Document and Entity Information
Document and Entity Information | 12 Months Ended |
Mar. 31, 2016USD ($)shares | |
Document And Entity Information [Abstract] | |
Document Type | 10-K |
Amendment Flag | false |
Document Period End Date | Mar. 31, 2016 |
Document Fiscal Year Focus | 2,016 |
Document Fiscal Period Focus | FY |
Trading Symbol | MTLQQ |
Entity Registrant Name | Motors Liquidation Co |
Entity Central Index Key | 40,730 |
Current Fiscal Year End Date | --03-31 |
Entity Well-known Seasoned Issuer | No |
Entity Current Reporting Status | No |
Entity Voluntary Filers | Yes |
Entity Filer Category | Non-accelerated Filer |
Entity Common Stock, Shares Outstanding | shares | 0 |
Entity Public Float | $ | $ 0 |
Statements of Net Assets in Liq
Statements of Net Assets in Liquidation (Liquidation Basis) - USD ($) $ in Thousands | Mar. 31, 2016 | Mar. 31, 2015 |
LIABILITIES | ||
Reserves for Expected Costs of Liquidation (Note 8) | $ 24,611 | $ 31,278 |
Liquidation Basis of Accounting [Member] | ||
ASSETS | ||
Cash and Cash Equivalents (Note 4) | 4,410 | 37,483 |
Marketable Securities (Notes 4 and 7) | 661,123 | 30,944 |
Accrued Dividends on Holdings of New GM Common Stock (Note 4) | 26,524 | |
Holdings of New GM Securities (Note 6) | 917,977 | |
Other Assets and Deposits | 1,654 | 1,038 |
TOTAL ASSETS | 667,187 | 1,013,966 |
LIABILITIES | ||
Accounts Payable and Other Liabilities | 5,845 | 4,832 |
Liquidating Distributions Payable (Note 5) | 6,213 | 7,714 |
Reserves for Residual Wind-Down Claims (Note 8) | 18,745 | 25,406 |
TOTAL LIABILITIES | 55,414 | 69,230 |
NET ASSETS IN LIQUIDATION (Note 4) | $ 611,773 | $ 944,736 |
Statements of Changes in Net As
Statements of Changes in Net Assets in Liquidation (Liquidation Basis) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2014 | |
Increase (decrease) in net assets in liquidation: | |||
Net (additions to) reductions in reserves for Expected Costs of Liquidation (Note 8) | $ (7,711) | $ (9,375) | $ 7,910 |
Net change in fair value of holdings of New GM Securities | (175,229) | 56,241 | 702,654 |
Liquidation Basis of Accounting [Member] | |||
Net Assets in Liquidation, beginning of year | 944,736 | 1,064,494 | 1,390,181 |
Increase (decrease) in net assets in liquidation: | |||
Liquidating distributions (Note 5) | (128,747) | (209,929) | (1,205,764) |
Dividends and interest income (net reversal) (Note 3) | (21,319) | 43,305 | 4,668 |
Other income | 43 | ||
Income tax benefit (Note 9) | 164,845 | ||
Net decrease in net assets in liquidation | (332,963) | (119,758) | (325,687) |
Net Assets in Liquidation, end of year | $ 611,773 | $ 944,736 | $ 1,064,494 |
Statements of Cash Flows (Liqui
Statements of Cash Flows (Liquidation Basis) - Liquidation Basis of Accounting [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2014 | |
Cash flows from (used in) operating activities | |||
Cash receipts from dividends and interest | $ 4,722 | $ 16,113 | $ 4,658 |
Cash paid for professional fees, governance costs and other administrative costs | (13,231) | (12,778) | (20,948) |
Cash paid for Residual Wind-Down Claims | (6,202) | (2,618) | (1,678) |
Cash receipts for refunds, including amounts due others | 158 | 379 | |
Cash paid for distributions | (130,045) | (3,564) | (663) |
Net cash flows used in operating activities | (144,598) | (2,468) | (18,631) |
Cash flows from (used in) investing activities | |||
Cash used to purchase marketable securities | (1,984,516) | (83,754) | (118,162) |
Cash from maturities and sales of marketable securities | 1,354,339 | 97,194 | 150,576 |
Net cash flows (used in) from investing activities | (630,177) | 13,440 | 32,414 |
Cash flows from financing activities | |||
Cash from sale and liquidation of New GM Securities | 741,702 | 11,579 | 139 |
Net cash flows from financing activities | 741,702 | 11,579 | 139 |
Net (decrease) increase in cash and cash equivalents | (33,073) | 22,551 | 13,922 |
Cash and cash equivalents, beginning of year | 37,483 | 14,932 | 1,010 |
