Lou Dolinar
2009-05-12 10:45:33
One distinguishing characteristic of GM is that it issued in excess of ten billion dollars in exchange-traded debt, usually at $25 per bond, specifically targeted at small investors. (Chrysler, on the other hand, has no such debt, it having been assumed by Daimler AG when the German carmaker deep-sixed its stake in the company.) Apart from institutional holders who represent pension funds etc. and hold $1000 par bonds, there are millions of small investors who stand to be directly damaged by Obama’s tampering with debt priorities.
