Shares Of Bailout Motors Plunge To Lowest Post IPO Price

Tyler Durden's picture

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SilverFiend's picture

Everything the government touches turns to ......

Zero Govt's picture

....crap

Hey, that's my line!

Anyway looks like 'Bombs Away' ...another turd dropped into the stock market, this one another 'work of genius' from those masters of recovery in Washington DC

Anyway can someone PLEASE EXPLAIN how a company fresh out of bankruptcy filings gets floated in a matter of weeks onto the Stock Market????
Seriously how the FUCK does a stock exchange allow a just out of bankruptcy company straight onto their market? Are there not f'n stock market rules about this??

Can we float private sector companies days after emerging from bankruptcy or would the NYSE tell us where to go??????

...what next, a rehashed Fanny or Freddie right after $100bn losses floated in days onto the NYSE or Nasdaq,.... can't wait to invest in those sacks of shit!!

longjohnshorts's picture

Zero Govt, your outrage is lovely to behold. But, don't you get it? There are no rules anymore. Whatever you can get away with, that's what you do. And that holds double ... no, triple ... for the PTB.

Zero Govt's picture

"Ye Who Maketh most Rules does Breaketh most Rules" is another one of my sayings along with "Everything Govt touches Turns to Crap".
So i fully understand that but fuk me how the hell does the US Govt and the NYSE have the temerity to launch a bankrupt car company back onto a major global stock exchange fresh from bankruptcy proceedings.... even for a total clown show like Govt I'm fuking incredulous the NYSE Directors can bend the rules and let them get away with this!!!
...if GM's share price halves in the next few months the whole NYSE Board of Directors should bloody well resign for allowing this sham show onto the Index

Thomas's picture

Phil Lebeau: Now there is a world-class industry shill.

asdasmos's picture

Realty Mogul, Sam Zell, Talks Inflation - says we're not seeing inflation because the CPI is distorted. (Mar. 3 2011)

 

http://www.cnbc.com/id/15840232/?video=3000008436&play=1

IQ 145's picture

 I'm sure British Motors had very competent people lobbying for their subsidized enterprise; but Margaret Thatcher wasn't listening. The other side of this problem, is mr. Teleprompter, who believed every word Phil was saying. Morons don't do well as national leaders.

Buck Johnson's picture

You are correct, there aren't any rules anymore except one.  And that rule is the survival rule, where you do everything you can to keep yourself from drowning.  The Stock exchange was essentially ordered to do this because the govt. couldn't have this company going into bankruptcy (they went into a special bankruptcy not a real one) because it would not only kick 1.5 to 2 million people who are retirees or dependents to lose their pensions and medical but also to disrupt the whole supply chain that supports GM (because of the way these companies pay their suppliers, 30 to 120 days until payment of services).  The US will go into a period of Hyperstagflation which my possibly last for at least 10 to 17 years.

grant's picture

"General Motors Corporation" (which has never been bankrupt) is completely seperate from "Motors Liquidation Company" (which still is in bankruptcy).

Yes it's superficially easy to confuse the 2, but if you can't discern the difference, then hopefully you are not making your own investment decisions.

brian0918's picture

... gold-plated tungsten?

tmosley's picture

Soon to be considered too expensive, like zinc pennies.  Will move to spray-painted steel soon.

Mad Max's picture

Would make a heckuva good projectile.  Very dense, hard core, soft skin that won't scratch your barrel or corrode.  Sounds great to me.  Probably even kills 12 vampires each time you shoot 1 vampire.

Caveman93's picture

Ahhh yes the "anti-midas" touch!

Sheriff Douchenik from AZ's picture

GM's lease 'pull ahead' Any one notice they are offering to move your lease up to get yo self into a new GM. ie - 2 years left on the lease, cmon in and they take care of it for you and put you into a new lease. If dat aint channel stuffing I don't know what is...

http://www.autonews.com/article/20110302/BLOG06/110309950/1503

also "deepest discounts in the industry in January and February" - GUESS WHO?

http://money.cnn.com/2011/03/07/autos/gm_discount_pricing_dealers.fortune/

HEY GM - DON'T BE DOUCHEY!

malusDiaz's picture

First!

 

To sell! Ahahahhaha!

 

./end_sarc

99er's picture

SPX

Diamond Top target of 1244.

Wolfe Wave target of 1200.

http://www.zerohedge.com/forum/99er-charts-0

 

Zero Govt's picture

S&P target 1,200 is v yummy for us shorts ...but timing is everything!

duo's picture

do you have the chart showing the "butterfly" that's supposed to take the SPX down to 1060?

99er's picture

SPX 1060 will prove to be a critical level; a quick glance at a weekly chart will make that obvious. No discernible Butterfly but I believe we will break 1060 in the weeks ahead.

101 years and counting's picture

high oil destroys SUV and trucks sales.....the money makers.

Mad Max's picture

The idea that trucks and SUVs are the money makers is soooooo 1990's.  The money makers are government bailout money and stiffing your legitimate creditors though illegal distortions of the bankruptcy process.  Get with the program.  In fact, study it carefully because it's soon going to be used on a far larger scale than little ol' GM.

johnQpublic's picture

baaaaahahhahhaaa

 

8 bucks here we come

ZeroPower's picture

Not a chance.

