Bankruptcy 'more probable' than not at GM: chief

0 Comments | AFP, May, 2009

CHICAGO (AFP) — General Motors' chief executive said Monday that a bankruptcy filing appears increasingly likely as the auto giant struggles to radically restructure.

"Given the objectives that we've set for ourselves it's more probable that we need to accomplish our goals in a bankruptcy," chief executive officer Fritz Henderson said in a conference call with reporters.

"But there's the still an opportunity and still a chance for it to be done outside the court process."

GM, which is keeping its operations afloat with more than 15 billion dollars in US government loans, faces a June 1 deadline to slash costs, shed brands, and reach a deal with its union and bondholders to reduce its massive debt load.

Henderson said GM does not plan to modify its...