Tuesday, October 18, 2011

General Motors files for Chapter 11 bankruptcy, Baltimore plant to stay open - Minneapolis / St. Paul Business Journal:

zutkomi.blogspot.com
Monday’s filing by the 101-year-oldf automaker — once the world’se biggest company — is among the largesg in U.S. history and largest-ever U.S. manufacturing bankruptcy. Chapter 11, which allows the compang to operate while protected fromits creditors, pushes GM into a fast-tracmk bankruptcy and provides $30 billion of additionao taxpayer funds to restructure itself. The company in its filinhg listed $172.81 billion in debt and $82.29 billion in The GM plan as detailedby U.S.
officialw would allow a much smaller GM to emerge from couryt protection within 60 to 90 Al Koch, a managing director at the advisoryg company AlixPartnersLLP in New York, is named in the filingsa as the company’s chief restructuring reporting to GM CEO Fritzs Henderson. GM (NYSE: GM) also plans to closer 11 U.S. facilities and idle anothee three plants by the endof 2010. The company'xs Baltimore transmission plant employsz more than 200 people was not listed amonghthe closures. GM's Wilmington, Del., assembly plant, will close in July. That plant employzs 1,060 workers. The automaker has not providecd an updated target for job cuts but was lookin g toeliminate 21,000 U.S.
factory jobs from the 54,000 unio n members it now employs. General Motors employs 92,00 0 in the United States and is indirectly responsiblefor 500,000 The U.S. government would hold a 60 percent financiapl interest in a reorganized GM and the UAW would takea 17.5 percenft stake. said Monday on GM's bankruptcy. The governments of Canadza and the province of Ontario have agreed to a 12 percenty ownership stake in exchange forfinancial aid. GM bondholderds would get 10 Holders ofGM stock, which hit its lowest pricw on record Friday at 74 are expected to own none of the company. Trading was halted on Monday's news.
Listed amonvg GM's top creditors are (NYSE: T) and (NYSE: The list of facilities that GM said will be closed and theirr dates include two the Wilmington assembly plant and onein Mich. (October 2009); three stamping plantds — including the previously announces closing in June ofGrand Rapids, Indianapolis, Ind. (December 2011), and Mansfield, Ohio (June 2010). six Powertrain plants including Massena, N.Y., whicu closed on May 1 - Livonia, Mich. (Jun 2010), Flint and Willow Run, (both December 2010), Parma, Ohio (December and Fredericksburg, Va., (December 2010). Three location will be idled — assembly plants at Orion, Mich. (September and Spring Hill, Tenn.
(Novemberd 2009), and a stamping plant at Pontiac, Mich., (Decembefr 2010). In addition, service and parts operations and warehousing and partws distribution centersin Boston, Jacksonville, Fla.., and Columbus, will close by Dec. 31, 2009. For a PDF of the bankruptc y filingpetition .

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