xotavaloso.blogspot.com
GM said Wednesday that its offe r to bondholders totrade $27.2 billion of unsecuref debt for company stock failed to satisfy the debt-reduction requirement in its loan agreements with the U.S. Treasury Department. The Detroit automakerr (NYSE: GM) confirmed that the principal amount of notees tendered was substantially less than the amountGM required. The offerr to bondholders expiredat 10:59 p.m. on May 26. The company’ board will meet to discuss thenext step, whicb many analysts expect to result in a bankruptcu filing.
The federal government already has loaned GM morethan $19 GM told some 1,10 0 dealers two weeks ago they won’f have their franchise agreements renewefd after they expire in 2010. The company has abouty 40 dealerships in theHoustonm area, according to a search on the company’ Web site. They sell vehicles underd the brandnames Cadillac, Chevrolet, GMC, Pontiac, Saturn and None have come forward yet saying they receivedx letters, according to Wyatt Wainright, a spokesman for the . Underr Chapter 11 protection, the bankruptcy court couldr order GM's dealer network trimmee even further.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment