This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

GM Repays Loans in Full

(GM story updated with comments from the Treasury)
NEW YORK ( TheStreet) -- During a visit to General Motors' Fairfax, Kansas, assembly plant on Wednesday, GM Chairman and CEO Ed Whitacre announced that the company is years ahead of schedule is repaying bailout loans received under the Troubled Asset Relief Program (TARP).

"I can't think of a better place to make the announcement that in the heartland of America" here at Fairfax, Whitacre said.
The Treasury said Wednesday that GM has paid the remaining $4.7 billion of the total $6.7 billion in debt owed to Treasury and that total TARP repayments now stand at $186 billion, well ahead of last fall's repayment projections for 2010.
Ed Whitacre, CEO of GM

Whitacre added that he was "pleased to announce GM has repaid in full," and with interest, the loans made last July by the U.S. Treasury and Export Development in Canada to help launch the new GM.

Whitacre said the company is about five years ahead of its original loan schedule, given that the automaker is selling the "best" cars and trucks GM has ever produced. Whitacre cited examples such as the soon-to-come Chevy Volt electric car and award-winning 2010 Chevy Malibu.

He added that when GM accepted taxpayer loans, the company promised to restructure the company, reinvest in people and plants and bring "outstanding" vehicles to the market. "We are going to work to make GM a company that we can be proud of again and we are well on our way," Whitacre said.

The Treasury said that after this repayment, the remaining Treasury stake in GM will consist of $2.1 billion in preferred stock and 60.8% of the common equity.

-- Reported by Andrea Tse in New York

Follow on Twitter and become a fan on Facebook.
Copyright 2010 Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $94.19 -1.04%
FB $118.06 0.54%
GOOG $695.70 0.48%
TSLA $222.56 -4.20%
YHOO $36.00 -0.03%


Chart of I:DJI
DOW 17,651.26 -99.65 -0.56%
S&P 500 2,051.12 -12.25 -0.59%
NASDAQ 4,725.6390 -37.5850 -0.79%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs