GM Banks On Debt Swaps In New Restructuring Plan

Law360, New York (April 27, 2009, 12:00 AM EDT) -- In its latest bid to avoid a trip to bankruptcy court, General Motors Corp. has revealed a sweeping restructuring plan that, if successful, would give the U.S. government a controlling stake in the beleaguered automaker.

Under the plan announced Monday, GM proposed to launch a bond exchange for some $27 billion of its unsecured public debt, offering certain bondholders shares of GM common stock and accrued interest.

The debt swap offer would exchange 225 common shares for each $1,000 worth of debt.

GM is negotiating with...
To view the full article, register now.

UK Financial Services

UK Financial Services

Read Our Latest UK Financial Services Coverage

Financial Services Law360 UK provides breaking news and analysis on the financial sector. Coverage includes UK and European Union policy, enforcement, and litigation involving banks, asset management firms, and other financial services organizations.