1. How to use GuruFocus - Tutorials
  2. What Is in the GuruFocus Premium Membership?
  3. A DIY Guide on How to Invest Using Guru Strategies
GuruFocus

Martin Whitman: Chapter 11 would be the easiest way for General Motors

March 07, 2006 | About:

Martin Whitman bought into General Motors Senior Unsecureds during the last quarter. He discussed the possible reorganization of GM: "It seems odds on that General Motors (NYSE:GM) has to reorganize if it is to solve its problems with burdensome legacy costs - pensions and health care; and also rationalize its wage, hour and working condition contracts with its principal union. There are two ways a distressed company can reorganize, i.e., restructure its obligations - voluntary exchanges, or Chapter 11 of the Bankruptcy Code. Though not without business risks a Chapter 11 case probably would be the easiest way for General Motors to solve its legacy cost and labor cost problems."

http://www.thirdavenuefunds.com/taf/documents/shareholderletters/aboutus-letters-06Q1.pdf


Rating: 3.5/5 (2 votes)

Comments

Please leave your comment:


Select portfolio(s):

Why you are interested?

Your selection and notes will be stored in your portfolio.

Login to add portfolio
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
FEEDBACK