Posted on 05/19/2009 12:29:20 PM PDT by autumnraine
Edited on 05/19/2009 2:07:32 PM PDT by Admin Moderator. [history]
I am speechless. Are we Russia yet?
NEW YORK, May 19 (Reuters) - General Motors Corp's (GM.N) plan for a bankruptcy filing involves a quick sale of the company's healthy assets to a new company initially owned by the U.S. government, a source familiar with the situation said on Tuesday. The source, who would not be named because he was not cleared to speak with the media, did not specify a purchase price. The new company is expected to honor the claims of secured lenders, possibly in full, according to the source. The remaining assets of GM would stay in bankruptcy protection to satisfy other outstanding claims. GM has about $6 billion in secured debt, including a secured revolving credit and bank debt. The government's plans include giving stakes in the new company to GM's union and bondholders, although the ownership structure of the company is still being negotiated, said the source who is familiar with the company's plans. In addition, the government would extend a credit line to the new company and forgive the bulk of the $15.4 billion in emergency loans that the U.S. has already provided to GM, the source said.
The government has given GM until June 1 to restructure its operations to lower its debt burden and employee costs.
If those talks failed, the company has said it would follow rival Chrysler LLC into bankruptcy.............
Well, I don't need to work anymore. Seriously thinking about throwing the towel in.
Really confused about GM. Where does this leave the GM Bond Holders? Do they get anything out of this?
Well, that settles it. I’ll be keeping my Explorer and my T-Bird until they die or I do.
Will you still pay taxes, even if you are not working?
Nationalization of GM will not happen, there is no way to extinguish private interest, unless the bondholders are paid in cash or in shares in the new company. This dynamic assures a bankruptcy filing. And the MSM won't write about that. The bondholders are supposedly just Greedy Wall Streeters according to the MSM, LOL, but we still have the law of contract in this country. This promises to be interesting.
I hope China buys GM and they could with the help of the bondholders of GM.
You’ll be forced to scrap them under a plan to remove all cars older than 5 years off the road. This has already been proposed in California, they are working towards the goal with their emissions regulations and prohibiting registration of vehicles. Every ‘smart growth’ city, county, region has a mechanism to do this in their plans.
All they need is for the Federal government to flip the switch. This theft of American freedom and sovereignty comes to you from the United Nations human habitat plan, the UN biodiversity assessment of 1996, our EPA, and the US Department of Transportation, in part.
What have American citizens been concerning themselves with? Certainly not freedom. And the ‘green’(socialist agenda from germany) is being promoted on every television channel, every show, every magazine, newspaper and local government. A shameful number of Americans are foolishly promoting it, I think they’re ignorant of what they are really doing because they do not discern the source for this agenda and do not want to trouble themselves with the responsibility to protect freedom.
You lost the country. It’s gone. And it’s happened right in front of you.
Agreed. I won’t purchase anything from a state-run business. At least Ford didn’t take the bait.
Few understad this, it is so new.
Why should China buy US T Bills so the US giovernment can use the same money to natonalize GM. The Chinese should cut to the chase and simply buy GM. It would be good for China and for the US economy. GM would survive.
This Zero plan is the death of GM.
I have no idea. I have not tried it before.
For now we do.
It's in jeopardy, though.
And it will remain in jeopardy until someone sues the government and takes the case into the Supreme Court.
I mean the government shows up and says: " You no longer have a contract," after you invest a few million bucks and have negotiable instruments in hand? Hardly.
Somethings gotta pop.
My next new car or truck will either be a Honda or a Toyota.
I will be staying away from Government Motors (GM)
I have owned 27 GM cars, have 2 now. The next one is a Ford, just for them not chasing the carrot.
But if China buys GM, they will buy as capitalists.China already owns the Fed.
“Somethings gotta pop.”
I hope it’s the thugs in D.C. ;o)
I see that the Chrysler dealers who were told to close are fighting back.
http://www.freerepublic.com/focus/f-news/2254388/posts
Hopefully, the GM secured creditors will, too.
Pray for GOOD bankruptcy judges who will not be intimidated by the thugs in D. C.
I don’t like the sound of that. Geez...
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