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U.S. Government Now Has Majority Stake in GMAC

U.S. takes majority stake in GMAC, giving lender $3.8 billion more in aid

Washington Post Staff Writer
Thursday, December 31, 2009
 
The federal government said Wednesday that it will take majority control of troubled auto lender GMAC and provide an additional $3.8 billion in aid to the company, which has been unable to raise from private investors the money it needs to staunch its losses.

The Treasury Department has said for months that GMAC would need more federal money, but the decision to increase the government's ownership stake came as a surprise, cutting against the grain of the Obama administration's recent efforts to wind down its bailout of large banks.

 
Tags: government  
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