posted by GM Fan on Jun 26
There is no such thing as a smooth exit route from bankruptcy, and auto industry giants like General Motors and Chrysler created some buzz on all media when they declared Chapter 11. Everyone doubts that they will be out of it within the plotted 60 days but it seems GM will be setting up a new shop by 15 July.
According to some reports, there will still be some impediments to overcome before GM can see its new beginning. Most of these processes will not have GM calling the shots— the bankruptcy judge still needs to rule on urgent matters by July 1. The court will hear a call for sale based on Section 363 which will involve putting on the market of the GM assets.
The General Motors is eyeing to form a new company by mid July and try to cut its time in the bankruptcy court. Among the major issues needed to be addressed is the reorganization.
The car manufacturer aims to chop of from its rank hundreds of dealerships across the United States before the end of 2010. The dealers who will remain in business can definitely smile but be ready for tougher demands for their businesses.