GM enters bankruptcy filing - Business First of Columbus:

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Monday’s Chapter 11 filing by the 101-year-ole automaker — once the world’s biggest compan y and WesternNew York’ largest manufacturing employer for decades — is amon g the largest in U.S. history and largest-ever U.S. manufacturing bankruptcy. Chapter 11, whicb allows the company to operate while protected from its pushes GM intoa fast-track bankruptc and provides $30 billion of additional taxpayer funds to restructured itself. General Motors CEO Fritz Henderson said in a preparex statement that GM was being reinventedd and that the company is readg for the jobat hand.
"The economic crisis has caused enormous disruptiobn in theauto industry, but with it has come the opportunitty for us to reinvent our business. We are goin to do it once and do it The court-supervised process we are pursuing provides us with powerfu l tools to accelerate and completwe our reinvention, as well as strong safeguardw for our customers and our he said. The GM plan as detailee by U.S. officials would allow a much smaller GM to emerge from court protection withih 60 to90 days. GM also plans to close 11 U.S. facilitie s and idle another three plants by the endof 2010.
GM’ws Tonawanda engine plant, where 1,100p people work, will remain The automaker has not provided an updated targef for job cuts but was lookingf toeliminate 21,000 U.S. factory jobs from the 54,000 uniom members it now employs. Also not immediately clea r iswhat GM’s bankruptcy filinvg will mean for ’s plants in Lockport, Rochestere and three others. General Motors plans to take back the facilities from the formeer parts subsidiary that it spun offin 1999, accordingv to a tentative deal reacheed last week between GM and the UAW. The factories in New Michigan and Indiana would operateunder Delphi’s union but be considered part of GM, once again.
The Lockportf plant — Delphi Thermal which has 2,100 employees — was founded as Harrisonb Radiator Co. in 1910 and became part of GM in 1918. For 81 yeara it operated under General Motors ownership untip the independentDelphi Corp. was formed. Delphk itself is operating under bankruptct court supervision having filed for Chapter 11 inOctober 2005. The Mich.-based company was ready to emerge from bankruptcyh in April 2008 but those plans fell aparrt when a key investor dropped out ofa $2.56 billion stock deal with the General Motors employs 92,000 in the United States and is indirectlyu responsible for 500,000 retirees. The U.S.
government would hold a 60 percent financia interest in a reorganized GM and the UAW would takea 17.5 percenft stake. The governments of Canadsa and the province of Ontario have agreed to a 12 percent ownershio stake in exchange forfinancial aid. GM bondholdersd would get 10 percent.