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Friday, November 19, 2010

GM's IPO

No offense to some, but I would not touch GM stock with a 10 foot pole, make that 20 or 30.

However, I am very interested in watching the stock. Will it boldly forge ahead in value or crumple like t-p tissue.

According to my inside sources, a lot of the stock went to mutual funds. All I could think was, who on earth wants that in their mutual fund package.

But, one man's t-p is another man's money rocket.

Truthfully, I hope I am wrong. I hope it goes nuts in value and I kick myself. We want American corporations to succeed in the auto industry. We would like to see them catch up with the rest of the world, considering the cars are roughly a decade behind in value and efficiency. I know there's exceptions. Let's make the exceptions the rule, and I am all in.

GM might be a very interesting microcosm of American industry, that is why I am going to watch it.

CS Monitor: GM stock price up 3.6 percent on first day: five questions about the IPO
General Motors began selling shares of company stock again Thursday, 17 months after the company declared bankruptcy and its previous shares became virtually worthless.


Company executives used the good news to help drive home a message to investors and the media that says GM can be profitable at roughly half the vehicle sales volume of past years, thanks to plant restructuring and deep cuts in its labor force and dealership network.

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