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GM plan could change how people invest in stock

GM plan could change how people invest in stock
Posted at 7:24 AM, Jun 06, 2017
and last updated 2017-06-06 08:24:23-04

Even though GM is number one and makes billions in profits every year, the stock has stayed at $33 for seven years.

On Tuesday morning shareholders will vote on a plan to divide GM stock into two classes.

Under this new plan, one type of stock would be for capital appreciation. The other would be for those who want dividends.

Not everyone is on board with this plan. The GM management team is already saying the idea is just too risky. If it fails it would lower workers’ 401-K plans. The GM team said the change would not help grow the automaker's core business.

Supporters said this would boost the value of the company.

Shareholders will also elect company directors on Tuesday.