I look at company bankruptcies much the same as personal bankruptcy.
If you can't pay your creditors then you're going to declare bankruptcy.
It's nice to know that even the world's largest corporations have considered bankruptcy. They've been inexperienced enough to mishandle their finances.

I'm hoping they will look long and hard at the way they use credit in the future.

Anyway... in this article, chrysler admits that they have looked at bankruptcy and have hired a firm to assess how much it would cost them to declare bankruptcy.

In some strange way, it makes me feel better to know that the worlds smartest financial minds are declaring bankruptcy.

Maybe credit is something that we all need to learn about.

GM, Chrysler Bankruptcy Financing Would Be Double Bailout Loans
http://www.bloomberg.com/apps/news?pid=20601087&sid=aX3PTMWCvBMw&refer=home

Dec. 6 (Bloomberg) -- Financing a bankruptcy by General Motors Corp. or Chrysler LLC would cost at least twice as much as the automakers say they need in U.S. government bailout loans, Chrysler and a restructuring expert said.

Chrysler, which said yesterday it hired the Jones Day law firm to review bankruptcy as an option it later rejected, would need $20 billion for bankruptcy financing -- triple its $7 billion loan request -- according to a company report to Congress. A GM bankruptcy would cost $40 billion to $50 billion to finance, Edward Altman, a professor at New York University’s Stern School, told Congress yesterday. GM seeks $18 billion in bailout loans.

“Unfortunately, this traditional loan, even for $18 billion, is inadequate and is destined to fail in the current environment and will likely be followed by additional requests for more rescue funds or a bankruptcy petition,” said Altman. He urged the government to push banks that received other bailout aid to provide needed bankruptcy loans for carmakers.