Bailout

GM Board: Bankruptcy Is an Option

General Motors Chairman and CEO Rick Wagoner told lawmakers last week that bankruptcy is not an option for the ailing automaker, but according to the Wall Street Journal, members of GM’s board of directors disagree. Though the board has strongly supported Wagoner in the past and agrees that government funding is the best way to rescue the company, it remains unwilling to dismiss the possibility of filing for bankruptcy. In early November Wagoner said, "We're convinced the consequences of a bankruptcy would be dire and extend far beyond General Motors and therefore we are going to take every action we possibly can to avoid it." GM shares closed at $3.06, up 18 cents from the previous day but down from about $42 a year ago.