GM to Repay Another $2.1 Bn of Bailout Funds

VOA Breaking News (Voice of America)
October 28, 2010 at 9:00 pm

U.S. auto giant General Motors says it will repay another $2.1 billion of government bailout funds by buying back company stock from the Obama administration.

GM said Thursday it will buy back preferred shares held by the government after the company relists on the New York stock exchange through an initial public offering.

The Obama administration bought a controlling stake in GM last year as part of a $50 billion bailout aimed at preventing a collapse of the country’s top automaker.

GM already has repaid $7.4 billion in taxpayer funds since it emerged from bankruptcy protection in July 2009.

GM’s planned share purchase will leave the Obama administration with a 61 percent stake in the automaker.

Some information in this story was provided by AP and AFP.