In an interview for Automotive News by Jamie Lareau, General Motors Chairman Kent Kresa said he believes the company can restructure successfully without a bankruptcy.

If, however, creditors refuse to forgive part of GM's debt, the split of the company into "good" and "bad" halves might allow for a swift organization, he said.

Describing the proposed division as "a great idea" and "a very good technique," Kresa added, "It has its problems, and all of our people are looking at it very hard.''

Proposed good assets would likely include Chevrolet and Cadillac at the heart of a smaller, more viable version of the present GM, with the marginal brands being shuttled into the "bad" version of the company.

"There are a lot of constituents right now that have some dibs on the assets," said Kresa. "The bankruptcy has to deal with each of those and make sure that whatever comes out is reasonable. This is not a done deal. We want to do something that would be done quickly. The question is, is that the quickest way to do it? And we're looking at that."

GM CEO Fritz Henderson in his remarks to the press echoes Kresa's sentiments adding that he is prepared to move forward with a bankruptcy if concessions from bondholders and the UAW do not materialize.