A United Auto Workers healthcare trust fund will get 17.5 percent of General Motors’ common stock, along with preferred stock and a note – if the General stays out of bankruptcy.
Most of its hourly workers will get a buyout offer, reportedly better than the last one.
GM also is taking back control of five Delphi factories.
Whether this all is enough for GM to get bondholders to accept their own deal by midnight tonight is still very much up in the air. If it’s no deal, then it’s down the road to bankruptcy. Where the UAW deal would then stand, I don’t know. I’m guessing that, since the UAW has backed far enough off its starting point, it might survive.
If GM does go bankrupt, somebody is guaranteed more work for sure – a legion of bankruptcy lawyers.
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