executives and advisers are hoping to exit bankruptcy court with the formation of a new company as early as mid-July, a month earlier than originally planned, according to reports.
GM's emergence from Chapter 11, however, still faces hurdles, including potential challenges to its plan of reorganization, the
Wall Street Journal
reports, citing people familiar with the matter. A bankruptcy judge will hold a hearing June 30 on a proposed sale of the company's assets to a new entity.
"It really is remarkably quiet," one person familiar with the process said, the
reports. Another person said GM is drawing up plans to reveal its new board and possibly many senior management changes around the middle of July.
GM CEO Fritz Henderson said Wednesday court proceedings are progressing "according to plan." When asked if GM may exit early from bankruptcy, he said that was a possibility but that he would "not prognosticate," the
Henderson said on Tuesday the automaker is seeing stability in its sales, "albeit at anemic levels," and could see a 10% jump if Congress backs a "cash for clunkers" program.
While sales are low, it's "better to not be falling, and the levels we are seeing are generally consistent with the assumptions in our plan," Henderson said, responding to emailed questions from reporters.