GM’s secured lenders are likely to be paid off in full. This is different than their counterparts at Chrysler where senior creditors were required to accept less than the full face value of their loans. GM’s reorganization plan will provide approximately $6 billion to pay off secured creditors. Subordinated lenders, however, typically GM’s bond holders, will likely recover only 12.5 cents on the dollar. While this may seem unfair the logic behind it is that the senior secured creditors were willing to accept a lower return in exchange for having a priority position in the event of the firm filing for Chapter 11 protection. Bondholders, and other subordinated lenders, had agreed to accept a higher return but along with that took the risk that they could sustain significant losses in the event that General Motors had to file for bankruptcy protection.