Judge gives Delphi additional time to come up plan for exiting bankruptcy protection

Delphi gets more time to come up with plan

NEW YORK — A judge says Delphi can have more time to come up with a plan to exit from Chapter 11 bankruptcy protection.

U.S. Judge Robert Drain gave Troy, Mich.-based Delphi Corp. until May 21 to submit its plan to its lenders. After that, the lenders will have until June 2 to respond.

Delphi attorney Jack Butler says progress is being made in talks between the auto supplier, its lenders, former parent General Motors Corp. and the Obama administration’s auto task force, but wouldn’t reveal details.

Butler added that GM’s government-imposed restructuring deadline of June 1 was taken into account when negotiating the new dates.

If the Detroit-based automaker fails to meet the government’s requirements, it could be forced to file for Chapter 11.