We’ve spent the last two-plus weeks rightly freaking out about the 1/2 billion dollars we lost on Solyndra. Government Motors (GM) will most likely end up losing us 20–30 times that much — somewhere between $10 and $20 billion. Yikes.
We the People own 500 million shares of GM stock. For us to break even, these shares have to be sold at $53 per. Right now, they’re trading at around $20. If we sell at $20 — we lose $16.5 billion. (The post-bankruptcy IPO price was $34. A bankruptcy, by the way, the bailout was supposed to preclude. They could have gone into bankruptcy without our $50 billion, yes?)
The website’s tote board of the loss we will suffer is tied into the live stock price — as the price moves, the site recalculates the 500 million shares, so it is constantly displaying the live, current taxpayer loss were the shares sold at that moment.
. . . GM is currently sitting on about $34 billion in cash. Why don’t they take that cash — and buy us out, and make us whole? Again, at $53 per share, that’s $26.5 billion. Taxpayers break even, GM still has more than $7 billion liquid — and the market isn’t flooded with shares, thusly avoiding the aforementioned downward-spiral stock price run.