Dixie

I continue to get questions as to whether or not to exchange one's GM bonds for GM common as per the offer by GM. Besides that fact that GM probably does not get the required 90% bondholder participation to get the deal off the ground, why would anyone want to own common stock of an unrestructured GM being run by and for the benefit of the UAW and the government? Sure, one may receive approximately 30 or 40 cents on the dollar (depending on the price of GM equity), but receiving GM shares instead of cash is akin to being paid with Confederate dollars.

Think I am exaggerating? GM shares fell to a 76-year low of $1.12 after six GM executives unloaded their shares. This is telling. If GM executive believe the company's shares are essentially worthless, why should anyone own GM shares?