Tuesday, November 30, 2010
By Dante Chinni
As a measure of economic pain, bankruptcies carry a special power. A bankruptcy is more than losing one's job or home, it is essentially calling for a complete financial do-over.
Thursday, November 18, 2010
(Detroit -- Jerome Vaughn, WDET) General Motors is expanding the scope of its initial public offering of stock.
GM says it will offer 478 million shares of common stock in its IPO, a 31 percent increase.
The Detroit automaker says it’s making the change because of substantial demand. The company has also decided to raise the price per share to $33, up from a range of $26 to $29 per share proposed earlier this month.
Positive financial news from the company has pushed interest in the IPO even higher in recent weeks. The automaker posted a two billion dollar profit in the third quarter of this year and expects to show its first full-year profit since 2004.
General Motors filed for Chapter 11 bankruptcy protection in June 2009, emerging just over a month later. The U-S government currently owns about 61 percent of General Motors. Federal ownership could shrink to as low as 33 percent after the IPO.
Tuesday, October 12, 2010
(Jerome Vaugn, WDET - Detroit) General Motors’ employees will soon have a chance to purchase the company’s new stock. The Detroit automaker is working on details of its initial public offering of new, post bankruptcy stock.
GM has sent letters to its employees, retirees, and auto dealers allowing them to register for a chance to purchase the stock at its IPO price. The prospective stockholders must invest at least one thousand dollars to register for the purchase.
GM officials hope to raise enough money through the IPO – and later offerings – to repay about $43 billion in government loans. The U.S. government currently owns about 61 percent of General Motors.
The automaker filed for federal bankruptcy protection in June 2009, essentially wiping out the value of the company’s original stock and many workers' retirement savings as well.
The deadline for employees, retirees and dealers to register for the IPO is October 22nd. The IPO is expected to take place next month.
Monday, June 07, 2010
Tuesday, June 01, 2010
One year ago today, General Motors filed for bankruptcy and became the fourth largest U.S. bankruptcy on record. President Obama vowed to turn GM around and make it a profitable company once again. We look at how GM has changed in the past year with the help of Rebecca Lindland, an auto analyst for IHS Global Insights, and find out how the rest of the auto industry is doing as well.
Monday, November 02, 2009
- Business Takeout: Retail lender CIT files for one of the biggest corporate bankruptcies on record, and takes $2.3 billion in bailout money with it. Louise Story, finance reporter for our partners The New York Times, explains.
- Sports Takeout: The Takeaway's sports contributor Ibrahim Abdul-Matin talks about the decidedly mixed reception ex-Packers quarterback Brett Favre got as he took the Minnesota Vikings to victory in Green Bay over the weekend.
- Listener Takeout: Listeners respond to our question on whether and how stimulus money is making a difference in their jobs.
Tuesday, October 27, 2009
- Business Takeout: New York Times business correspondent Louise Story tells us about a new investment fund focusing on companies with women on their boards of directors.
- Sports Takeout: Takeaway sports contributor Ibrahim Abdul-Matin recaps Monday Night Football and previews the start of the NBA season.
- Listener Takeout: We hear your responses on living without credit cards and our reliance on older relatives during economic hard times.
Friday, October 23, 2009
In this weak economy, more and more Americans are filing for bankruptcy. Contrary to what you might expect, the biggest reason people are doing so isn’t excessive spending or job losses. According to a recent study, 62 percent of the people who file for bankruptcy do so because of medical debt. After legislation in 2005 removed the distinction between bankruptcy caused by credit problems and medical expenses, many more people – even those with health insurance – found themselves losing their homes after catastrophic medical events wrecked their finances. We ask bankruptcy expert Henry Sommer and The Takeaway's Washington correspondent, Todd Zwillich, to explain this phenomenon. We also speak with Kerry Burns, a social worker who is struggling to pay back medical debt.
Wednesday, September 09, 2009
All week long we are reviewing the year that was: the year that marked the beginning of the financial meltdown and the recession that we continue to live through. Today we are focusing on the $600 billion collapse of Lehman Brothers — the largest bankruptcy filing in U.S. history. It’s a moment that many believe sent the global economy into crisis. To get a sense of the forces leading up to that day we speak with a Lehman Brothers’ insider, former vice president of distressed debt and convertible securities at Lehman Brothers, Lawrence McDonald. He's the author of the new book, A Colossal Failure of Common Sense: The Inside Story of the Collapse of Lehman Brothers.
We also talk to our contributor Louise Story, finance reporter for the New York Times, about the collapse of Lehmann and the ensuing global financial crisis. Louise also tells us about the new spate of corporate mergers that could indicate the nation's economy is making the slow turn towards recovery.
Friday, May 01, 2009
—Rebecca Lindland, director of Automotive Research for the Americas, on Chrysler's bankruptcy