At a management briefing today, GM's CEO Ed Whitacre backed away from previous comments concerning the filing for an IPO this month.
This doesn't disappoint me at all. In fact, it was never clear to me what the rush for filing was motivated by anyway.
Ed says he is impatient to get ride of the "Government Motors" moniker. And he may have a point about the negative association of GM and last year's bale out, this is unlikely to have a real impact on sales. Most car buyers don't directly connect Chevrolet with GM. (Shocking, I know.)
There are lots of good reasons to wait. Another quarter (or two) of solid financial results will help establish credibility. (Investors love credibility.) And despite recent gains, the stock market is hardly robust with investors factoring in the risk of a slowing economy.
So what is the rush? Probably political. The President has been visible lately touting the success of the auto bale outs. Even supporters would have to view this a bit premature, but a successful public offering would sure be nice if it occurred before November.