The U.S. government lost less than $10 billion rescuing the auto industry, which was four times less than some estimates.
The Treasury initially estimated the loss would be $44 billion, but revised it to $30 billion in 2009. Under government accounting rules, the U.S. Treasury actually lost $16.56 billion on paper because interest and dividends paid isn’t applied toward the principal owed.
The government was repaid through a combination of stock sales, partial loan repayments, dividends and interest payments. (more…)