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  1. Chicken, thanks…Now I get it. I think the govt. might step in to try to keep GM afloat. And yes, I am looking FOR Sue 🙂 Now that I’ve secured the job, I just need a woman!

  2. “The main question is whether the US government will trample on bondholder rights.”

    How so, Chicken?

    Posted by: InsertSnappyNameHere at May 29, 2009 10:11 AM

    If a bond is not paid out on, the bondholder can petition for the company to be liquidated. The assets (land, building, stock, etc) are sold by the liquidator and the proceeds are used to repay the various parties. There is a clear order of priority for repayment and each level gets paid out in full before the next level.

    The US government may force the bondholders to accept equity or not allow the petitioning. Either of these is a clear violation of company law.

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