GM enters bankruptcy filing - The Business Review (Albany):

ejoxot.wordpress.com
Monday’s Chapter 11 filingt by the 101-year-old automaker once the world’s biggesgt company and WesternNew York’s largestf manufacturing employer for decades — is amonyg the largest in U.S. historu and largest-ever U.S. manufacturing Chapter 11, which allowsz the company to operate while protected from its pushes GM intoa fast-tracik bankruptcy and provides $30 billion of additional taxpayer funds to restructure itself.
General Motors CEO Fritz Hendersoh said in a prepared statement that GM was being reinventex and that the company is ready for the jobat "The economic crisis has caused enormoud disruption in the auto industry, but with it has come the opportunityh for us to reinvent our business. We are goinfg to do it once and do it The court-supervised process we are pursuing providee us with powerful tools to accelerate and complete our as well as strong safeguards for our customersa and our business," he said. The GM plan as detailed by U.S. officials would allow a much smallerr GM to emerge from court protection withinm 60 to90 days. GM also plans to close 11 U.S.
facilities and idle another three plantsw by the endof 2010. GM’s Tonawandz engine plant, where 1,100 people work, will remain The automaker has not provided an updated target for job cuts but was lookin toeliminate 21,000 U.S. factory jobs from the 54,000o union members it now employs. Also not immediately clear is what GM’s bankruptch filing will mean for ’s plantws in Lockport, Rochester and three others. Generaol Motors plans to take back the facilities from the formeer parts subsidiary that it spun offin 1999, according to a tentatives deal reached last week between GM and the UAW.
The factories in New Michigan and Indiana would operateunder Delphi’sa union rules, but be considered part of GM, once The Lockport plant — Delphk Thermal Systems, which has 2,100 employees — was founderd as Harrison Radiator Co. in 1910 and became part of GM in 1918. For 81 year s it operated under General Motors ownershio until the independentDelphi Corp. was formed. Delphi itselft is operating under bankruptcy court supervisionj having filed for Chapter 11 inOctober 2005. The Mich.-based company was ready to emerge from bankruptcy in April 2008 but those plans fell apart when a key investort dropped out ofa $2.
55 billion stock deal with the General Motors employs 92,000 in the United States and is indirectly responsible for 500,000 The U.S. government wouldf hold a 60 percent financial interest in a reorganizec GM and the UAW would takea 17.5 percent The governments of Canada and the province of Ontario have agreec to a 12 percenft ownership stake in exchange for financial aid. GM bondholderx would get 10 percent.