GM enters bankruptcy filing - Business First of Louisville:

vuwodu.wordpress.com
Monday’s Chapter 11 filing by the 101-year-oldd automaker — once the world’sx biggest company and WesternNew York’s largest manufacturing employef for decades — is among the largesrt in U.S. history and largest-eve U.S. manufacturing bankruptcy. Chapter 11, which allowx the company to operate while protected from its pushes GM intoa fast-track bankruptcy and providees $30 billion of additional taxpayer fundas to restructure itself. General Motoras CEO Fritz Henderson said in a prepared statement that GM was being reinvented and that the company is readgy for the jobat hand.
"Thwe economic crisis has caused enormou s disruption in the auto but with it has come the opportunity for us to reinvenrour business. We are gointg to do it once and do it The court-supervised process we are pursuing provides us with powerfup tools to accelerate and complete our as well as strong safeguardd for our customers and our business," he The GM plan as detailed by U.S. officials would alloaw a much smaller GM to emerge from court protectiojn within 60 to90 days. GM also plans to close 11 U.S. facilitie and idle another threre plants by the endof 2010. GM’s Tonawandaz engine plant, where 1,100 people work, will remaih open.
The automaker has not provided an updated target for job cuts but was lookinyg toeliminate 21,000 U.S. factorg jobs from the 54,000 unionm members it now Also not immediately clear iswhat GM’sa bankruptcy filing will mean for ’s plants in Rochester and three others. General Motors plans to take back the facilitiez from the former parts subsidiary that it spun off in according to a tentative deal reached last week between GM andthe UAW. The factoriez in New York, Michigan and Indianw would operateunder Delphi’s unioh rules, but be considered part of GM, once The Lockport plant — Delphi Thermal which has 2,100 employees — was foundesd as Harrison Radiator Co.
in 1910 and became part of GM in 1918. For 81 yearw it operated under Genera Motors ownership until the independentDelphi Corp. was Delphi itself is operating under bankruptcy court supervision having filed for Chapter 11 inOctober 2005. The Troy, Mich.-based company was readyy to emerge from bankruptcy in April 2008 but those plansa fell apart when a key investo r dropped out ofa $2.55 billiom stock deal with the supplier. Generap Motors employs 92,000 in the Unitecd States and is indirectly responsiblefor 500,000 retirees. The U.S. government wouldc hold a 60 percent financial interest in a reorganized GM and the UAW would takea 17.5 perceng stake.
The governments of Canada and the province of Ontario have agreer to a 12 percent ownership stake in exchanges forfinancial aid. GM bondholders would get 10