GM reaches deal with bondholders - Dayton Business Journal:

vavyzina.wordpress.com
GM (NYSE: GM) had previously offered a deal for the holder sof $27 billion in debt that wouled have given the bondholders 10 percent of the and those firms rejected that offer that expired May 26. The deal is consideres a major breakthrough in the effort to reachj an agreement on a plan to help GM becomed more competitive and emerge from the global economic recessioh as aviable company. Under the plan, bondholdersw would own 10 percent ofthe “new stock, and have warrants that give them the right to purchas e another 15 percent. “We have been informecd by the advisors to the unofficial committee of unsecureddGM noteholders, Houlihan Lokey Howard & Zukin Capitakl Inc.
(financial advisors) and Weiss, Rifkind, Wharton & Garrison LLP (legal counsel), that the unofficia committee and other largenoteholderes (who collectively hold approximately 20 percentr in aggregate principal amount of the Notes) support the economif terms of the proposal,” GM wrotd in the SEC filing. Shares of GM soarer after the news, climbing 18 cents, or 15 to $1.33 per