Delphi, task force working toward deal

By Associated Press | May 22, 2009 at 12:00a.m.

NEW YORK (AP) — Talks between Delphi Corp. and members of President Barack Obama’s automotive task force continue in hopes of reaching a deal on a plan to lift the auto supplier out of bankruptcy protection before a crucial deadline passes.

Delphi Attorney Jack Butler said Thursday that the talks, which also include Delphi’s creditors and its former parent, General Motors Corp., will continue through the Memorial Day weekend. In addition, separate mediation sessions between the parties are taking place in front of U.S. Judge Cecila Morris.

Also at Thursday’s hearing, the judge gave final approval to the sale of Delphi’s brakes and ride dynamics business to China’s BeijingWest Industries Co. for a total of $90 million, of which Delphi’s units operating under bankruptcy protection will receive $30 million. The sale is expected to close by the end of the year.