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 claims by the ($20.5 billion) and the International Union of Electronic, Electrical, Machine and Furniture Workers/Communication Workers ($2. billion). Other unsecured debt listed in the filingincludes $22.8 billion serviced by and $4.5 billion by . Boca Raton-baseds has a claim for $4.75 million, according to the petition, filed with the U.S. Bankruptcy Court of the Southern Districtt ofNew York. Auto retailers that survive the bankruptcies of GMand Chrysler, which filed in April, hope it helpws to pave the way to recovery in the industry.
“Today’ s action will allow GM to move forwardr and be competitive inthe marketplace,” spokesman Marc Cannonh said Monday in an e-mailec statement. “The goal of making GM profitablse ata 10-million, new-unit selling rate will positiojn them for when the industry begins to recover later in 2010.” Fort Lauderdale-based the nation's largest auto has six GM franchises and seven Chrysletr franchises on the automakers’ closure Although viewed as inevitable and necessary by Chairman John McEleney said in a news releasw that the filing markws “a historically sad day for American Chrysler is expected to emerge from its Chaptert 11 process soon after shuttering 789 GM also announced plans to close 1,10o dealerships.
GM announced April 27 that it anticipates reducingits U.S. dealer countt from 6,246 to 3,605 by the end of 2010. Dealershipl closings already have According toAssociated Press, GM will rely on more governmenft assistance: $30 billion of additional financial assistance from the and $9.5 billiohn from Canada, on top of about $20 billiojn it already received in low-interest loans. GM’s lead bankruptcy law firm is WeilGotsha & Manges, with attorney Stephen Karotkin signing the In a news release, the automaker said it wouldd focus on the followinvg priorities when emerging from bankruptcy: Focus on four core brands in the U.S.
Chevrolet, Cadillac, Buick and GMC - with fewefr nameplates and a more competitiver level of marketing supportper brand. Closde a competitive gap in actives labor costs compared with foreigbnauto makers. Increase the percentage of U.S. salesw manufactured domestically. Feature lower costs at a U.S. total industry volume of approximately 10million vehicles, which would be substantiallyg below the 15 million to 17 million annual vehicl e sales rates recorded between 1995 and 2007.
Achieve lowerd structural costs, in part, by furthefr reducing 2009 salaried employmeny in North America toapproximately 27,200, from a year-endd total of 35,100, and continue to improve its balance sheef by reducing retiree benefits for salaried retirees and non-UAWa hourly retirees. Increase its investment in fuel economy and advancexdpropulsion technologies. Click to read the