General Motors to file for bankruptcy
Published:Monday | June 1, 2009 | 9:57 AM
Car giant General Motors (GM) is expected to file for bankruptcy protection later today, marking the biggest failure of an industrial company in US history.
The stricken firm had until today to present a viable revival plan in return for emergency government funding.
Reports said a majority of bondholders have now agreed to a deal giving them at least a 10 per cent stake in what is likely to emerge as a much smaller company.
President Barack Obama is due to give full details at a news conference.
Senior executives at General Motors have been making final preparations for completely restructuring what was once the world\'s largest car company, under judicial supervision.
GM\'s sales have been hit hard by the financial crisis and the firm has received US$20B in state aid.
A Chapter 11 bankruptcy filing by GM would rank as the third largest bankruptcy in US history following Lehman Brothers\' collapse and the failure of telecoms giant WorldCom.