NEW YORK/DETROIT, Sept 3 (Reuters) - The U.S. government is likely to take a loss on General Motors Co in the first offering of the automaker's stock, six people familiar with preparations for the landmark IPO said.
Subsequent offerings of the government's holdings may be profitable depending on how investors trade the newly listed stock, the sources said.
But the question of whether taxpayers are ultimately made whole on GM's still-controversial $50 billion bailout could be left open for years, the people said.
Treasury spokesman Mark Paustenbach declined to comment. GM spokesman Tom Wilkinson also declined to comment.
(Reporting by Clare Baldwin and Soyoung Kim in New York and Kevin Krolicki in Detroit; editing by Andre Grenon) Keywords: GM/IPO (clare.baldwin@thomsonreuters.com; Reuters Messaging: clare.baldwin.reuters.com@reuters.net +1 646 223 6189) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
Subsequent offerings of the government's holdings may be profitable depending on how investors trade the newly listed stock, the sources said.
But the question of whether taxpayers are ultimately made whole on GM's still-controversial $50 billion bailout could be left open for years, the people said.
Treasury spokesman Mark Paustenbach declined to comment. GM spokesman Tom Wilkinson also declined to comment.
(Reporting by Clare Baldwin and Soyoung Kim in New York and Kevin Krolicki in Detroit; editing by Andre Grenon) Keywords: GM/IPO (clare.baldwin@thomsonreuters.com; Reuters Messaging: clare.baldwin.reuters.com@reuters.net +1 646 223 6189) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.