Washington: US President Barack Obama said on Monday he was confident General Motors Corp would emerge quickly from bankruptcy, saying the government is in a reluctant position as a controlling shareholder.
Obama, in remarks at the White House just hours after GM sought bankruptcy protection in New York, said the automaker -- not his administration -- would make decisions on plants, new products and day-to-day operations.
Obama said painful concessions by labor and creditors achieved a viable and achievable plan for GM to complete its restructuring and give it a chance to succeed.
''I am absolutely confident that if well managed, a new GM will emerge that can ... out-compete automakers around the world and that can once again be an integral part of America's economic future,'' Obama said.
The administration, which will hold a 60 per cent stake in GM once it emerges from bankruptcy in return for $50 billion in assistance, expects court restructuring to take between 60 and 90 days.
Obama said government intervention in GM and Chrysler, which he said was expected to emerge from Chapter 11 within days, was necessary to prevent industry collapse and serious harm to the US economy.
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