According to earlier news, General Motors, the world’s second-largest motor vehicle producer, filed for bankruptcy protection earlier today June 1, 2009, Monday
GM files filed for bankruptcy with a to restructure and to re-emerge as a smaller and less debt-burdened organization in a couple of months. The chapter 11 petition was filed federal court in Manhattan, New York. The case was assigned to U.S. Bankruptcy Judge Robert Gerber. Gerber presided over the bankruptcy of Adelphia Communications Corp.
The bankruptcy filing is part of the President Barack Obama administration’s plan to shrink the automaker to a sustainable size and to make the automaker more efficient.
It was reported that GM announced it would close plants in Pontiac, Michigan and Wilmingtion, Delaware this year – while shutting down production at plants in Spring Hill, Tennessee and Orion, Michigan.
GM revealed Monday that it will permanently close nine more plants and idle three others.
GM Plants Closing
* Pontiac, MI – October 2009
* Wilmington, DE – July 2009
* Livonia, MI – June 2010
* Flint, MI – December 2010
* Ypsilanti Township, MI – December 2010
* Parma, OH – December 2010
* Fredericksburg, VA – December 2010
* Indianapolis, IN (Stamping Plant) – December 2011
* Mansfield, OH (Stamping Plant) – June 2010
* Boston, MA – December 31, 2009
* Jacksonville, FL – December 31, 2009
* Columbus, OH – December 31, 2009
GM Plants being idled
* Spring Hill, Tennessee – November 2009
* Orion, Michigan – September 2009
* Pontiac, Michigan (Stamping Plant) – December 2010
GM will also offer about 40 percent of its dealers 18 months to wind down their operations and will immediately seek permission to honor incentives offered to its remaining dealers.
It is estimated that 300,000 workers at GM dealerships will be affected along with hundreds of thousands of workers at auto parts manufacturers and other auto suppliers. Will your company be affected by the GM bankruptcy?