Is GM Really Planning a Dividend?


In the last few days, in the wake of remarks from GM CEO Dan Akerson about the possibility, some reports have suggested that General Motors might be planning to pay a dividend. But the U.S. Treasury still holds about 13% of GM's stock -- and GM's $49.5 billion bailout still isn't paid back. Isn't it too soon for GM to pay a dividend?

In this video, contributor John Rosevear looks at the issues around a possible GM dividend -- and at what Akerson is really likely to do as the Treasury continues to sell down its GM stake.

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Fool contributor John Rosevear owns shares of Ford and General Motors. Follow him on Twitter at @jrosevear. The Motley Fool recommends Ford and General Motors. The Motley Fool owns shares of Ford. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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Originally published