NEWS: Federal bankruptcy court expected to rule on "New GM"
06-30-2009, 12:05 PM
#1
NEWS: Federal bankruptcy court expected to rule on "New GM" 
Originally Posted by AutoBlog.Com
According to Reuters, General Motors is on its way into bankruptcy court today in an effort to win approval and access to additional federal funding under its asset-split plan. The automaker filed for Chapter 11 protection just 30 days ago, but it will now go before Judge Robert Gerber to sell desirable assets (think: Chevrolet, Cadillac, GMC, Buick) to "New GM" and jettison various debts and negative assets by consigning them to "Old GM," which would be liquidated. If it succeeds in winning court approval, GM will receive billions in U.S. Treasury funding.
Before it can open the Fed's piggy bank, however, GM must weather challenges from bondholders and disgruntled consumers involved in certain types of product liability lawsuits. Industry watchdogs believe that both GM and the Obama administrations auto task force have learned from Chrysler's bankruptcy machinations, which could accelerate the process. For more details on today's proceedings, check out the link below. Thanks for the tip, Michael!
[Source: Reuters via Yahoo | Image: Michael Heiman/Getty]
Before it can open the Fed's piggy bank, however, GM must weather challenges from bondholders and disgruntled consumers involved in certain types of product liability lawsuits. Industry watchdogs believe that both GM and the Obama administrations auto task force have learned from Chrysler's bankruptcy machinations, which could accelerate the process. For more details on today's proceedings, check out the link below. Thanks for the tip, Michael!
[Source: Reuters via Yahoo | Image: Michael Heiman/Getty]
06-30-2009, 11:30 PM
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yea but the new CEO isnt the one making the decisions, its the primary share holder, which is the government. It doesnt matter if it pays its own rent, it is the opposite of everything that our new government believes in.
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06-30-2009, 11:36 PM
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i wouldn't say that. the vette has great gas milage and low co2 emissions. not to mention it's a big seller for GM. (i would imagine anyways i see them everywhere)
07-01-2009, 01:18 AM
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GM as a whole as doomed. Will some buy what left of it sure. Many of including myself will not buy another UAW made new car. Lee Iacocca said the reason they paid back there loan extra fast was because they need the government out of there business.