In the new economic world, losing "only" $1.15 billion in the 3rd quarter is the new good:
General Motors said on Monday that its finances had improved to the point that it could begin repaying its government loans, though it lost nearly $1.15 billion in the third quarter after emerging from bankruptcy in July.We, meaning taxpayers, may get out of the car business sooner than expected. And, that actually is good. Although, it won't be too soon according to GM's leader:
G.M. said it increased its cash reserves by $3.3 billion from July 10 to Sept. 30, ending the quarter with $42.6 billion on hand. It plans to make a $1 billion payment to the federal government in December, more than five years before the loans are due, and to make similar quarterly payments after that.
Mr. Henderson said he believes Treasury will be a shareholder in G.M. for a long time. Paying the loan is a first step toward unwinding government involvement, but he does not see the Treasury leaving the scene for some time to come.
