GM Prepares for Bankruptcy Announcement

Updated from 2:37 p.m. EDT

Kimberly S. Johnson
AP Auto Writer

DETROIT -- GM(GM Quote) was making final preparations Sunday for its bankruptcy protection announcement after bondholders accepted a sweetened deal, smoothing the way for the company's reorganization.

A statement Sunday from a group of large, institutional bondholders said 54% of GM bondholders agreed to exchange their unsecured bonds for a 10% stake in a newly restructured company, plus warrants to purchase a greater share later. Their acceptance is seen as critical in moving the company through bankruptcy quickly. ...