General Motors said on Wednesday it was “working aggressively” to launch a debt-for-equity exchange ahead of a government-imposed June 1 deadline and that it might miss a $1bn debt payment due then. The development comes as the government’s autos task force – which has been focused on Chrysler’s end-April deadline to restructure – prepares to meet GM’s bondholders after a hiatus of more than six weeks. A debt exchange at GM would enable bondholders to swap their $27.5bn in unsecured debt for equity in the carmaker.

This entry was posted by Gwen Robinson on Thursday, April 23rd, 2009 at 4:40 and is filed under Capital markets. Tagged with gm. Edit this entry.