After a night spent signing mounds of paperwork authorizing the transfer of cash, real estate, technology and other property, GM attorneys are expected to officially usher the new General Motors out of bankruptcy protection on Friday and onto a path toward a hopefully profitable future.
Once the world's largest and most powerful automaker, the troubled company is expected to emerge cleansed of massive debt and burdensome contracts that would have sunk it without federal loans. Spurred on by the Obama administration's support, the process took just 40 days, even slightly quicker than crosstown rival Chrysler Group LLC's 42-day timeframe.
On Thursday, a bankruptcy court order allowing GM to sell most of its assets to a new company went into effect. The new GM, 61% owned by the US government, will face a brutally competitive global automotive market in the middle of the worst sales slump in a quarter-century.
At a press conference on Friday, CEO Fritz Henderson will announce that GM will cut another 4,000 white-collar jobs, including 450 top executives. The company still employs 88,000 people in the US and 235,000 worldwide.
Agencies
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