GM emerges from bankruptcy

New government-backed company gives troubled US car manufacturer a "second chance".

    Henderson said that General Motors had been given
    a "second chance" by the rescue plan [AFP]

    "We recognise that we've been given a rare second chance at GM, and we are very grateful for that. And we appreciate the fact that we now have the tools to get the job done."

    Jobs slashed

    GM has slashed its work force, closed 40 per cent of its dealerships and shed a number of brands including Saab, Saturn, Opel and Hummer.

    It will cut 6,000 jobs by October in a move that will reduce its white-collar work force by 20 per cent and a 35 per cent reduction in executive posts is also planned.

    The US government has provided about $50bn in financing for the company and spearheaded the restructuring plan.

    Canada, which provided more than $9bn in loans, also has a stake in the new GM along with a United Auto Workers union retiree healthcare trust fund.

    The new firm has also been freed of $173bn of liabilities it had when it entered bankruptcy protection on June 1.

    Creditors holding about 54 per cent of GM bonds agreed to a plan that would swap $27bn dollars in debt for a 10 per cent stake and warrants allowing them to buy an additional 15 per cent stake.

    SOURCE: Agencies


    Meet the deported nurse aiding asylum seekers at US-Mexico border

    Meet the deported nurse helping refugees at the border

    Francisco 'Panchito' Olachea drives a beat-up ambulance around Nogales, taking care of those trying to get to the US.

    The rise of Pakistan's 'burger' generation

    The rise of Pakistan's 'burger' generation

    How a homegrown burger joint pioneered a food revolution and decades later gave a young, politicised class its identity.

    'We will cut your throats': The anatomy of Greece's lynch mobs

    The brutality of Greece's racist lynch mobs

    With anti-migrant violence hitting a fever pitch, victims ask why Greek authorities have carried out so few arrests.