 |
|
The U.S. flag flies at the Burt GM auto
dealer in Denver June 1, 2009. General Motors Corp. has won court approval
to sell its best assets to a government-owned company, paving the way for
a swift exit from Chapter 11 bankruptcy less than 40 days after the
corporation filed for protection.(Xinhua/Reuters Photo)
Photo
Gallery>>> |
CHICAGO, July 6 (Xinhua) -- The largest U.S.
automaker General Motors Corp., which has won approval of sale of its assets to
a new entity backed by the U.S. federal government, plans to exit bankruptcy
this week, the Detroit News reported Monday.
GM CEO Fritz Henderson was quoted as saying that the
automaker planned to close on the sale after the appeal process is exhausted.
U.S. Bankruptcy Judge Robert Gerber in clearing the way for the sale of GM's
good assets gave opponents until Thursday at noon to appeal and win an
additional delay from a higher court.
"We expect the sale to close immediately after the
appeal process is exhausted later this week, and for the new GM to be
operational and fully competitive, with an exciting line of new products, a
smaller and more focused brand portfolio, and a clear mission to put the
customer first in everything we do," Henderson said.
The new GM will be known as General Motors Co. and is
backed with 50 billion dollars in U.S. government loans.
The Treasury Department will hold 60.8 percent stake
in GM, which will be privately held until at least next year, while the Canadian
government will hold 11.7 percent, and a United Auto Workers (AUW) health care
trust fund will hold 17.5 percent. Unsecured creditors will hold 10 percent of
GM.
"Our focus in recent weeks has been on creating a new
company from the strongest parts of the old GM, and on doing it with
transparency and speed. This has been an especially challenging period, and
we've had to make very difficult decisions to address some of the issues that
have plagued our business for decades," Henderson said.
The Obama administration pushed for court approval of
GM's asset sale by Friday, warning that it wouldn't offer the Detroit automaker
any additional aid after that deadline. The administration has already given GM
about 27 billion dollars and has committed to total support of just over 50
billion dollars.
After the new GM emerges from bankruptcy protection,
the old GM is expected to spend two or three years in bankruptcy while the bad
assets are sold off or shut down.
GM asset sale approved by bankruptcy
judge
CHICAGO, July 6 (Xinhua) -- General Motors Corp. has won
court approval to sell its best assets to a government-owned company, paving the
way for a swift exit from Chapter 11 bankruptcy less than 40 days after the
corporation filed for protection.
According to a Detroit News report, U.S. Bankruptcy Judge
Robert Gerber said in his 95-page ruling late Sunday that "GM cannot survive
with its continuing losses and associated loss of liquidity, and without the
governmental funding that will expire in a matter of days." Full story
GM to take on future product liability
claims
BEIJING, June 29 --
General Motors Corp has agreed to take on responsibility for future product
liability claims, removing what could have been a sizable roadblock on the auto
maker's path to a quick sale of its assets and emergence from Chapter 11
bankruptcy as a new company.
As part of its government-backed restructuring plan, GM
wants to sell the bulk of its assets to a new company and leave behind
unprofitable assets and other liabilities such as product-related lawsuits. A
hearing on the proposed sale is set for tomorrow. Full story
GM: H1 sales hit historical high in
China
BEIJING, July 1 (Xinhua) -- The U.S. automaker General
Motors Corp. said here Wednesday that its auto sales in China in the first half
of 2009 rose 38 percent from the same period last year to a record high of
841,442 units, spurred by the government stimulus package.
"Thanks to government stimulus measures on the auto
industry and the rising demand in subordinate cities and rural areas, China's
auto market had seen a strong growth and GM's products had been very popular,"
said Kevin Wale, president and managing director of GM China Group. Full story
GM to sell Saab to
Koenigsegg
 |
|
National flags of the United States
flutter in front of the logo of Saab at a car dealership in New York, the
United States, April 7, 2009. Saab Automobile, the troubled Swedish unit
of Genral Motors Corp, has been contacted by 20 potential buyers, with a
sale planned in June, the carmaker's lawyer said on Monday. The lawyer
also said a sale of the company is a "crucial prerequisite for a
successful reconstruction." (Xinhua/Liu Xin)
Photo Gallery>>> |
CHICAGO, June 16 (Xinhua) -- U.S. automaker General
Motors Corp.(GM) agreed Tuesday to sell Saab automobile, its struggling Swedish
unit known for its family cars, to a consortium led by Swedish Koenigsegg
Automotive AB, a tiny luxury carmaker, reports reaching here said.
GM, which filed Chapter 11 bankruptcy on June 1, said
in a memorandum of understanding that the sale would include an expected
600-million-U.S.-dollar funding commitment from the European Investment Bank,
guaranteed by the Swedish government. Full story
Ford calls for government transparency in dealing with GM, Chysler
CHICAGO, June 15 £¨Xinhua£©-- U.S. Ford Motor Co. Executive Chairman Bill Ford said Monday that government intervention has taken the automobile industry into uncharted territory and called for "transparency" from the government, the Detroit News reported.
"There are issues that we just don't have answers to yet in terms of government ownership in our industry and what that's going to mean," he told reporters in Detroit. Full story
