1. Go to the website of a company that has recently emerged from Chapter 11 bank
ID: 2475725 • Letter: 1
Question
1. Go to the website of a company that has recently emerged from Chapter 11 bankruptcy—for example, Houghton Mifflin Harcourt (HM Holdings, Inc.) at www.hmhco.com or the Tribune Company at www.tribune.com. By doing a search of the website or by looking at areas such as “Investor Relations” or “About Us,” what information can you determine about the bankruptcy plan that was approved?
2. Then go to the Securities and Exchange Commission website (www.sec.gov) and click on “Search for Company Filings” under “Filings.” Then click on “Company or Fund Name” and enter the name of the same company. After you receive a list of filings, click on the most recent 10–K form. What information is available from this source about the bankruptcy reorganization plan?
3. Finally, if available, go to an online index of business publications or obtain a hard copy index of The Wall Street Journal. Again, search for available information concerning this company’s bankruptcy reorganization plan.
Explanation / Answer
Ans;
General Motors took the top spot on the 2009 store closing list in May, 2009 when it announced that it was closing more than 2,600 of its retail outlets in an effort to keep itself out of bankruptcy court. The total number of jobs that will be lost when all the stores are finally closed is estimated to be 130,000, which also puts GM at the top of the retail job cuts list for 2009.
GM wasn't able to keep itself out of bankruptcy court, and when the company filed for Chapter 11 on June 1, 2009, it wasn't only the largest bankruptcy of the year for the U.S. retail industry, it was also the fourth largest bankruptcy reorganization in the history of United States business. It may have been one of the biggest, but it was also one of the shortest bankruptcy reorganizations processes in history, lasting just 40 days.
What follows is an overview of GM's Chapter 11 proceedings, and the transactions that allowed the brand to survive, and a new government-owned company to emerge with a fresh start in the U.S. auto industry.
Overview of General Motors (GM) Chapter 11 Bankruptcy Details:
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