Bankruptcy Judge Robert Gerber could soon rule on whether the 2009 government-led restructuring of General Motors Co. improperly favored hedge funds, and an adverse ruling could cost the automaker nearly $1 billion, Reuters reported yesterday. Judge Gerber must decide whether a "lock-up agreement" in the restructuring sent $367 million to a group of hedge fund noteholders at the expense of other creditors. A trust representing unsecured creditors has sued to undo the lock-up agreement, arguing that it was a last-minute deal secretly folded into GM's bankruptcy to ensure the hedge funds' support. Read more: http://www.reuters.com/article/2013/01/03/gm-bankruptcy-lawsuit-idUSL1E…
In related news, General Motors U.S. sales rose 8.9 percent last month on a daily rate basis, giving the automaker its best December in five years, WardAuto.com reported yesterday. However, market share fell to an estimated 17.9 percent, its smallest portion of annual new-vehicle deliveries in the post-World War II era. GM delivered 245,733 cars and trucks in December, compared with 234,351 year-ago (26 selling days vs. 27 in December 2011). It closed the year with 2.6 million sales in its home market, 3.7 percent ahead of 2011 but trailing an industry up by double digits and reporting its biggest year-over-year gain since the eve of the Great Recession. Read more: http://m.wardsauto.com/sales-amp-marketing/gm-s-us-december-sales-rise-…