Tag Archives: Joe Phillippi

General Motors Underwriters Take Maximum Number of Shares in IPO

What this really means is U.S. taxpayers now own about 33% of General Motors, down from the U.S. Treasury’s ownership of GM’s outstanding shares of common stock of 61% before the IPO. Continue reading

Posted in auto news, economy | Tagged , , , , , , , , , , , , | Leave a comment

Ford Reduces Debt With Successful Conversion Offers

Ford Motor Company (NYSE: F) announced today the results of conversion offers of bonds for stock that will reduce the company’s Automotive debt by more than $1.9 billion, lowering annualized interest costs by about $180 million. “These successful conversion offers represent another significant step toward our goal of reducing our Automotive debt and improving our balance sheet,” said Lewis Booth, Ford executive vice president and chief financial officer.

However, Ford is still listed as below investment grade by the rating agencies such as Moody’s Investors Service (Ba2) and Standard & Poor’s B+. Both junk ratings raise borrowing costs and limit large funds from buying Ford bonds. Ford lost its investment grade rating in 2005. Continue reading

Posted in auto news, economy, financial results, milestones, news, news analysis, results, shows and events | Tagged , , , , , , , , , , | Leave a comment

GM Stock Price Soars on IPO Frenzy

My how quickly public perceptions change. General Motors, the ailing symbol of demonstrably bad senior management and worse union labor practices, is now the darling of Wall Street as it returns to public trading today in New York and Toronto under the ticker symbol “GM.” Continue reading

Posted in auto news, economy | Tagged , , , , , , , , , | 2 Comments