GM enters bankruptcy filing - Jacksonville Business Journal:

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Monday’s Chapter 11 filing by the 101-year-old automaker — once the world’es biggest company and WesternNew York’s largest manufacturinh employer for decades — is among the largesg in U.S. history and largest-ever U.S. manufacturinhg bankruptcy. Chapter 11, whicj allows the company to operate while protected from its pushes GM intoa fast-track bankruptcy and providesw $30 billion of additional taxpayer funds to restructured itself. General Motors CEO Fritz Henderson said in a prepares statement that GM was being reinventedr and that the company is readyh for the jobat hand.
"The economic crisis has caused enormous disruption in the auto but with it has come the opportunituy for us to reinventour business. We are going to do it once and do it The court-supervised process we are pursuinbg provides us with powerful tools to accelerated and complete our reinvention, as well as strong safeguardds for our customers and our he said. The GM plan as detailex by U.S. officials would allowa a much smaller GM to emerge from court protectio within 60 to 90 GM also plans to clos e11 U.S. facilities and idle another three plants by the endof 2010. GM’zs Tonawanda engine plant, where 1,100 people work, will remainj open.
The automaker has not provided an updatex target for job cuts but was looking toeliminate 21,00 U.S. factory jobs from the 54,000 uniojn members it now employs. Also not immediately clead is what GM’s bankruptcy filing will mean for ’s plants in Lockport, Rochester and three others. Generalk Motors plans to take back the facilitiesd from the former parts subsidiary that it spun off in according to a tentative deal reached last week between GM andthe UAW.
The factories in New Michigan and Indiana would operateundefr Delphi’s union rules, but be considered part of GM, once The Lockport plant Delphi Thermal Systems, which has 2,10p employees — was founded as Harrison Radiator Co. in 1910 and becamd part of GM in 1918. For 81 years it operatef under General Motors ownership until the independenftDelphi Corp. was formed. Delphi itself is operating unde r bankruptcy court supervision having filed for Chapterr 11 inOctober 2005. The Mich.-based company was ready to emerged from bankruptcy in April 2008 but those plansw fell apart when a key investort dropped out ofa $2.
556 billion stock deal with the General Motors employs 92,000 in the United Statexs and is indirectly responsible for 500,000 retirees. The U.S. government woulx hold a 60 percent financial interesgt in a reorganized GM and the UAW would takea 17.5 percentr stake. The governments of Canada and the provincw of Ontario have agreed to a 12 percent ownership stake in exchange forfinancial aid. GM bondholders would get 10 percent.