GMAC, ResCap, and Warren Buffett

http://www.futureofcapitalism.com/2010/02/gmac-rescap-and-warren-buffett

The government, which owns a majority of GMAC, is at odds with management, the New York Post reports:

The Treasury Department, which now owns 56 percent of the auto-financing outfit, wants GMAC to push ahead with a ResCap sale -- possibly to billionaire Warren Buffett, according to sources.

Meanwhile, the Michael Carpenter-led GMAC management team believes other matters are more important.

Mr. Buffett is already going around describing Timothy Geithner as a hero. Imagine how effusive the public praise from Mr. Buffett will be once Mr. Geithner forces the sale of ResCap to Mr. Buffett. Maybe when Mr. Geithner gets out of office, Mr. Buffett will help Mr. Geithner sell books, the way he did with the previous Treasury secretary, Henry Paulson.

by Editor  |  Feb 25, 2010 at 5:03 pm Related Topics:  Auto Industry, Capital Markets Regulation, Government ownership, Timothy Geithner, Warren Buffett receive the latest by email: subscribe to the free futureofcapitalism.com mailing list