GM ordered to pay back US Treasury loans before IPO

WASHINGTON: General Motors should focus on making money and repaying US Treasury loans before turning to public markets to sell the taxpayer's stake in the automaker, a senior government official said.

Ron Bloom, head of the Obama administration's autos task force, nevertheless told Reuters that an initial public offering could come as soon as the fourth quarter of 2010 if the automaker meets its recovery targets and the financial markets are receptive.

Bloom said the government had previously expressed concerns about GM operations but now trusts the directors and management to do what is best for shareholders.