This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/8143414.stm
The article has changed 2 times. There is an RSS feed of changes available.
Previous version
1
Next version
Version 0 | Version 1 |
---|---|
GM ready to exit from bankruptcy | |
(about 23 hours later) | |
General Motors (GM) is expected to announce a speedy exit from bankruptcy protection later. | |
The announcement is anticipated after a bankruptcy court order allowing it to sell its most profitable assets to a "new GM" took effect. | |
GM has scheduled a news conference in Detroit later on Friday. | |
The new, streamlined GM, will own the company's core assets such as Cadillac and Buick, and will be 61% owned by the US government. | |
GM is in the processing of selling off its other brands such as Hummer, Saab and its GM Europe arm. | |
NEW GM'S BRANDS ChevroletGMCCadillacBuick | |
A US judge rejected a last-minute request to delay the sale of the profitable parts of the company. | |
Judge Lewis Kaplan rejected a request for a delay from a group who are pursuing a product liability claim relating to the Chevy Malibu on the grounds that delaying the sale would probably lead to the liquidation of GM. | |
Help from Chrysler | Help from Chrysler |
The emergence from bankruptcy would be unusually quick for a company the size of GM. | The emergence from bankruptcy would be unusually quick for a company the size of GM. |
GM BRANDS TO GO Pontiac*Saturn#Saab#Hummer#Opel#Vauxhall# *= to be discontinued/# = to be sold class="" href="/2/hi/business/8068434.stm">From biggest carmaker to biggest bankruptcy | |
It has been helped by the legal precedents set in cases relating to Chrysler's bankruptcy protection, when opponents of the deal tried and failed to block it. | |
GM filed for bankruptcy protection on 1 June, saying it would be forced to liquidate if the plan was not approved. | GM filed for bankruptcy protection on 1 June, saying it would be forced to liquidate if the plan was not approved. |
In effect, a new, smaller GM is being created with a reduced workforce, smaller dealer network and less debt. | In effect, a new, smaller GM is being created with a reduced workforce, smaller dealer network and less debt. |
It will operate the best parts of the old company, with only its Chevrolet, Cadillac, Buick and GMC brands remaining. Its European operation, Opel, is being sold off. | |
The firm is getting $60bn (£37.3bn) in financing from the US Treasury, which gives the US government a 61% share in the "new" GM, while the United Auto Workers union will have 17.5%. | |
Canada's government will have a 12% share and GM bondholders will own about 10% in the new company. | Canada's government will have a 12% share and GM bondholders will own about 10% in the new company. |
Previous version
1
Next version