Cash and cash equivalents, end of year | $ 4,410 | $ 37,483 | $ 14,932 |
Purpose of Trust
Purpose of Trust | 12 Months Ended |
Mar. 31, 2016 | |
Accounting Policies [Abstract] | |
Purpose of Trust | 1. Purpose of Trust The Motors Liquidation Company GUC Trust (“GUC Trust”) is a successor to Motors Liquidation Company (formerly known as General Motors Corp.) (“MLC”) within the meaning of Section 1145 of the United States Bankruptcy Code (“Bankruptcy Code”). The GUC Trust holds, administers and directs the distribution of certain assets pursuant to the terms and conditions of the Second Amended and Restated Motors Liquidation Company GUC Trust Agreement (the “GUC Trust Agreement”), dated as of July 30, 2015 , and pursuant to the Second Amended Joint Chapter 11 Plan (the “Plan”), dated March 18, 2011, of MLC and its debtor affiliates (collectively, along with MLC, the “Debtors”), for the benefit of holders of allowed general unsecured claims against the Debtors (“Allowed General Unsecured Claims”). The GUC Trust was formed on March 30, 2011, as a statutory trust under the Delaware Statutory Trust Act, for the purposes of implementing the Plan and distributing the GUC Trust’s distributable assets. Prior to the liquidation in July and August 2015 of all New GM Securities (as defined below) then held by the GUC Trust (pursuant to the Liquidation Order (as defined below)), the Plan generally provided for the distribution of certain shares of common stock (“New GM Common Stock”) of the new General Motors Company (together with its consolidated subsidiaries, “New GM”) and any associated Dividend Cash (as defined below) and certain warrants for the purchase of shares of such stock (the “New GM Warrants,” and, together with the New GM Common Stock, the “New GM Securities”) to holders of Allowed General Unsecured Claims pro rata by the amount of such claims. Since such liquidation of the New GM Securities, distributions to holders of Allowed General Unsecured Claims consist entirely of cash distributions in lieu of New GM Securities. In addition, prior to the qualification by the Liquidation Order and the resulting subsequent liquidation of New GM Securities, the Plan provided that each holder of an Allowed General Unsecured Claim would obtain, in the form of GUC Trust Units (as defined below), a contingent right to receive, on a pro rata basis, additional shares of New GM Common Stock and New GM Warrants (if and to the extent such New GM Common Stock and New GM Warrants were not required for the satisfaction of previously Disputed General Unsecured Claims (as defined below), Term Loan Avoidance Action Claims (as defined below) or liquidation for the payment of the expenses of the GUC Trust) and cash, if any, remaining at the dissolution of the GUC Trust. Since the aforementioned liquidation of all New GM Securities previously held by the GUC Trust, the holders of GUC Trust Units have a contingent right to receive additional cash, in lieu of New GM Securities. By order dated July 2, 2015 (the “Liquidation Order”), the Bankruptcy Court approved the conversion of the GUC Trust’s holdings of New GM Securities into cash. To effect such conversion, on July 7, 2015, the GUC Trust converted all of its holdings of New GM Warrants into New GM Common Stock in a cashless exercise. In total, the GUC Trust converted (i) 10,352,556 New GM Series A Warrants (defined below) into 7,407,155 shares of New GM Common Stock, and (ii) 10,352,556 New GM Series B Warrants (defined below) into 4,953,635 shares of New GM Common Stock. Thereafter, the GUC Trust sold all of its holdings of New GM Common Stock for net proceeds aggregating $741.7 million, having completed all such sales on August 5, 2015. As a result, all distributions by the GUC Trust thereafter in respect of any Allowed General Unsecured Claims (including in respect of the GUC Trust Units) will be made solely in cash. Pursuant to the Liquidation Order, the proceeds of such liquidations (net of applicable costs, fees, and expenses paid in respect