Monday, April 13, 2009

GM getting ready for Surgery


The Treasury is directing GM to prepare a bankruptcy plan.
Treasury officials are examining one potential outcome in which the “good G.M.” enters and exits bankruptcy protection in as little as two weeks, using $5 billion to $7 billion in federal financing, a person who had been briefed on the prospect said last week.

The rest of G.M. may require as much as $70 billion in government financing, and possibly more to resolve the health care obligations and the liquidation of the factories, according to legal experts and federal officials.
‘Surgical’ Bankruptcy Possible for G.M.



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