Treasury offloads final auto bailout stake, reports $9.26B net loss

December 30, 2014
The US Treasury Department has sold its final stake from the automotive industry bailouts, which resulted in an overall net loss of $9.26 billion.
The government earlier this month offloaded its 11.4-percent stake in loan provider Ally Financial, formerly known as GMAC. Unlike the bailouts for General Motors and Chrysler, the Ally investments proved profitable with a net gain of $2.4 billion.

The gains from Ally were not large enough to offset the $11.2 billion in losses attributed to GM. Taxpayers ultimately lost $9.26 billion on the program, though the impact was significantly lower than the government’s worst-case prediction of a $44-billion slide into the red.

“Operating results have improved, the industry added jobs, and [Troubled Asset Relief Program] investments have largely been repaid,” the government said in its latest TARP report.

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