General Motor, once was the America’s largest employer and the world’s biggest automaker, may head to filing bankruptcy within days - perhaps around Monday, June 1, a deadline imposed by the government for out-of-the-court settlement, as the bondholders refuse settlement of exchanging 90% of the 27 billion dollars bond debt for stocks which has the current market value of $1.15 per share. If that settlement is made, the bondholders will have to lose $676 per $1000 of bond debt the GM owes them.

Comparing cost making automobiles with its competitors General Motor is in a disadvantageous position.General Motor and Ford has tremendous cost of personnel retirement and medical insurance expense that Toyoto and Honda do not have. That make General Motor finally succumb and lose the game.