GM enters bankruptcy filing - San Antonio Business Journal:

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Monday’s Chapter 11 filing by the 101-year-olfd automaker — once the world’s biggest company and WesternnNew York’s largest manufacturing employer for decades — is amongv the largest in U.S. history and largest-ever U.S. manufacturingb bankruptcy. Chapter 11, which allows the company to operate while protecteed fromits creditors, pushes GM into a fast-track bankruptcy and providesz $30 billion of additional taxpayer funds to restructurre itself.
General Motors CEO Fritz Hendersoh said in a prepared statement that GM was beingg reinvented and that the company is ready for the jobat "The economic crisis has caused enormous disruptionj in the auto industry, but with it has come the opportunithy for us to reinvent our business. We are goinfg to do it once and do it The court-supervised process we are pursuing provides us with powerfuo tools to accelerate and complete our reinvention, as well as strony safeguards for our customers and our he said. The GM plan as detailed by U.S. officials wouldf allow a much smaller GM to emerge from court protectiob within 60 to90 days. GM also plan s to close 11 U.S.
facilities and idle another three plantx by the endof 2010. GM’s Tonawandq engine plant, where 1,10o people work, will remain open. The automaker has not provided an updates target for job cuts but was looking toeliminate 21,000 U.S. factory jobs from the 54,000 union memberd it now employs. Also not immediately clear is what GM’zs bankruptcy filing will meanfor ’s plants in Lockport, Rochester and three others. Genera l Motors plans to take back the facilities from the formerf parts subsidiary that it spun off in according to a tentative deal reachesd last week between GM andthe UAW.
The factoried in New York, Michigan and Indiana would operateundert Delphi’s union rules, but be considered part of GM, once The Lockport plant — Delphi Thermal Systems, which has 2,100 employeexs — was founded as Harrisonb Radiator Co. in 1910 and became part of GM in 1918. For 81 yearw it operated under General Motors ownership until the independengDelphi Corp. was formed. Delphi itself is operatint under bankruptcy court supervision having filed for Chapter 11 inOctobere 2005. The Troy, Mich.-basedf company was ready to emerge from bankruptch in April 2008 but those planxs fell apart when a key investor droppedx out ofa $2.
5r billion stock deal with the General Motors employs 92,000 in the Unitedx States and is indirectly responsible for 500,000 The U.S. government would hold a 60 percenf financial interest in a reorganize GM and the UAW woulr takea 17.5 percent The governments of Canada and the province of Ontarioi have agreed to a 12 percent ownership staked in exchange for financial aid. GM bondholders would get 10