re: #105 Killgore Trout

Maybe not but it’s my understanding that the government does have some say in the way these bankruptcies go. I would be surprised if the Chrysler debt holders get completely screwed for their refusal to play ball. The GM debt holders might think twice about pushing for a hard bargain. They might wind up with nothing at all.

It depends on the bankruptcy court judge. If the judge gets intimidated by the government, it could be a tough go for the bondholders. If the judge holds to established law though, the bond holders should end up much better off than if they had taken the government deal.

If I’m a GM bond holder, I stop even trying to negotiate with the government right now and just go to bankruptcy court on Monday and get it over with.

This also bring so much risk into doing any kind of deal with the government going forward, that you can forget about any cooperation form the private sector going forward.