Bloom: U.S. on ‘clear path’ to reduce GM stake

General Motors

Earlier this month, it was reported that General Motors said that it has been talking to the U.S. Treasury Department to buy shares from the government to reduce its 33 percent stake in the Detroit automaker.

According to former auto czar Ron Bloom, the U.S. government has a ‘clear path’ to selling its remaining stake in GM. He said that the U.S. government plans to exit its investment in the automaker “as soon as practicable.”

After going public last year, GM allowed the U.S. to nearly cut its 61 percent stake in the automaker by half.

“The government remains a reluctant shareholder and intends to dispose of its investment as soon as practicable, with the dual goals of achieving financial stability and maximizing returns to taxpayers,” Bloom told the Committee on Oversight and Government Reform.

– By: Omar Rana

Source: Automotive News