GM went trick-or-treating early but it looks no one answered the door. Either that, or its trick wasn’t very good. Either way, it appears to have come up empty-handed in its bid for government goodies.
The much-talked about General Motors-Chrysler merger is off the table for now. Reuters is reporting that talks hit an impasse after the Bush administration said “no” to funding for the deal, citing three people with direct knowledge of the talks.
GM had approached the Treasury in recent days about support for the merger through some $10 billion in new funding that would have included taking an ownership stake in the merged company, people familiar with the talks have said.
A Bush administration official told Reuters the administration was not negotiating direct aid for the deal.
Maybe GM will have better luck after Nov. 4. Halloween will be over but Christmas isn’t too far away.
More deals of the day:
** Britain’s second biggest bank Barclays Plc is to raise 7.3 billion pounds ($12.1 billion) from investors from Qatar and Abu Dhabi and others to allow it to avoid taking government rescue cash, it said. The bank said it is raising up to 3.5 billion pounds from Sheikh Mansour Bin Zayed Al Nahyan, a member of Abu Dhabi’s royal family. That could give him a 16.3 percent stake in the bank.
** UK life insurer Friends Provident said it is abandoning the sale of wealth management unit Lombard, nine months after putting the business on the market, and reported a worse than expected drop in nine-month sales.
** Blacks Leisure Group, the British outdoor clothing retailer will consider selling its underperforming Boardwear business, made up of 57 Freespirit, Mambo, Animal and O’Neill stores, its CEO said.
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5 comments so far
hoo ray for bush we don’t need ceo’s like gmc they want to kill more than to save. my tax dollars are worth more than to throw them away to gmc. let the games begin and let the better of the two rule.
- Posted by Dennis Bryant[...] up empty in its attempts to convince the U.S. government to help fund its acquisition of Chrysler, reports Reuters [...]
- Posted by Deal Journal - WSJ.com : Afternoon Reading: Wall Street Pay--Filings and SymbolismOh, we can’t possibly let all those workers at GM and Chrysler suffer. If they go bankrupt, where will they all go? Guaranteed that the Democrats will find some way to help the car makers. Over my minority vote.
- Posted by BillLoooove it! They think they can tap our tax payer dollars to help them merge and then tap all those hard working job salaries and wages by cutting thousands of jobs too. Everyone knows their plan now. Cut jobs and take our tax dollars. Thank God the Bush admin. stood firm. That money is their to help SAVE jobs not to back there merger and massive job cuts. Whomever wins Mc Cain or Obama (I want Mc Cain)needs to stand firm on this to protect our jobs first. A merger is a definite job loss plan and we all know that will devastate MI even further.
- Posted by C.R.Now Cerberus wants to “change” GMAC to fit the requirements needed to tap our tax dollars there too. Sneaky shady co., they will do whatever they need to to get our money for their benefit.I wouldn’t finance with gmac for nothing. I’ll use my bank or credit union first.
This entire credit debacle seems to have no boundries. Malnipulating the company to be approved should be considered a crime. Where is a real attorney general when needed? If our goverment continues to roll-over for these criminals, middle America, the core of this country is washed up. Ask yourself, who is looking out for me? Also it really doesn’t matter ” Whats in your wallet?”. If it’s anything like mine, empty……..
- Posted by donnie law