GM Reportedly to File for Chapter 11 Bankruptcy Protection

It is reported that America's largest automaker, GM is planning to file for Chapter 11 bankruptcy protection on Monday June 1st 2009. After months of speculation and scrambling efforts to save the biggest of the Big Three, the journey eventually ended at the same stop as Chrysler, which filed for Chapter 11 just a little over a month ago. With billions of taxpayers money pumped to "save" its famous automotive industry, the US government still couldn't prevent this outcome that many have predicted a few months back.

The question now becomes, how long will GM be in Chapter 11 protection and when can they successfully restructure and come out as a more profitable and manageable company. Will GM filing for Chapter 11 drag the lone standing Big Three member Ford down towards the same direction? Bear in mind that if many of the automotive part suppliers do not exclusively supply to one customer, so if there's a supply chain problem arising from Chrysler and GM going into Chapter 11, chances are that Ford will not escape unscathed. The good news is, GM's European market operations under Opel has found a buyer in Canada's Magna.