Quote:
Originally Posted by SteveR
The only problem with an arranged bankruptcy is that everyone will lose their pensions, health benefits, stocks, warranties, and jobs. It'll like Enron to the billionth power. Oh, and the courts can opt to erase certain debts GM has, so parts manufacturers, suppliers, etc. will get screwed out of billions of dollars too.
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It depends on how they structure it. If the feds are willing to chip in cash to the PBGC then the current retirees lose nothing. Fund the VEBAs and the medical problem is now the UAWs problem. There are ways to deal with the current workforce so they lose little in the grand scheme. But I think they can accomplish all this w/o technically filing c11. But it won't happen because it will partially neuter the union. The dems won't allow that.
Equity holders lose everything, most likely.
If they belly up on their own that is what we are gonna have to pay all that anyway, except the veba$$ will need to shuffle off to medicare.
It could be done.