He praised the struggling automaker, which filed for bankruptcy Monday, for submitting a "viable, achievable plan that will give this iconic American company a chance to rise again."
The deal reached with GM's stakeholders, Obama said at the White House, is "tough, but fair."
Obama noted that GM will receive $30 billion in additional funding from taxpayers, giving the public a 60 percent share in the company.
The government agreed to become a "reluctant" shareholder, he said, because that is the only way GM can survive.
He said the federal government will refrain from exercising its shareholder rights in all but the most fundamental decisions.
At the same time, however, he announced that, under GM's restructuring plan, the company will begin to build a larger share of its cars in the United States.
Obama said that, from the beginning, he had made it clear he wouldn't "kick the can down the road" and let GM and Chrysler "become permanent wards of the state." At the same time, however, he also recognized the importance of the companies to the broader economy.
Then maybe everyone who voted for Bush should be in Iraq and Afghanistan fighting this war as well.
Oh yeah, suddenly Bush is listening to what Pelosi and Reid say....
He never listened to anyone or anything but his "gut". If he HAD listened to other opinions, we would not be in this mess in the first place that has caused OBama to take great measures like these.
@ Lori –
I've read several of your posts; laden with undying love for Obama...wake up and smell the coffee...your opinions, while they are yours and you have the right to express them, are sadly misguided. Obama is the absolute worst person, short of Nancy Pelosi who could have been elected. A lot of folks don't like Bush. Claims he damaged the country. The damage done by Obama in 4 months has eclipsed the totality of 8 yrs of Bush...this guy's no president; he's a street activist thug at best, that read Alinsky's book for radicals, and the only reason he's in office is through corrupt groups like ACORN and Organizing for America...and because he's black.....educate yourself.
Obama is a joke, 2010 please help get some of these IDIOTs out congress PLEASE, our livelyhood depends on it..
please stop blaming BUSH for everything we have had a DEM CONGRESS for TWO years!!!!!!!!!!!! throw the BUMS out.
BOY this BLOG has changed its tune, just a month ago it was all Obama the king now it's OBAMA THE FLIP FLOPPING FOOL, glad to see you people have seen the light.. INDEPENDENT is the way to go...
Oh please. This is what they all wanted. The government takeover of these companies.
Since it is now Government Motors (60-70% Gov't Stake) can I take the loss off on my taxes?
Just in an effort to offset President Obama's other tax increases.
RealityKing June 1st, 2009 12:50 pm ET
"The 60 million idiots that voted for this clown should be forced to buy a GM. After all.., its only fair that you put your money were your mindless vote went."
hmmmm...... well I did want to buy a Saturn Skye or a Pontiac Solstice but they are both being "dumped". Now what?
Finally! Break the backs of the lazy overpaid union workers! It's about time that their weak work ethic has caught up with them! Capitalism is great. Let the failures fail.