FINRA Changes 'Old GM' (GMGMQ) Ticker To (MTLQQ), To Resume Trading Tomorrow
More News related to GMGMQ
- 'Old GM' Resumes Trading Under New Symbol (MTLQQ)
- FINRA Changes 'Old GM' (GMGMQ) Ticker To (MTLQQ), To Resume Trading Tomorrow
- FINRA Issues Alert on 'Old GM' (GMGMQ), Creates New Ticker (MTLQQ)
- FINRA Issues New Stock For Old GM (GMGMQ). New Ticker the old GM stock (MTLQQ)
- What's Next For 'Old GM' Shares (GMGMQ)?
More News related to MTLQQ
- Motors Liquidation Co. to Continue Sales Process for Facility in Strasbourg, France
- Trading Outlook for Motors Liquidation Company Issued by StockPreacher.com
- Fisker Automotive to Buy U.S. Assembly Plant to Build Affordable Plug-in Hybrid Cars
- StreetInsider.com's Best of the Web 9/24
- Merkel Says GM Has Agreed to Sell Opel to Magna
More News related to Insiders' Blog
- Sprint Nextel (S) Completes Tender Offer for iPCS, Inc. (IPCS)
- Ford (F) and Geely Reportedly Clear Hurdle On Possible Volvo Deal
- Starent Networks (STAR) To Settle Shareholder Class Action Suit In Connection With Proposed Merger with Cisco (CSCO)
- Hurray! Holding (HRAY) To Acquire Ku6 in All Stock Transaction
After halting shares of the 'old GM' (OTC: GMGMQ), now known as Motors Liquidation Company, on Friday, FINRA has issued an investor alert noting that they are changing the stock ticker for 'old GM' to (OTC: MTLQQ) and warned investors against investing in bankrupt companies, or those trading with a 'Q'.
Commencing July 15, 2009, trading in Motors Liquidation Company common stock will resume and the security will begin trading under the symbol 'MTLQQ'.
FINRA said they halted the stock on their belief there was widespread misunderstanding by investors that stock in the "old" General Motors Corporation (now known as Motors Liquidation Company) is related to the "new" General Motors Company (new GM), which currently has no publicly traded securities. FINRA said as recently as last Friday (July 10, 2009), newsletters and other promoters have touted the purchase of the stock.
Commenting on the risks of trading in securities of bankrupt companies, FINRA said, "When a company files for reorganization under the federal bankruptcy laws, investors are often tempted to buy or hold the company's common stock in anticipation that the company that emerges from bankruptcy will be profitable. The reality is, however, that when companies emerge from bankruptcy, the common stock of the "old" company is usually worthless. In most instances, the company's plan of reorganization will cancel the existing equity shares." FINRRA states, Investors should understand that buying common stock of companies in Chapter 11 bankruptcy is extremely risky and can lead to financial loss.
Real-Time Market Moving News Two-Weeks FREE http://www.streetinsider.com/premium_content.php
Related Categories
Insiders' BlogTrader Talk
Stocks Mentioned
+0.00
-0.03Related Entities
Comments View All Comments
GM
some thoughts...If GM filed bancrupsy and change to GMGMQ and then change the name to MTLQQ and in the future will be the "new GM", Are not all the same? if not then which company the uncle sam is rescuing, GM or the "new GM". I was looking on the FINRA and SEC websites for an official notice of this and can not find nothing related, I really think that all this is a scam in order to bring the stocks price down. And if it is not, then, the GM should close their doors, and not only change their name. If you have the stomatch to make some money in the long term keep your stocks.
Finra
Does Somebody know why changed Finra the Ticker?
Another Victim of GM Scam
It happened to me exactly as Andre said on Victim of GM Scam. I think GM should have used different name (like MTLQQ) when it was out of Bankruptcy on Friday. It confused so many investors!!!
Sell?
If you need to ask the question, "What should I do now?" then in my opinion (which, by the way, is worth exactly the price that you're paying for it), the answer is yes, you should get out now. And I don't say that to be condescending, but rather as a genuine barometer. There are possible reasons for short-term price movements in the stock that potentially could temporarily carry the price higher than where it currently is. So someone trying to play on those factors might have reason to hold. But anyone well-versed enough in equities and derivatives markets to correctly play factors like that 1) would never have acquired the stock in the first place without knowing exactly what it really was; and 2) already knows exactly what their strategy is, and wouldn't need to ask, "So what should I do now?" If you need to ask that question, and/or if you bought the stock during bankruptcy not realizing you weren't getting any of the "New GM", then I'm not saying that means you're stupid or dumb or whatever. But it *is* a pretty good sign that you're not ready yet to play the short-term/day trading game, and so your best bet is to just get out now while you still can.
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
FINRA /SEC Scam
Brian on Aug 3, 2009 04:56 PMSo why did FINRA stop trading out of nowhere and have the stock symbol changed from GMGMQ to MTLQQ so urgently? Exactly! ...because they knew people were being exploited and misled. Otherwise they would not have done it. What I want to know is how are they able to do this without notification? I am not a day trader and am not reviewing PinkSheet every 5 minutes for update but my investment company (Fidelity) didn't even notify me of this change. Isn't there some responsibility to inform stock owners of these types of drastic changes which obviously severely impacted the stock performance / prices? Just like everything else these days I guess - do what they want, how they want, when they want and no accountability. GMGMQ closed at $1.15 and then opened at $.75 as MTLQQ. Someone made some money somewhere….but most lost a lot.