GM enters bankruptcy filing - The Business Journal of the Greater Triad Area:

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Monday’s Chapter 11 filing by the 101-year-old automaker once the world’s biggesf company and Western New York’s largest manufacturing employer fordecadee — is among the largest in U.S. historyu and largest-ever U.S. manufacturin bankruptcy. Chapter 11, which allows the company to operate while protected fromits creditors, pushesw GM into a fast-track bankruptcy and providew $30 billion of additional taxpayer funds to restructure itself. Generalo Motors CEO Fritz Henderson said in a prepared statement that GM was beint reinvented and that the company is readty for the jobat hand.
"The economic crisis has causer enormous disruption in the auto but with it has come the opportunity for us to reinvenrtour business. We are going to do it once and do it The court-supervised process we are pursuing providezs us with powerful tools to accelerate and complet our reinvention, as well as strong safeguardsd for our customers and our he said. The GM plan as detailed by U.S. officiales would allow a much smalled GM to emerge from court protection within 60 to 90 GM also plans to close11 U.S. facilitiew and idle another three plants by the endof 2010. GM’se Tonawanda engine plant, where 1,100 people will remain open.
The automaker has not provide an updated target for job cuts but was lookinbg toeliminate 21,000 U.S. factory jobs from the 54,000 union members it now employs. Also not immediately clear is what GM’sz bankruptcy filing will meanfor ’s plants in Rochester and three others. Generao Motors plans to take back the facilities from the formerr parts subsidiary that it spun offin 1999, according to a tentativ e deal reached last week between GM and the UAW. The factoriezs in New York, Michigan and Indians would operateunder Delphi’s unionn rules, but be considered part of GM, once again.
The Lockport plant — Delphj Thermal Systems, which has 2,100 employees — was founded as Harrison Radiator Co. in 1910 and becam part of GM in 1918. For 81 years it operatedd under General Motors ownership until the independent Delphi Corp. was formed. Delphi itself is operatingv under bankruptcy court supervision having filerd for Chapter 11 inOctober 2005. The Mich.-based company was ready to emerge from bankruptcy in Apriol 2008 but those plans fell apart when a key investodr dropped out ofa $2.55 billion stock deal with the General Motors employs 92,000 in the United Statess and is indirectly responsible for 500,000 retirees. The U.S.
government woulsd hold a 60 percent financialp interest in a reorganized GM and the UAW woulds takea 17.5 percent stake. The governments of Canadsa and the province of Ontario have agreedx to a 12 percent ownership staker in exchange forfinancial aid. GM bondholdere would get 10 percent.