It took Chrysler 2 weeks to get that approval which is basically one of the two hardest steps out of this..
and there goes gm and gets it done in the second day of the filing. Impressive. I guess being prepared competently by the US treasury ahead of the bankruptcy helps. Hey Lordmike you should be pretty happy about this news! hehe.
June 2 (Bloomberg) -- General Motors Corp., the largest manufacturer to go bankrupt, won court approval to auction its assets with the lead bid coming from the U.S. Treasury and a goal of closing a sale in July to create a reorganized company.
The automaker, on its first day in bankruptcy, also won permission yesterday from U.S. Bankruptcy Judge Robert Gerber in Manhattan to borrow $15 billion of a planned $33.3 billion bankruptcy loan. The U.S. government will extend $50 billion in loans to the 100-year-old automaker and plans to convert that into a 60 percent stake in the reorganized company, according to a court filing yesterday.
"There’s only one prospective purchaser," GM attorney Harvey Miller told Gerber, referring to the U.S. government. "There’s no entity that has the wherewithal to bid in these cases."
http://www.bloomberg.com/...
This is a short diary but I am glad this thing is happening with good speed. US needs GM to come out of this restructuring asap so they wont loss market shares.... and I am iching to buy me some GM stocks as soon as it goes public again after a good restructuring:):)
anyways the next step is the actual restructuring and then the court has to approve it (2nd hardest part). Again it took Chrysler 2 weeks to get a similar ruling for a sale. its a big deal and a good omen for GM.
Good luck Fritz Henderson!