GM Going For Chapter 11 Next Week
According to reports circulating all over the interwebs – GM has reported they will fire for Chapter 11 bankruptcy next week, after receiving $30B in government loans.
As the Washington Post stated earlier today, the federal government will pump another $30 billion into GM during its time under Chapter 11 protection. In addition to the $15.4 billion already loaned to GM, the United States will be into the ailing automaker for nearly $45 billion.
The U.S. government will now own at least 50% General Motors – meaning the federal government rights to appoint new GM directors. According to Left Lane News, Under the current outline for a GM bankruptcy, the good parts of the company will be sold to an entity led by the U.S. government. Under that scenario the government would forgive most of its $15.4 billion in previous loans, but it remains unclear how the additional $30 billion would be handled.
May 26th, 2009 at 3:05 am
Car Review:GM Going For Chapter 11 Next Week…
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Our provide you detail information about to the auto industry reviews, automakers financial results and reports, new cars models with their review and much more.According to reports circulating all over the interwebs – GM has reported …