General Motors tries to hammer creditors

Rumors have swirled for the better part of a week that General Motors (GM) would try to strong-arm its creditors to go along with the company's restructuring before the auto maker is forced into a government-assisted bankruptcy.

The next program that will have a turn at bat is one in which GM will tell its unsecured bond holders that they can trade all of their debt for equity or be damned. The creditors will have to gamble that they will do better in bankruptcy court.