However, ironic how the bondholders must be feeling, AGAIN. Gov saves the co, but pays only 40c on the $ last time. What a joke.

johnQpublic's picture

patience grasshopper, it will get there

Don Birnam's picture

How many shares were allotted Shop Steward Lebeau ? For all the fine propaganda Phil has peddled for the USGov and UAW, does a shop steward rate a complimentary Volt ?

virgilcaine's picture

China recession would be quite bad for gm.. What's good for gm is good for China etc.

SwingForce's picture

At least GM employees didn't end up on The Unemployment.

rich_wicks's picture

Nope, they are instead sitting on their butts, ocassionally putting on rivets and bolts at almost entirely random quality, and collecting $70 an hour to do it.

Alcoholic Native American's picture

don't you have to sign a contract to "buy" one of those, gee golly my credit is fucked. I say we start slacking some regulations.

TemporalFlashback's picture

Finally. It has been 109 days in the making.

Downtoolong's picture

Considering the government was originally willing to sell its shares at $25, I don’t know why they wouldn’t be willing to sell the rest of them at that price soon.

I still say it’s time for someone to call out Cramer. He was recommending a buy up to $40 the day after the IPO. I wonder if he’s still a premium buyer? What do you say Jimmy; how about taking a couple of blocks off our hands at say, $32.50.

disabledvet's picture

actually the original ipo was only slated to raise 5 billion and the price target was in the low 20's so "yet again Cramer was all over this thing" as the IPO raised 5 times the amount and the price target went through the roof.  "inexact science" as they say.  needless to say if you were short at the time you got killed.  period.  i find the short's response to this generalized sell off surprisingly muted by the way.  to be sure GM is to be expected to sell of with the market as it is no paragon of virtue shall we say.  at some point i'd get rid of the name myself.  word's like "corvette" and "suburban" and "cadillac" still sound good no matter the price of oil.

Mad Max's picture

The real question is, can I buy stock in Govt Motors with 72 months same-as-cash financing?

trav7777's picture

C'mon now, GM is not the worst carmaker.  They simply aren't a very good one and produced shitty cars for decades.  For the financial bubble, GM was a finance company that happened to also make cars as a side business, just as GE was a finance company that happened to make fridges and turbines as a side business.

I saw the Volt display at the latest area big carshow and it's an ugly car with very mediocre performance.  Mitsubishi's i-MIEV kills the shit out of it as far as range, but the latter looks like a tiny econobox, which is what's NECESSARY to have an electric vehicle.

Expecting to power a real midsize sedan from batteries alone was absurd with present technology.  A commuter vehicle that size makes no sense either.

Really, though, GM needed to do little more than steal the interior from a Honda all these years to produce a saleable vehicle.  There are a ton of potential buyers for their cars who get in one and go "yuck."  Don't tell me it's American workers, either, because Camrys, Accords, and even some BMWs are made here.

docj's picture

Don't tell me it's American workers, either, because Camrys, Accords, and even some BMWs are made here.

Spot-on, trav.  Lots of American (and Canadian) workers make lots of very high quality cars.  They just don't make them for the likes of GM and Chrysler - but they sure as hell got to pay to bail-out their competitors, right?

rich_wicks's picture

Yes, but these other American workers - are they part of the UAW?  About the only way you can lose a job if you work for the UAW is if you drop dead on the job, and that doesn't even guarantee that your dead body won't still be collecting a paycheck.

Sheriff Douchenik from AZ's picture

Even if you drop dead on the job doesn't the spouse then get the benefit pkg? If so, even thru death you don't really lose your job...

Xkwisetly Paneful's picture

So the older more experienced UAW workforce at GM produces a more expensive inferior product?

Doesn't make a ton of sense does it?

In normal world older more experienced usually translates into superior output.

 

 

Don Birnam's picture

True enough, and there are several examples of high-quality, American-manufactured vehicles. The Subaru Tribeca is quite literally as solid a vehicle as an M1 Abrams. Place of manufacture: Indiana.

MachoMan's picture

The japs don't feel comfortable allowing us to manufacture all the parts just yet :)  We get to assemble a lot of them, but the motherland is better suited for the important tasks...

voltaic's picture

There are ways to make entertaining electric: http://www.youtube.com/watch?v=4Cf89tawZX8. It's too bad the engineers at GM aren't as clever. 

docj's picture

Still about $31/share overvalued, methinks.

cxl9's picture

What? You don't think their "goodwill" is really worth $30.2 billion?

 

squexx's picture

AALLRRIIGGHHTT! I'm buying on the fucking dip!!!!

Jim B's picture

Hope the UAW dumped their shares... Nevermind, they got them for "free" anyway!

Arch Duke Ferdinand's picture

""Hope the UAW dumped their shares... Nevermind, they got them for "free" anyway!""

...The Single Best Way to Win a Revolution.

.....Starve the Government.....

""when the citizens refuse to go to work!
The Beast of Government exists on tax revenues""

http://seenoevilspeaknoevilhearnoevil.blogspot.com/2011/03/single-best-way-to-win-revolution.html

Rusty Shorts's picture

uh, you can't starve a printing press , and furthermore they don't need your tax money ... the taxes are in place to keep YOU and ME from accumulating any wealth. period.