flow in to the U.S. from non US operations anymore than funds going the other way. Such expectations simply are not realistic inspite of what some people may feel is "right".

Tags:

0

Shares

ATTENTION COMMENTERS: Over the last few months, Automotive News has monitored a significant increase in the number of personal attacks and abusive comments on our site. We encourage our readers to voice their opinions and argue their points. We expect disagreement. We do not expect our readers to turn on each other. We will be aggressively deleting all comments that personally attack another poster, or an article author, even if the comment is otherwise a well-argued observation. If we see repeated behavior, we will ban the commenter. Please help us maintain a civil level of discourse.

Newsletters