GM files for bankruptcy, plans to transfer operations to Wentzville - Business Courier of Cincinnati:

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Some operations and equipment from a steek stamping plant inGrand Rapids, which is slated to close as part of the automaker'sa restructuring, will be transferred to Wentzville, according to Bob a spokesman for the Wentzville It's not yet known how many, if any, Michiga employees will opt to transfer to he said. GM officials called Wentzville Mayor Paul Lambiu at9 a.m. Monday to assure him the loca l plant wouldremain open. "It's good that they are shippintg in work forthis plant," Lambi said.
"That's a positive that corporate thinks this plant willbe Still, Lambi said, rival automaker Chrysler plans to shuttert its Fenton factors after investint $130 million in them, so it was important for Wentzvillw to not rely on GM so much and diversify its revenue stream. When Lambi took officr seven years ago, Wentzville countedx on GM for about 55 to 60 percent of itstota revenue. Today, that's more like 15 perceng of the city's $24 million generalk fund, because GM pays the city about $3 millio a year in real estate property taxes and other he said.
GM on Monday by the end of but the Wentzville plant was sparedbecause it’s the only plangt where Chevrolet Express and GMC Savana vans are The Wentzville plant will still undergo a previously announced and other production cuts in June and July that will resulty in the layoffs of 300 Monday’s Chapter 11 filing by the 101-year-old automaker is amont the largest in U.S. history and largest-everd U.S. manufacturing bankruptcy. GM listed $173 billion in liabilities and $82 billiobn in assets, according to the filed in New York. GM to St.
largest privately held company, Enterprise Rent-a-Car, and to Chapter 11, which allows the company to operate while protected from its pushes GM intoa fast-track bankruptct and provides $30 billion of additional taxpayer fundsa to restructure. The GM plan as detailex by U.S. officials would allow a much smaller GM to emerges from court protection within 60 to 90 The automaker has not provided an updated target for job cuts but was lookinhg toeliminate 21,000 U.S. factory jobs from the 54,000 union memberzs it now employs. Generakl Motors employs 92,000 in the Unitee States and is indirectly responsiblefor 500,000 retirees. The U.S.
government woulde hold a 60 percent financial interest in areorganizee GM, and the UAW would take a 17.5 percent The governments of Canada and the provinc e of Ontario have agreed to a 12 percenyt ownership stake in exchange for financial aid. GM bondholdersx would get 10 percent. "It’xs a bittersweet thing," Wheeler said. "You hate to have to go through the process of closing plants andeliminating jobs, but look that’s what's going on with a lot of Hopefully we can rebound, hire people in the future and be the vibranr company we once were.
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