Delphi Corporation to File for Bankruptcy

I could see this one coming for a long time. How about you?

Has your community been feeding Delphi incentives like logs on a hot fire for the past decade. I would not be surprised to hear that. Don't let them off the hook! Same advice on Ford Motor Company and the other automotives that have emptied the incentive candy store in many states.

Delphi Corp. is expected to file for bankruptcy in a New York court on Saturday, a source familiar with the situation said on Friday. The board of the Troy, Michigan-based company is set to meet on Saturday morning to make the final decision on filing for bankruptcy.

According to a recent Reuters article, the auto parts maker is not cash-strapped but is filing to take advantage of current, more lenient, bankruptcy rules, which are set to change on October 17, making reorganizations more challenging. It is also filing to pressure its unions to come up with wage concessions.

More later.