GM stock hit by bankruptcy report

[BudSooner]

US carmaker General Motors has seen its shares fall sharply after a report that the US government wants the firm to start bankruptcy proceedings by 1 June.

http://news.bbc.co.uk/2/hi/business/7996898.stm


The New York Times said the Treasury Department wants a court-led reorganisation, but the firm wants to reorganise without going to court.
Shares in the ailing firm shed 17.6% to $1.68 in morning trade in New York.


It was bound to happen, sooner or later.

[OUDoc]

Part of me thinks there is no way the government will let GM collapse and now would be a great time to buy their stock.
The other part of me likes my money.

[tommieharris91]

Part of me thinks there is no way the government will let GM collapse and now would be a great time to buy their stock.
The other part of me likes my money.

Wait a few days I'd say.

[olevetonahill]

If I unnerstood Chuck right . If they Go Bankrupt then stock holders lose all their Cash .

Now I gots a ? . If they do the Reorganization, Are the Stock holders protected in some way ?

[TheHumanAlphabet]

My bet is that they void all outstanding issues and re-issue new preferred stocks certs and make people buy new ones to bring in money.

[Oldnslo]

Part of me thinks there is no way the government will let GM collapse and now would be a great time to buy their stock.
The other part of me likes my money.

I thought that it was time to buy when a democrat got elected because there was no way he'd let GM go down the swirlies.

I bought in at 6.

Sold at 3.

The end.