General Motors (GM) 01 (Jun 08 - Jul 10 )

[helios]

means what?

mixed sentiments?

[kennynah]

GM probably wont ever die off...in our lifetime... but even if it continues with her meagre existence... i doubt they can regroup quickly and conquer market share again...

how many GM produced cars do you see around you (except maybe in USA).... u may say...this is an unfair statement... i think not, when you realize that we have mercs, beemers, even volvos around us plentifully...so why not GM made vehicles? my simpleton thoughts...becos, they are f**k** !!!

[LenaHuat]

The iconic Cadillac will be saved.

[helios]

09-April-General Motors Corp. rose 5.7 percent to $2.04 after CNBC reported that the automaker is close to a deal with its labor unions, without providing more details. GM, the biggest foreign automaker in China, said earlier today it expects to double annual sales in the country to over 2 million vehicles over the next five years.

Source: Bloomberg.com

[helios]

GM Concern

GM fell 15 percent to $1.73. The Treasury Department asked the automaker to get ready for a bankruptcy filing by June 1, the New York Times reported, citing people with knowledge of the plans. GM contends it could still reorganize outside court, the newspaper said.

Source: Bloomberg.com

[iam802]

U.S. may swap GM debt for equity

http://www.detnews.com/article/20090414 ... 1148/rss25

Possible move would improve automaker's shaky balance sheet
David Shepardson and Robert Snell / The Detroit News

The federal government may agree to swap some of its $13.4 billion in General Motors Corp. debt for new equity in the company in a move to help boost GM's balance sheet, a person familiar with the matter said Monday.

The government is in discussions with GM as the automaker tries to accelerate its restructuring ahead of a June 1 deadline to wrest concessions from bondholders and the United Auto Workers or face bankruptcy.

In January, GM granted the Treasury Department warrants for 122 million shares, 19.99 percent of the automaker's outstanding common stock, with an exercise price of $3.57. It's not clear how the warrants would be affected in bankruptcy court.

GM bonds fell to their lowest level ever Monday, and its stock continued a prolonged decline amid renewed bankruptcy fears.

The double dip came three days after GM's debt was downgraded by Standard & Poor's, a credit rating agency, and hours after a top Wall Street analyst warned the risk of bankruptcy had increased.

GM's corporate bonds, a type of debt issued by the automaker to raise money and sold to investors, were trading at 9.4 cents on the dollar Monday, while its stock fell sharply, down 33 cents, or 16.2 percent, to close at $1.71 a share. In the last year, GM's stock has lost 93 percent of its value.

One big factor pressuring the automaker is its $13.4 billion in loans from the U.S. government, which may have to be restructured along with $28 billion in debt held by GM's bondholders and $20 billion in obligations to the United Auto Workers.

Restructuring the loans would mean the government would have to accept less money or take a junior position to other creditors.

"If the government has now truly realized that it will eventually have to 'restructure' its own loans to GM (similar to Citi or AIG), a bankruptcy may be much more politically necessary (i.e. judge-imposed changes to the government's claims would be politically less painful)," wrote Himanshu Patel, an auto analyst for JPMorgan, in a report Monday.

GM has been planning for weeks for a possible bankruptcy filing if it can't meet the June 1 deadline set by the Obama administration's auto task force, members of which are operating out of GM's headquarters in the Renaissance Center.

GM President and CEO Fritz Henderson said last week the carmaker is planning for bankruptcy if necessary but prefers to win needed concessions outside bankruptcy court. Earlier this month, Henderson conceded bankruptcy is "more probable."

"If it can't be done outside of a bankruptcy process, it will be done within it," Henderson said.

One big issue is how much GM creditors and bondholders could delay the company's exit from a quick bankruptcy that could be structured under Section 363 of the Chapter 11 bankruptcy code. That allows for an asset sale that would let the government split off GM's healthy parts from the rest of the company.

One scenario under consideration would divide the Detroit automaker into a "good" company and a "bad" company, allowing the more viable parts of the automaker -- assets like Chevrolet, Buick and Cadillac -- to emerge from bankruptcy within a month.

Certain assets and liabilities, such as retiree health care and nearly $28 billion in bond debt, could stay in bankruptcy for an extended period and be liquidated or haggled over by creditors.

GM plans to unveil a harsher offer to bondholders this week than it proposed last month. The new offer could be as little as 20 percent of GM's equity, versus the previous offer of 8 cents on the dollar, 16 cents of new debt and up to 90 percent of GM's equity.

"This development makes us think that a bankruptcy is more likely," Patel wrote of the new harsher offer.

Patel said he is expecting stricter terms for the UAW as well. GM had reportedly proposed last month that the UAW accept $10 billion in preferred stock with a 9 percent interest rate and $10 billion in cash over 20 years as part of payments into a union-run retiree health care trust.

[kennynah]

so long...i read under lampar big big......what does it say...in one sentence?

[helios]

very tempted to trade GM last night ...

[iam802]

Private Investor Group Emerges to Acquire Saturn

http://www.businesswire.com/portal/site ... ewsLang=en

Black Oak LLC and Saturn Retailers Strive to Save 10,000 American Jobs

DALLAS--(BUSINESS WIRE)--An investor group that includes private equity firm Black Oak Partners, LLC, working together with a number of Saturn retailers, announced today that it has approached General Motors (GM) about acquiring and operating the principal assets of Saturn Distribution Corporation (SDC) as a diversified automobile distributor and retailer. SDC is the legal entity that franchises with Saturn retailers today.

....

[iam802]

GM's Saab says more investors eyeing company

http://www.reuters.com/article/innovati ... 5F20090416

STOCKHOLM (Reuters) - Loss-making General Motors (GM.N) (GM.N) unit Saab Automobile said on Thursday it had signed confidentiality agreements with 27 potential suitors in its efforts to find a new owner to help it survive the downturn.

Saab's court-appointed administrator said earlier this month that about 20 potential buyers were looking at the company and that a deal was expected to be completed in June.

"It is of course positive that there has been this level of interest," Saab spokeswoman Gunilla Gustavs said.

The Swedish carmaker had held meetings with representatives of potential buyers this week, she added.

"We are now in an intense and more organized phase of presenting the company to potential interested parties," she said.

The carmaker won more time to restructure in early April when a Swedish court extended the period in which the company is protected from creditors. GM has said it plans to cut ties to Saab by January 1, 2010.

Saab's reorganization plan, submitted to court on April 6, calls for $1 billion of financing to help it overhaul production and launch new models.