thereof) were allocated to the beneficiaries of the GUC Trust on a pro rata basis in the following manner: (a) A GUC Trust beneficiary’s entitlement to a particular number of New GM Warrants that were exercised was converted into an entitlement to receive the number of shares of New GM Common Stock into which such New GM Warrants were exercised. Such conversions were 0.71549 shares of New GM Common Stock for each New GM Series A Warrant and 0.47849 shares of Common Stock for each New GM Series B Warrant; and (b) A GUC Trust beneficiary’s entitlement to a particular number of shares of New GM Common Stock that were liquidated (including the exercised New GM Warrants as set forth above), was converted into an entitlement to receive an amount of cash equal to the weighted average sales price (net of any applicable costs, fees, and expenses paid in respect thereof) of all of the New GM Common Stock sold, multiplied by the number of shares of New GM Common Stock to which such GUC Trust beneficiary would otherwise be entitled (including exercised New GM Warrants as set forth above). Such weighted average sales price for the GUC Trust’s holdings of New GM Common Stock that were sold subsequent to June 30, 2015 was $31.23 per share. Following the liquidation described above, the GUC Trust has invested most of the proceeds in certain marketable securities as permitted under the GUC Trust Agreement. The amount of cash and cash equivalents and marketable securities held for distribution to GUC Trust beneficiaries, including Dividend Cash, is referred to herein as Distributable Cash. The GUC Trust is administered by Wilmington Trust Company, not in its individual capacity but solely in its capacity as the trust administrator and trustee (the “GUC Trust Administrator”). Among other rights and duties, subject to the terms, conditions and limitations set forth in the GUC Trust Agreement, the GUC Trust Administrator has the power and authority to hold, manage, sell, invest and distribute the assets comprising the GUC Trust corpus, consult with and retain professionals for the administration of the GUC Trust, prosecute and resolve objections to Disputed General Unsecured Claims, take all necessary actions to administer the wind-down of the affairs of the Debtors upon their dissolution, and upon such dissolution, resolve and satisfy, to the extent allowed, the Residual Wind-Down Claims (as defined below). The activities of the GUC Trust Administrator are overseen by FTI Consulting, Inc., solely in its capacity as monitor (the “GUC Trust Monitor”). |
Plan of Liquidation
Plan of Liquidation | 12 Months Ended |
Mar. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Plan of Liquidation | 2. Plan of Liquidation On March 31, 2011, the date the Plan became effective (the “Effective Date”), there were approximately $29,771 million in Allowed General Unsecured Claims. In addition, as of the Effective Date, there were approximately $8,154 million in disputed general unsecured claims (“Disputed General Unsecured Claims”), which reflects liquidated disputed claims and a Bankruptcy Court ordered distribution reserve for unliquidated disputed claims, but does not reflect potential Term Loan Avoidance Action Claims. The total aggregate amount of general unsecured claims, both allowed and disputed, asserted against the Debtors, inclusive of the potential Term Loan Avoidance Action Claims, was approximately $39,425 million as of the Effective Date. Pursuant to the GUC Trust Agreement, holders of Disputed General Unsecured Claims become entitled to receive a distribution of Distributable Cash from the GUC Trust if, and to the extent that, such Disputed General Unsecured Claims become Allowed General Unsecured Claims. Under the GUC Trust Agreement, the GUC Trust Administrator has the authority to file objections to such Disputed General Unsecured Claims and such claims may be prosecuted through alternative dispute resolution proceedings, including mediation and arbitration (“ADR Proceedings”), if