Motors Liquidation Co. (f/k/a General Motors Corp.) Reports Financial Results
On Sunday, Motors Liquidation Company (formerly known as General Motors Corporation) filed a monthly operating report with the bankruptcy court in New York. The report covers the period from July 10, 2009 through August 31, 2009 and provides financial details on the wind-down of GM's bankruptcy estates. Among the most interesting details contained in the report:
- The estates (which generated income of less than $4 million during the period from rental payments) lost $62.8 million. The largest expenses were SG&A ($41.8 million), reorganization items ($16.3 million) and interest ($8.6 million).
- The estates ended August with slightly more than $1.5 billion in assets, the majority of which ($1.14 billion) is in cash and cash equivalents. However, the estates have current liabilities of $1.3 billion, including $1.175 billion owing under their debtor-in-possession financing facility (a wind-down facility provided by the U.S. Treasury and Export Development of Canada). The estates' total liabilities are listed as being in excess of $35 billion.
- According to the notes to the financial statements, Motors Liquidation expects that it will have enough cash to pay administrative claims in full but will not have sufficient cash to pay off the wind-down DIP facility claims. As a result, creditors other than the DIP lenders are unlikely to receive any recovery on account of their claims other than equity in the new GM.
netDockets has made a complimentary copy of the monthly operating report available on JDSupra.
About netDockets:
With over 1.4 million documents filed in over 700 of the largest corporate chapter 11 bankruptcy cases, all professionally-coded to be quickly and easily searchable, netDockets allows you to find not just more precedent, but the best, most relevant precedent.
Learn more and sign up for a free trial account by visiting http://www.netdockets.com/. In addition, please contact us directly to learn more about special free trial and payment options for mid-size and large law firms. Contact information can be found on our JDSupra profile page and at http://www.netdockets.com/.
- The estates (which generated income of less than $4 million during the period from rental payments) lost $62.8 million. The largest expenses were SG&A ($41.8 million), reorganization items ($16.3 million) and interest ($8.6 million).
- The estates ended August with slightly more than $1.5 billion in assets, the majority of which ($1.14 billion) is in cash and cash equivalents. However, the estates have current liabilities of $1.3 billion, including $1.175 billion owing under their debtor-in-possession financing facility (a wind-down facility provided by the U.S. Treasury and Export Development of Canada). The estates' total liabilities are listed as being in excess of $35 billion.
- According to the notes to the financial statements, Motors Liquidation expects that it will have enough cash to pay administrative claims in full but will not have sufficient cash to pay off the wind-down DIP facility claims. As a result, creditors other than the DIP lenders are unlikely to receive any recovery on account of their claims other than equity in the new GM.
netDockets has made a complimentary copy of the monthly operating report available on JDSupra.
About netDockets:
With over 1.4 million documents filed in over 700 of the largest corporate chapter 11 bankruptcy cases, all professionally-coded to be quickly and easily searchable, netDockets allows you to find not just more precedent, but the best, most relevant precedent.
Learn more and sign up for a free trial account by visiting http://www.netdockets.com/. In addition, please contact us directly to learn more about special free trial and payment options for mid-size and large law firms. Contact information can be found on our JDSupra profile page and at http://www.netdockets.com/.
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