Treasury Nets $2.1 Billion in GM's Buyback of Preferred Shares
The stock purchase brings to $23.1 billion the amount the automaker has repaid Treasury as part of the government-backed $49.5 billion bailout last year. The repaid amount includes $13.5 billion Washington netted following GM's initial public offering of stock last month, Treasury said. GM has already repaid $6.7 billion in debt, and Treasury has also collected $800 million in interest and dividends.
The latest transaction further reduces the government's stake in GM to about 33%, or about 500 million shares of common stock, down from the 61.5% that Treasury held prior to GM's IPO.
Of the $389 billion Treasury doled out in TARP funds, the agency has received back $266.5 billion in the form of repayments and income from dividends, interest and the sale of other securities, it said. GM shares ended Wednesday's trading day down about 0.8%, or 28 cents, to $33.61 a share.