Obama: U.S. will take

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The federal government plans to invest anadditional $30.1 billion in the Detroit-based compang (NYSE: GM), which filed for . This means the governmengt will own 60 percent of the compangy once it emergesfrom bankruptcy, Obams said. “This may give some Americans pause,” he said, but it was a bette r alternative than making more loans to a company that hasbeen “buriedf under a mountain of debt” for years. The president said he has “nol interest” in running GM. “The federal government will refraibn from exercising its rights as a shareholder in all but the most fundamentapcorporate decisions,” Obama said.
“When a difficultt decision has to be made on matters like wheres to open a new planyt or what type of new carto make, the new GM, not the Uniterd States government, will make that “In short, our goal is to get GM back on its take a hands-off approach and get out The hopes that will be the but it plans to “carefully monitor” the decisions made by GM and which is emerging from its government-guided bankruptct reorganization. “We will expose and fight any counterproductivwe influenceby government, unions or politicians over decisione that should be left to chamber CEO Tom Donohuse said.
“And we will continuallyh insist that government reduce and eliminate its ownershipp stake as soonas possible.” Too much governmentt interference will hurt the automaker’es chances of returning to profitability, Donohue “The global talent that exists in the automotive sector must be allowef to do its job and be paid on a competitived basis,” he said. “Managemeng must be permitted to make tough decisions in a competitivd global market without political House Minority LeaderJohn Boehner, R-Ohio, said GM’sw bankruptcy filing “may buy some but doesn’t ensure that the companyh will succeed.
“The only thin it makes clear is that the government is firml in the business of runninhg companies usingtaxpayer dollars,” Boehnerr said. “Does anyone really believde that politicians and bureaucrats in Washingto n can successfully steer a multinational corporationj toeconomic vitality? It’s time for the administratiohn to fully explain what the exit strateggy is to get the U.S. government out of the boardroom once andfor all.
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