U.S. tax money went to save Chrysler because we wanted to save our U.S. car company. We know how that went. Fiat, Italy’s car company, bought the controlling share dirt cheap at U.S. taxpayer expense. Fiat received 35 percent of Chrysler without paying any cash and now own 52%.
Now our tax money is going to help buy a 7% share of Peugot for $423 million. They think they will get better deals from suppliers and will save money overall by leveraging their collective purchasing power. GM is buying into Peugot but it’s a one-way street. Peugot isn’t taking a stake in GM so they won’t be cross-shareholding.
Apparently, the two-timing GM was flirting with Fiat at the same time they were in talks with Peugot but decided to move ahead with Peugot.
Now, as a shareholder, why didn’t anyone ask me what I thought. I don’t want to buy into Peugot or Fiat.
GM was at $25.62 a share today (we paid $55 a share thanks to our administration) and Peugot was at $11.69. Two winners that won’t make a dime for us “shareholders.”
Read here: WSJ – GM flirted with Fiat and Peugot