- The Washington Times - Wednesday, April 30, 2014

A Treasury watchdog’s report released Wednesday estimated that the federal government lost $11.2 billion on its 2009 bailout of General Motors, almost $1 billion more than the Treasury Department’s own estimated of $10.3 billion.

The report, conducted by the Office of the Special Inspector General for the Troubled Asset Relief Program, factored in a $826 billion write-off in March by the federal government of its final shares of the company, Reuters reported Wednesday.

The U.S. government spent roughly $50 billion to keep the company afloat in 2009, at which time the investment “was converted to a 61 percent equity stake in the Detroit-based automaker, plus preferred shares and a loan,” Reuters reported. Its last shares were sold Dec. 9, 2013.

General Motors’ first-quarter profits have suffered due to a $1.3 billion charge for recalling 7 million vehicles worldwide. The company’s profits fell 86 percent to $125 million —  the worst quarterly performance since 2009 — the Associated Press reported.

• This article is based in part on wire service reports.



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