GM filing for bankruptcy

purch

http://www.uscourts.gov/bankruptcycourts/bankruptcybasics/process.html

Chapter 7, entitled Liquidation, contemplates an orderly, court-supervised procedure by which a trustee takes over the assets of the debtor's estate, reduces them to cash, and makes distributions to creditors, subject to the debtor's right to retain certain exempt property and the rights of secured creditors.

Chapter 13, entitled Adjustment of Debts of an Individual With Regular Income, is designed for an individual debtor who has a regular source of income. Chapter 13 is very different from chapter 7 since the chapter 13 debtor usually remains in possession of the property of the estate and makes payments to creditors, through the trustee, based on the debtor's anticipated income over the life of the plan. Unlike chapter 7, the debtor does not receive an immediate discharge of debts

Chapter 11, entitled Reorganization, ordinarily is used by commercial enterprises that desire to continue operating a business and repay creditors concurrently through a court-approved plan of reorganization. The chapter 11 debtor usually has the exclusive right to file a plan of reorganization for the first 120 days after it files the case and must provide creditors with a disclosure statement containing information adequate to enable creditors to evaluate the plan.

Chapter 12, entitled Adjustment of Debts of a Family Farmer or Fisherman with Regular Annual Income, provides debt relief to family farmers and fishermen with regular income.

Chapter 9, entitled Adjustment of Debts of a Municipality, provides essentially for reorganization, much like a reorganization under chapter 11. Only a "municipality" may file under chapter 9, which includes cities and towns, as well as villages, counties, taxing districts, municipal utilities, and school districts.

Chapter 15, entitled Ancillary and Other Cross-Border Cases, is to provide an effective mechanism for dealing with cases of cross-border insolvency.

System

I wonder if this will mean even better deals on cars. Might pop in on the way home and see what they offer me for a new Astra Sporthatch thing.

bubblesmoney

the haircuts for the bond holders will be the key for bond markets. as it is the bond holders got toasted in the chrysler deal and now this. only 900+ bond holders had agreed to the chap 11 deal with the gov, while thousands of other bond holders hadnt agreed. what is yet unknown is how many pension funds were among the bond holders, loads of people will lose their retirement pensions if their fund had invested with GM and got toasted.

dealerships will get toasted too, probably based on political affiliations and how long and how much they funded democrats, more specifically clinton team. the car czar is married to a lady who was the lead on clinton election team. some analysis has emerged from chrysler bankruptcy dealers and political funding data. this is being probed by many people and will erupt soon and remove any semblance of fairplay in the govt there if more evidence emerges. the data is being analysed in detail now and preliminary analysis shows clinton supporters among the dealers were saved and their competitors were shut down even if the competitors were profitable. expect more of the same from the GM debacle as well. unusually instead of chrysler deciding which dealerships to close, they seem to have been forced out of the loop and the car czar in the govt seems to have been deciding which dealerships close! so someone is upto no good on this issue and using political alingments in deciding which delareships to save and which dealerships to shut down.

if thats happening with car industry then any guess on whether its happening with other industries as well based on the political alignments???

mewbie_2

I don't suppose anyone knows if they have a dealership in Merthyr Tydfil?

Generali

mewbie wrote: »

I don't suppose anyone knows if they have a dealership in Merthyr Tydfil?

I heard it did really well.

No link, sorry.

Count_Dante

purch wrote: »

http://www.uscourts.gov/bankruptcycourts/bankruptcybasics/process.html

Chapter 7, entitled Liquidation, contemplates an orderly, court-supervised procedure by which a trustee takes over the assets of the debtor's estate, reduces them to cash, and makes distributions to creditors, subject to the debtor's right to retain certain exempt property and the rights of secured creditors.

Chapter 13, entitled Adjustment of Debts of an Individual With Regular Income, is designed for an individual debtor who has a regular source of income. Chapter 13 is very different from chapter 7 since the chapter 13 debtor usually remains in possession of the property of the estate and makes payments to creditors, through the trustee, based on the debtor's anticipated income over the life of the plan. Unlike chapter 7, the debtor does not receive an immediate discharge of debts

Chapter 11, entitled Reorganization, ordinarily is used by commercial enterprises that desire to continue operating a business and repay creditors concurrently through a court-approved plan of reorganization. The chapter 11 debtor usually has the exclusive right to file a plan of reorganization for the first 120 days after it files the case and must provide creditors with a disclosure statement containing information adequate to enable creditors to evaluate the plan.

Chapter 12, entitled Adjustment of Debts of a Family Farmer or Fisherman with Regular Annual Income, provides debt relief to family farmers and fishermen with regular income.

Chapter 9, entitled Adjustment of Debts of a Municipality, provides essentially for reorganization, much like a reorganization under chapter 11. Only a "municipality" may file under chapter 9, which includes cities and towns, as well as villages, counties, taxing districts, municipal utilities, and school districts.

Chapter 15, entitled Ancillary and Other Cross-Border Cases, is to provide an effective mechanism for dealing with cases of cross-border insolvency.

To which you can add:
Chapter 51, entitled No Longer Playing with Full Deck of Cards, provides for when management is intellectually bankrupt.

GM filed for chapter 51 bankruptcy years ago.

julieq

and...

http://news.bbc.co.uk/1/hi/business/8144434.stm

halight

Thay are now 61% Gov owned.
The start of a USA british layland!

Everyone out!!!!!!!!
One out all out!!!!!!!

halight

But really thay are making over 20000 redundant and i think thay are shutting 13 plants.
Got to feel sorry for the workers.

Generali

Yeah, I feel bad for people losing their jobs - I lost my job and had a really tough time getting anything to replace it. It's not the Government's function (or shouldn't be) to prop up loss making firms and stop their employees from losing their jobs though. It just increases taxes on (and reduces productivity of) profitable firms.