General Motors’ new chief financial officer backtracked on a forecast by the company’s boss in January that taxpayers will make a profit on GMs $50 billion bailout by the federal government.
Chris Liddell, who joined the company in January from Microsoft (MSFT, Fortune 500), told a group of reporters in Detroit Tuesday that the company is still committed to repaying a $7 billion loan that was made out of the Troubled Asset Relief Program, or TARP. GM has already paid back $1.4 billion to the government and is set to repay the rest by June.
But the majority of the government’s investment in GM is tied up in stock held by the Treasury Department. Liddell said there are too many variables to predict if the government will get that money back.
Full story: GM CFO: Government may not profit on GM investment – Mar. 17, 2010