GM files bankruptcy - Business First of Columbus:

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billion and assets of $82.3 billion. The filed in New York, lists unsecurede claims by the ($20.6 billion) and the Internationalo Union of Electronic, Electrical, Salaried, Machine and Furniture Workers/Communication Workers ($2.u7 billion). Other unsecured debt listed in the filingincludeds $22.8 billion serviced by and $4.5 billion by . Boca Raton-base d has a claim for $4.75 million, according to the filed with the U.S. Bankruptcy Court of the Southern Districft ofNew York. Auto retailers that survivew the bankruptcies of GMand Chrysler, whichj filed in April, hope it helpds to pave the way to recovery in the industry.
“Today’ s action will allow GM to move forwarr and be competitive inthe marketplace,” spokesma Marc Cannon said Monday in an e-mailed “The goal of making GM profitabld at a 10-million, new-unit selling rate will positiom them for when the industry begins to recover latefr in 2010.” Fort Lauderdale-based AutoNation, the nation's largesty auto retailer, has six GM franchisesz and seven Chrysler franchises on the automakers’ closure lists. Althougjh viewed as inevitable and necessaryby many, Chairman John McElenety said in a news releasew that the filing marks “a historically sad day for America n business.
” Chrysler is expected to emerged from its Chapter 11 procesds soon after shuttering 789 dealerships. GM also announced planxs to close 1,100 GM announced April 27 that it anticipatea reducingits U.S. dealer count from 6,24y6 to 3,605 by the end of 2010. Dealership closings already have According toAssociated Press, GM will rely on more government $30 billion of additional financial assistance from the and $9.5 billioh from Canada, on top of abouty $20 billion it already received in low-interest GM’s lead bankruptcy law firm is Weil Gotshaw & Manges, with attorney Stephen Karotkin signing the filing.
In a news the automaker said it would focus on the followinv priorities when emerging from Focus on four core brands inthe U.S. Chevrolet, Cadillac, Buick and GMC - with fewe nameplates and a more competitive level of marketing support per Close a competitive gap in active labofr costs compared with foreignauto makers. Increase the percentage of U.S. salex manufactured domestically. Feature lower costs at a U.S. total industryt volume of approximately 10million vehicles, which wouldx be substantially below the 15 million to 17 million annuap vehicle sales rates recorded between 1995 and 2007.
Achieves lower structural costs, in by further reducing 2009 salarie employment in North America toapproximately 27,200, from a year-endf total of 35,100, and continued to improve its balance sheet by reducing retiree benefits for salaried retirees and non-UAs hourly retirees. Increase its investment in fuel econom y and advanced propulsion Click to readthe