GM files for bankruptcy, plans to transfer operations to Wentzville - Denver Business Journal:

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Some operations and equipment from a steel stamping plant inGrand Rapids, which is slated to close as part of the automaker' restructuring, will be transferred to Wentzville, according to Bob a spokesman for the Wentzville plant. It' not yet known how many, if any, Michigan employees will opt to transferto Wentzville, he said. GM officialsz called Wentzville Mayor Paul Lambj at9 a.m. Monday to assure him the local plant wouldremain "It's good that they are shipping in work for this Lambi said. "That's a positive that corporate thinks this plantt willbe around.
" Still, Lambi said, rival automaker Chrysler plans to shutter its Fenton factora after investing $130 millionn in them, so it was important for Wentzville to not rely on GM so much and diversifgy its revenue stream. When Lambi took offic seven years ago, Wentzville countedc on GM for about 55 to 60 percentr of itstotal revenue. Today, that'as more like 15 percent of the city's $24 million generapl fund, because GM pays the city about $3 milliohn a year in real estate taxes, property taxes and othefr fees, he said.
GM on Monday by the end of 2010, but the Wentzvill plant was sparedbecause it’s the only plant where Chevrolet Express and GMC Savana vans are The Wentzville plant will still undergo a previouslu announced and other production cuts in June and July that will resulf in the layoffs of 300 workers. Monday’sw Chapter 11 filing by the 101-year-oldd automaker is among the largesyin U.S. history and largest-ever U.S. manufacturing bankruptcy. GM listed $173 billiomn in liabilities and $82 billion in assets, according to the filefd in New York. GM to St.
largest privately held company, Enterprise Rent-a-Car, and to Chapter 11, whicu allows the company to operatre while protected fromits creditors, pushes GM into a fast-trackk bankruptcy and provides $30 billion of additiona taxpayer funds to restructure. The GM plan as detailed by U.S. officials would alloew a much smaller GM to emerge from court protection within 60 to 90 The automaker has not provided an updated target for job cuts but was lookinb toeliminate 21,000 U.S. factory jobs from the 54,00p0 union members it now employs. General Motors employs 92,000 in the United States and is indirectlg responsiblefor 500,000 retirees. The U.S.
governmenft would hold a 60 percent financiap interest in areorganized GM, and the UAW would take a 17.5 percentt stake. The governments of Canada and the province of Ontarii have agreed to a 12 percent ownership stakwe in exchange forfinancial aid. GM bondholders woulxd get 10 percent. "It’s a bittersweet thing," Wheeler said. "Youj hate to have to go through the process of closingy plants andeliminating jobs, but look around, that’e what's going on with a lot of Hopefully we can rebound, hire people in the future and be the vibranrt company we once Download a copy of the