Monday June 01, 2009

GM files for bankruptcy, gets delisted from Dow Jones and NYSE

This article belongs to the GM, Ford and Chrysler bankruptcy watch story arc.

news.yahoo.com :

General Motors filed for bankruptcy on Monday [1 Jun 2009], the largest ever in US manufacturing, as the Obama administration took the first steps to try to revive a failed icon of American industry. GM had been kept alive by $50 billion in US government funding. GM plans to close or idle 14 US plants and warehouse operations. The closings will cut 18,000 to 20,000 GM workers in the US. GM would also cut almost 8,000 white-collar jobs.

Chrysler's bankruptcy was seen as a test run for the much bigger reorganization of GM. A bankruptcy judge has approved the sale of Chrysler's assets to a group led by Fiat. President Barack Obama said he was confident GM could emerge quickly from bankruptcy. GM will be divided into two : "New GM" and "Old GM", its shuttered plants, stranded equipment and other spurned assets left to liquidation. In the wake of its bankruptcy, GM stock was removed from the Dow Jones index and delisted by the New York Stock Exchange. GM's stock fell to a low of 48 cents on Monday, a level last seen during the Great Depression.

- The wait is over. And with a 60% stake by the US government, General Motors is now, as the pundits would say, Government Motors. Sure, it's still going to be GM, but it's going to be a very different GM. And as GM goes, so goes America. The mantle of leadership is being passed on by the Americans to the Asians and the rest of the world, and it's not only leadership in the auto industry. From the most basic of commodities production to the heights of space exploration, it is time to let the Chinese, Indians, Koreans, Russians, Brazilians and others, take over the reins and lead the way in new directions. For it is apparent, and it has been apparent for some time, that the American Way is not quite what it once used to be. It is time for change.

See also :

1. GM warns of bankruptcy risk
2. GM said to speed bankruptcy plans
3. Chrysler files for bankruptcy, enters Fiat deal
4. GM bankruptcy still likely despite plans to cut 23000 jobs, drop Pontiac brand
5. GM to file for bankruptcy on Mon 1 Jun 2009

(2009-06-01 23:30:00 SGT) [Biz] Permalink

Most popular blog postings on lowem.log :

1. 2010 Nissan Leaf electric car specifications : 107hp, 24KWh lithium-ion batteries, 100-mile range
2. 2010 Honda CR-Z hybrid, 2010 Honda Fit/Jazz hybrid models confirmed
3. 2010 Honda Civic Hybrid preliminary specifications released
4. Singapore SIBOR rate falls to 0.69% in Jan 2009, lowest since Apr 2004
5. How to insert currency exchange rates into Google Spreadsheets
6. Singapore : Nuclear power not ruled out
7. Live spot gold price quotes chart on COMEX
8. 2010 Toyota Prius specifications released : 50 mpg, 1.8L, 134hp, Ni-MH, solar roof option

Featured articles on lowem.log :

1. 2010 Honda Civic Hybrid preliminary specifications released
2. 2010 Honda CR-Z hybrid, 2010 Honda Fit/Jazz hybrid models confirmed
3. 2010 Toyota Prius specifications released : 50 mpg, 1.8L, 134hp, Ni-MH, solar roof option
4. Honda, GS Yuasa JV to make lithium-ion batteries for 2010/2011 Honda Civic Hybrid
5. New efficient nanotech materials may boost enhanced geothermal power systems
6. NYMEX crude oil recovers from $32.40 low after 2.2 mbpd OPEC production cut announced
7. Singapore property market recovery seen as private home sales surge 52% in Jul 2009
8. Singapore SIBOR rate falls to 0.69% in Jan 2009, lowest since Apr 2004