Members of President Obama's automotive task force are said to have been in discussion with GM officials and its advisers in Detroit and Washington last week and are expected to continue this week.
The automaker's strategy for a quick trip through bankruptcy court is likely to spark legal challenges from bondholders worried about getting steamrolled.
Key members of an ad hoc committee representing GM bondholders have begun preparing arguments against the auto maker's bankruptcy plan, according to people familiar with the strategy.
GM's leading bankruptcy plan would break the company into two parts: a good GM made up of strong assets, such as Chevrolet and the auto maker's Chinese operations; and a bad GM of underperforming assets and billions of dollars in obligations that essentially would be wound down in bankruptcy court.
Proceeds from the government's eventual sale of equity in the good company in part would go toward paying parties that have leverage over the auto maker. Those include the United Auto Workers union, which is owed tens of billions in health-care payments; and unsecured bondholders, who hold $29 billion in GM debt.
more:
Source: http://www.foxnews.com/story/0,2933,514823,00.html# 
