U.S. to become 50% owner of GM

The WaPo reports today that the U.S. government would take a 50 percent ownership interest in General Motors under a plan announced today. The union, UAW, would get a 39 percent interest, GM creditors would get 10 percent and shareholders would get 1 percent. That's the kind of plan that the Brits used to rescue British Leyland, manufacturer of Jaguars, Austins, Rovers, Land Rovers, Triumphs, Minis and MGs, before Margaret Thatcher came to power. The British government's plan to save British Leyland didn't work. That company doesn't exist an longer. The plan announced today will not solve General Motors' problems. Only Chapter 11 can do that.