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The revolving door of the bankruptcy court was the headline for General Motors. CBS' Cynthia Bowers reported on the vote by the United Autoworkers to accept "sweeping givebacks" in pay and benefits: "Having an agreement in place before bankruptcy means less chance the court will impose even more painful concessions down the road." Some of the company's bondholders took a haircut too, agreeing to what CBS' Anthony Mason called a "sweetened" offer to convert debt into an ownership stake. CNBC's Phil LeBeau filed a brief stand-up on NBC in which he predicted a "quicker, smoother bankruptcy" as a result.
The road map for such a deal is offered by Chrysler, which is on the verge of judicial approval for its merger with Fiat. ABC's Chris Bury was inspired to mix his metaphors involving birds and snakes. General Motors sees the Chrysler bankruptcy "as the canary in the coalmine. Chrysler is shedding its heavy old skin, soon to emerge smaller and perhaps stronger." Fiat will produce "smaller, sporty models" while Chrysler will supply the minivans, trucks and Jeeps.
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