GM Could Exit Bankruptcy by Mid-July

According to report in the Financial Times , General Motors could exit bankruptcy almost a month earlier than expected. Although there are as many as 500 objections, most analysts believe that none of them will derail the process.

Much like Chrysler's bankruptcy, GM is expected to form a new company with its "good" assets while the old GM is left to deal with all the crap that led them into bankruptcy in the first place.

The U.S. government will hold roughly 60% of the new GM while debt holders will get 10% and warrants for 15% more. Will any of these changes enable GM to turn its business around? Figure we'll know by the end of 2009 at the latest.

FT.com: GM Plans Comeback a Month Early

Categories: Auto Industry,General Motors