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Originally Posted by Redliner
Agree 100% - this stinks to high heaven. Maybe I just don't understand the intricacies of big business well enough, but I don't understand how they can go from the brink of destruction to swimming in enough cash to pay down billions of dollars in debt in one year. New car sales haven't rebounded that much. I also don't understand why the government would accept stock in lieu of payment for the remaining portion of the debt. Just doesn't seem to make sense.
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See my post above, it's an issue of liquidity on both fronts. And all cash deals are virtually unheard of for large public companies, various forms of stock is almost always a significant portion of any financing.