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GM Predicted to File Bankruptcy Any Day


As of late afternoon on May 26, 2009, sources involved with the GM restructuring are saying it's all but over with.

GM had to get 90% of its bondholders to accept its "debt for equity" swap to avoid filing the largest ever industrial bankruptcy in US history by the end of the month and the final deadline is midnight. The tally? GM won't release the actual numbers but Reuters News is reporting that "a source" on the inside is saying the percentage is in the low single digits.

That means it's all but done for GM.

With no way to avoid reality, it seems it will now be impossible for GM to avoid filing bankruptcy any day now.

If you've got a GM built car, still under warranty, now's the time to get it in the shop, while the dealer might still honor the GM warranty work that you need. Pretty soon, that may not be the answer you get.

Burdge Law Office
Helping consumers protect themselves since 1978.