Falling GM stock raises government loss on bailout
Tue, 14 Aug 2012 15:54:54 GMT — General Motors' falling stock price has pushed up the government's loss estimate for the U.S. auto industry bailout. The Treasury Department says in a report to Congress that the estimated bailout loss has grown to $25 billion. That's up from the government's previous estimate of $21.7 billion. The latest report estimated the loss as of May 31. GM shares have fallen from $33 in a 2010 initial public stock offering to $22.20 on May 15. They've dropped even more since then. GM stock closed Monday at $20.49, down 5 cents a share. The government spent about $80 billion to bail out GM, Chrysler and Ally Financial. So far it's gotten back just over $37 billion. But the government still owns stakes in GM and Ally that it can sell.
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