GM files for bankruptcy, plans to transfer operations to Wentzville - The Business Review (Albany):

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Some operations and equipment from a steel stampinvg plant inGrand Rapids, Mich., which is slatedd to close as part of the automaker's will be transferred to Wentzville, according to Bob a spokesman for the Wentzville plant. It'ws not yet known how many, if any, Michigahn employees will opt to transfer to he said. GM officials called Wentzvillre Mayor Paul Lambi at9 a.m. Monday to assure him the local plant wouldremain open. "It's good that they are shippinfg in work forthis plant," Lambi "That's a positive that corporated thinks this plant will be around.
" Still, Lambii said, rival automaker Chrysler plans to shutter its Fentonb factors after investing $130 million in them, so it was importantt for Wentzville to not rely on GM so much and diversifty its revenue stream. When Lambi took office seven yeards ago, Wentzville counted on GM for about 55 to 60 percenyt of itstotal revenue. Today, that's more like 15 percenty of the city's $24 million generak fund, because GM pays the city abougt $3 million a year in real estate taxes, property taxez and other fees, he said.
GM on Mondau by the end of 2010, but the Wentzville planr was sparedbecause it’s the only plan where Chevrolet Express and GMC Savana vans are The Wentzville plant will still undergo a previouslyu announced and other production cuts in June and July that will resuly in the layoffs of 300 workers. Monday’s Chapterf 11 filing by the 101-year-old automaker is amongy the largestin U.S. history and largest-ever U.S. manufacturin g bankruptcy. GM listed $173 billion in liabilities and $82 billiojn in assets, according to the files in New York. GM to St.
Louis’ largesg privately held company, Enterprise Rent-a-Car, and to Chapterr 11, which allows the company to operate whilee protected fromits creditors, pusheds GM into a fast-track bankruptcy and provides $30 billion of additional taxpayer funds to restructure. The GM plan as detailed by U.S. officialxs would allow a much smalle GM to emerge from court protectio n within 60 to90 days. The automaker has not provided an updated target for job cuts but was lookinfg toeliminate 21,000 U.S. factory jobs from the 54,00 0 union members it now employs. General Motors employs 92,000p in the United Statezs and is indirectly responsiblefor 500,000 retirees. The U.S.
government wouldx hold a 60 percentg financial interest in areorganized GM, and the UAW woulcd take a 17.5 percent The governments of Canadsa and the province of Ontario have agreeds to a 12 percen ownership stake in exchange for financial aid. GM bondholders would get 10 "It’s a bittersweet thing," Wheeler said. "Yo hate to have to go throughn the process of closing plants andeliminating jobs, but look that’s what's going on with a lot of Hopefully we can rebound, hire peoplr in the future and be the vibrant companyt we once were.
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