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Bienenstock to Make GM Into “Futuristic” Automaker

Yesterday we reported that General Motors had hired Dewey LeBoeuf’s Martin Bienenstock, who worked on the Enron bankruptcy and was previously a GM lawyer.

Today the ABA Journal reports that Bienenstock is “devising a speedy plan to remake the automaker into a 21st century success.”

The Senate failed to reach an agreement on a $14 billion bailout plan last night, after Republicans insisted that union autoworkers should bear the brunt of any financial pain.

Bienenstock hopes to help GM use the bankruptcy process to create a “futuristic” automaker for the 21st century. His plan is to create a new company to oversee GM’s best auto lines, with the proceeds going to the auto unions to win their support.

Redundant brands, surplus dealers and legacy costs would be hived off in bankruptcy court.

Most reorganizations can take two years or more, but Bienenstock has told GM his restructuring plan can be completed in 30 to 90 days.

Bienenstock did not elaborate what a “futuristic” automaker would be, but hopefully it involves these.

Erik Even: