Posted on 07/06/2009 4:43:33 AM PDT by Wpin
A federal judge approved the sale of General Motors Corp.'s assets to a new government-run company, removing a key hurdle to the auto maker's plan to exit bankruptcy.
Judge Robert E. Gerber of the U.S. Bankruptcy Court for the Southern District of New York issued an 87-page ruling late Sunday allowing the sale to go forward. He rejected pleas from dissident bondholders and product-liability claimants who objected to GM's plans.
The judge said the only alternative to GM's plans would be liquidation, "a disastrous result for GM's creditors, its employees, the suppliers who depend on GM for their own existence, and the communities in which GM operates. In the event of a liquidation, creditors now trying to increase their incremental recoveries would get nothing."
The ruling paves the way for GM's government-brokered restructuring, in which the auto maker will move its "good" assets -- including automotive brands Chevrolet, Cadillac, Buick and GMC -- to a new company owned by the U.S. Treasury. The sale approval clears the way for GM to potentially exit bankruptcy in less than two months.
(Excerpt) Read more at online.wsj.com ...
The follow-up question is this: When will WE, the people, who OWN this government, take it back and demand that our elected representatives adhere to the Constitution or face the consequences?? Until WE, the people, take strong action, there is nothing on God's green earth that will stop this travesty!!
In a couple of years, there may be tax write-offs for buying GM.
Maybe buying GM will move you to the front of the healthcare line so you can actually get treated before you die.
Maybe getting a car loan to buy Ford or Toyota will be problematic, but for a Chevy...no problem.
Is Chrysler and this deal truly a BK “first” for the USA where some social engineered “greater good” outweighs the rights of senior creditors? And that without Congress even bothering to alter BK law first? This is only going to drive down the value of senior debt, hurting not just the teetering automakers and their immediate business partners but all other corporations in the country. Surely at some point the US Supreme Court is going to have to hawk this up like a hairball. Or we will have the situation of where we killed the patient in order to save him.
But in a concession to past and “gently used” GM buyers whose 2006 and prior OnStar systems became inoperable in 2008 (which is something that used GM dealers don’t have to disclose when listing OnStar on such a vehicle’s features), GM will launch a “big brother is back” service to replace all the obsolete OnStar modules with new ones. If done right, it’s maybe a 1 hour job to switch out a small box that costs $250 to make in quantity.
I don't believe that this prospective judgement - speculation, really - is within the judge's purview. Ansd even if it were true, so what? This is what we get when we elevate judges who don't respect the law as much as they crave approval.
The answer is the UAW!!! Just biding their time till the Dems could get in there and give them everything that the company couldn't afford to give.
I will NEVER buy a government made car either.
You are confusing fascism with communism.
Fascism is when the government controls the means of production via laws ans regulations, ie the energy industry. Communism is when the government owns the means of production, ie our new government owned auto industry, the insurance industry, the banking industry and soon our health care industry.
We are no longer a nation of free men, we are a nation of slaves to the collective, you are one of fifty million taxpayers the leaches will drain dry.
Easy? Have you seen the coupe version of the Solstice GXP?
Far from a small sacrifice to boycott that...
It is worth noting that within the Declaration of Independence, among the list of grievences, were grievences related to the judiciary, which at the time was dependent on the king, and the judiciaries encroachment on the colonists laws as set out by their legislatures. We are coming full circle.
Three quarts of ugly in a two pint jar.
LLS
I confess to a glimmer of hope when I saw the UAW would have such a big stake in the proposed new company. Supposing that things actually do shake out that way, the union will now be eating its own dog food. That may put them on the ball. What I don’t like to see is the gummit stake. For the sake of integrity, the gummit stake should be sold ASAP.
I must really like ugly...
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