GM files bankruptcy - Business First of Columbus:

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billion and assets of $82.3 billion. The filed in New York, lists unsecured claimsa by the ($20.6 billion) and the Internationa Union of Electronic, Electrical, Salaried, Machine and Furniture Workers/Communication Workers ($2. 7 billion). Other unsecured debt listed in the filingincludes $22.8 billiobn serviced by and $4.5 billion by . Boca Raton-baseed has a claim for $4.75 million, according to the filed with the U.S. Bankruptcgy Court of the Southern District of New Auto retailers that survive the bankruptciesz of GMand Chrysler, whicbh filed in April, hope it helps to pave the way to recovery in the industry.
“Today’s action will allowe GM to move forward and be competitiver inthe marketplace,” spokesma Marc Cannon said Monday in an e-mailer statement. “The goal of making GM profitabl e ata 10-million, new-unit selling rate will position them for when the industrh begins to recover latert in 2010.” Fort Lauderdale-based the nation's largest auto retailer, has six GM franchise s and seven Chrysler franchises on the automakers’ closurd lists. Although viewed as inevitable and necessaryby many, Chairmabn John McEleney said in a news release that the filingh marks “a historically sad day for Americab business.
” Chrysler is expected to emergwe from its Chapter 11 process soon after shutterinyg 789 dealerships. GM also announced plans to close 1,100 dealerships. GM announcer April 27 that it anticipate s reducingits U.S. dealer count from 6,246 to 3,605 by the end of 2010. Dealership closings already have started. According to Associated GM will rely on moregovernment assistance: $30 billionb of additional financial assistance from the and $9.5 billiomn from Canada, on top of about $20 billion it already received in low-interest loans. GM’s lead bankruptcy law firm is WeilGotshaew & Manges, with attorney Stephen Karotkijn signing the filing.
In a news release, the automake said it would focus on the following prioritiea when emergingfrom bankruptcy: Focus on four core brands in the U.S. – Cadillac, Buick and GMC - with fewer nameplatess and a more competitive level of marketing support per Close a competitive gap in active labor costs comparecd with foreignauto makers. Increase the percentags of U.S. sales manufactured domestically. Feature lower costs at a U.S. tota industry volume of approximately 10milliomn vehicles, which would be substantially below the 15 million to 17 millio n annual vehicle sales rates recorded betweem 1995 and 2007.
Achieve lower structurall costs, in part, by further reducin g 2009 salaried employment in Northb America toapproximately 27,200, from a year-end total of 35,100, and continuwe to improve its balanc e sheet by reducing retiree benefits for salaried retireeds and non-UAW hourly Increase its investment in fuel economy and advances propulsion technologies. Click to read the