How Did General Motors Prevent The Foreclosure Crisis?

General Motors (G M), in full General Motors Company, formerly General Motors Corporation, American corporation that was the world’s largest motor-vehicle manufacturer for much of the 20th and early 21st centuries. It operates in manufacturing and assembly plants and distribution centers throughout the United States, Canada, and many other countries. The company’s major products include automobiles and trucks, automotive components, and engines, and it is also engaged in financial services. General Motors’s headquarters are in Detroit. Under the leadership of William C. Durant, the General Motors Company was founded in 1908 to consolidate several motorcar companies producing Buick, Oldsmobile, Cadillac, Oakland (later Pontiac), Ewing, Marquette, and other autos as

In December 2008 Pres. George W. Bush announced an emergency financial rescue plan to aid the “Big Three” automakers—Chrysler LLC, General Motors, and Ford—to prevent the collapse of the country’s struggling auto industry. The plan made immediately available $13.4 billion in government loans from the Troubled Assets Relief Program (TARP), a $700 billion fund approved by Congress to aid the financial industry following the subprime mortgage crisis. The loans would allow the auto companies to continue operating through March 2009, by which time the plan required them to demonstrate “financial viability” or return the money within 30 days. An additional stipulation required the companies to undergo restructuring. The money was initially made available to General Motors and Chrysler; Ford claimed to possess adequate funds to continue operations and thus did not apply for government relief. As its financial troubles mounted—the company claimed to be some $173 billion in debt—General Motors filed for Chapter 11 bankruptcy protection in June