DETROIT, June 1 — General Motors Corp (GM) filed for bankruptcy protection in New York today in the third-largest Chapter 11 case in US history.
The court filing had been widely anticipated after Obama administration officials said a day earlier that the automaker would be taking the action before financial markets opened.
Based on its end-March assets of US$82 billion (RM287 billion), the GM bankruptcy ranked behind only Lehman Brothers and WorldCom in terms of size.
GM said in a submission with its bankruptcy filing that its board of directors had voted yesterday to approve the move to seek court protection in a reorganization that will be funded by an additional US$30 billion from the US government.
The US Treasury plans to provide US$50 billion in financing to GM and take a 60 per cent stake in a reorganized company.
The US government will fund a new company created to buy GM’s best assets out of bankruptcy under a fast-track plan that officials hope to complete by the end of August.
Judge Robert Gerber of US Bankruptcy Court in Manhattan was assigned to handle the automaker’s bankruptcy, expected to be one of the most complex such cases ever to be heard in the federal courts. – Reuters
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Fast forward to 2009,we find that those very words used to describe us are now being used on themselves.
The Chinese have a saying 'when you point an accusing finger at someone, dont forget 4 fingers are pointing back at you.'