General Motors liberated the Revised Edition of "debt-equity swap" program
According to the Xinhua News Agency, the U.S. General Motors Corporation (General Motors) in the United States advertised on the 27th restricted time amended restructuring arrange, embracing the "debt" means replacement of 27 billion U.S. dollars of prominent bonds, the end of next year to lessen 2.1 million American staff and slowly cease the motor vehicle brand label for instance Pontiac.
General Motors to revive the modified program is one of the "debt-equity swap" program. The replacement program wrappings up to 27 billion U.S. dollars of bonds outstanding. According to "debt-equity swap" program, GM will inquire the government government retains more than 50% of the widespread supply to counteract the roughly 10 billion U.S. dollars of government aid loans; and demands for United Auto Workers amalgamation (UAW) GM to be paid from next year 20 billion U.S. dollars the cost of left workers wellbeing protection to not less than 50% widespread stock. If the government government and the United Auto Workers have acquiesced that they would contain a total of 89 per hundred stake in GM.
In harmony with the "debt-equity swap" program, 1000 U.S. dollars for each prominent bond major to exchange 225 allocations of universal stock. Bondholders, as "debt" could be a total of 10 out of 100 universal equity holders.
In supplement, the "debt" will be "extremely diluted" share of living shareholders. General Motors issued a declaration that the present holders of the handed out 610,500,000 portions of General Motors widespread supply held by shareholders of the reorganized business will be about 1% of the shares.
According to this large-scale restructuring program, the U.S. government may become GM's biggest shareholder. And General Motors will obtain 11.6 billion U.S. dollars of respite funds.
On the matching day, General Motors store in the New York Stock Exchange (NYSE) in standard exchanging up 0.35 U.S. dollars, at 2.04 U.S. dollars, or 20.71 percent; one time after getting higher 33 out of 100 to 2.25 U.S. dollars, since November 26, 2008 since the the utmost level. In the past 52 weeks, the General Motors store charge of 24.24 U.S. dollars the largest, least, when only 1.27 U.S. dollars.
GM last week founded on the last swapping day concluding cost of 1.69 U.S. dollars per share, accounting for the replacement cost of the initial face worth of 38% bonds, well overhead the widespread bond in the lesser market cost levels. The last cited only the initial face worth of bonds from 8.2 to 12%.
General Motors Corporation said that the need for 90% of the bondholders in before May 26 to accept the above-mentioned debt-equity swap plan, to make the company from bankruptcy. General Government of the United States to the deadline set for this year's June 1st.
Henderson Fritze (Fritz Henderson) said that if the project will be completed successfully, the company liabilities from 62.4 billion U.S. dollars at the moment is significantly reduced to 18 billion U.S. dollars, the financial situation will be "greatly improved." General Motors next year will be able to return to operating profit.
Henderson accepted that these are the major obstacles to the bondholders. U.S. Treasury Department turned down to their preceding two-thirds of unsecured business bonds to portions in the proposal. Some financial analysts accept as factual that the "debt-equity swap" program To be passed, the "threshold" is rather high.
Henderson said the company still hoped to avoid filing for bankruptcy protection, compared to a few weeks ago but the first was negated when the restructuring plan, the possibility of bankruptcy at the moment, "more."
27 the government government handed out a declaration saying that this "debt" is a general realization of the restructuring program of "important step", but the recommendations have not been on the program or will extend to supply aid to the general-purpose borrowings, "the last decision. - 18762
General Motors to revive the modified program is one of the "debt-equity swap" program. The replacement program wrappings up to 27 billion U.S. dollars of bonds outstanding. According to "debt-equity swap" program, GM will inquire the government government retains more than 50% of the widespread supply to counteract the roughly 10 billion U.S. dollars of government aid loans; and demands for United Auto Workers amalgamation (UAW) GM to be paid from next year 20 billion U.S. dollars the cost of left workers wellbeing protection to not less than 50% widespread stock. If the government government and the United Auto Workers have acquiesced that they would contain a total of 89 per hundred stake in GM.
In harmony with the "debt-equity swap" program, 1000 U.S. dollars for each prominent bond major to exchange 225 allocations of universal stock. Bondholders, as "debt" could be a total of 10 out of 100 universal equity holders.
In supplement, the "debt" will be "extremely diluted" share of living shareholders. General Motors issued a declaration that the present holders of the handed out 610,500,000 portions of General Motors widespread supply held by shareholders of the reorganized business will be about 1% of the shares.
According to this large-scale restructuring program, the U.S. government may become GM's biggest shareholder. And General Motors will obtain 11.6 billion U.S. dollars of respite funds.
On the matching day, General Motors store in the New York Stock Exchange (NYSE) in standard exchanging up 0.35 U.S. dollars, at 2.04 U.S. dollars, or 20.71 percent; one time after getting higher 33 out of 100 to 2.25 U.S. dollars, since November 26, 2008 since the the utmost level. In the past 52 weeks, the General Motors store charge of 24.24 U.S. dollars the largest, least, when only 1.27 U.S. dollars.
GM last week founded on the last swapping day concluding cost of 1.69 U.S. dollars per share, accounting for the replacement cost of the initial face worth of 38% bonds, well overhead the widespread bond in the lesser market cost levels. The last cited only the initial face worth of bonds from 8.2 to 12%.
General Motors Corporation said that the need for 90% of the bondholders in before May 26 to accept the above-mentioned debt-equity swap plan, to make the company from bankruptcy. General Government of the United States to the deadline set for this year's June 1st.
Henderson Fritze (Fritz Henderson) said that if the project will be completed successfully, the company liabilities from 62.4 billion U.S. dollars at the moment is significantly reduced to 18 billion U.S. dollars, the financial situation will be "greatly improved." General Motors next year will be able to return to operating profit.
Henderson accepted that these are the major obstacles to the bondholders. U.S. Treasury Department turned down to their preceding two-thirds of unsecured business bonds to portions in the proposal. Some financial analysts accept as factual that the "debt-equity swap" program To be passed, the "threshold" is rather high.
Henderson said the company still hoped to avoid filing for bankruptcy protection, compared to a few weeks ago but the first was negated when the restructuring plan, the possibility of bankruptcy at the moment, "more."
27 the government government handed out a declaration saying that this "debt" is a general realization of the restructuring program of "important step", but the recommendations have not been on the program or will extend to supply aid to the general-purpose borrowings, "the last decision. - 18762
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