appropriate. As of March 31, 2016, there was one remaining Disputed General Unsecured Claim of approximately $20.0 million, which was subject to pending objections filed by the GUC Trust. In addition, as of March 31, 2016, the GUC Trust held as reserves for Disputed General Unsecured Claims approximately $50.0 million in claim amount that is not associated with any particular claim but which has been set aside by the GUC Trust Administrator as a general claim contingency. See Note 4 under the heading “—Allowed and Disputed Claims” below. To the extent that all or a portion of a Disputed General Unsecured Claim is deemed invalid—or “disallowed”—by order of the Bankruptcy Court, by order of the tribunal presiding over the ADR Proceeding (if applicable), or by settlement with the GUC Trust, such portion of the Disputed General Unsecured Claim that is disallowed is not entitled to a distribution from the GUC Trust (subject to any appeal rights of the claimant). However, to the extent that a Disputed General Unsecured Claim is fully resolved, and such resolution results in all or a portion of the original Disputed General Unsecured Claim being deemed valid—or “allowed”—by order of the Bankruptcy Court, by order of the tribunal presiding over the ADR Proceeding (if applicable), or by settlement with the GUC Trust, such portion of the Disputed General Unsecured Claim that is allowed will be (subject to any appeal rights of the GUC Trust) considered an Allowed General Unsecured Claim on the Effective Date (such claims, “Resolved Disputed Claims”). Only one avoidance action, captioned Official Committee of Unsecured Creditors of Motors Liquidation Co. v. JPMorgan Chase Bank, N.A. et al., Adv. Pro. No. 09-00504 (Bankr. S.D.N.Y. July 31, 2009) (the “Term Loan Avoidance Action”), was commenced prior to the statutory deadline for commencing such actions. The Term Loan Avoidance Action was commenced by the Official Committee of Unsecured Creditors of Motors Liquidation Company (the “Committee”), and, among other things, seeks the return of approximately $1.5 billion that had been transferred by the Debtors (with funds advanced after the commencement of the Debtors’ chapter 11 cases by the United States Treasury and Export Development Canada (together, the “DIP Lenders”)) to a consortium of prepetition lenders pursuant to the terms of the order of the Bankruptcy Court. On December 15, 2011, in accordance with the Plan, upon the dissolution of MLC, the Term Loan Avoidance Action was transferred to the Avoidance Action Trust (as defined below). Pursuant to the GUC Trust Agreement, to the extent that Wilmington Trust Company, not in its individual capacity but solely in its capacity as the trustee and trust administrator of the Avoidance Action Trust (the “Avoidance Action Trust Administrator”), is successful in obtaining a recovery by way of judgment or settlement from the defendant(s) to the Term Loan Avoidance Action, such defendant(s) shall receive an Allowed General Unsecured Claim against the GUC Trust in the amount so disgorged to the Avoidance Action Trust (such general unsecured claims “Term Loan Avoidance Action Claims,” and together with Resolved Disputed Claims, the “Resolved Allowed Claims”). It is still unclear whether any amounts actually transferred to the Avoidance Action Trust pursuant to the Term Loan Avoidance Action would be for the benefit of holders of Allowed General Unsecured Claims. The Committee has taken the position that, except for the reimbursement of certain costs and expenses of the Avoidance Action Trust, (a) the DIP Lenders are not entitled to any proceeds of the Term Loan Avoidance Action and have no interests in the trust established for the action under the Plan (the “Avoidance Action Trust”) and (b) the holders of Allowed General Unsecured Claims have the exclusive right to receive any and all proceeds of the Term Loan Avoidance Action, and are the exclusive beneficiaries of the Avoidance Action Trust with respect thereto. As described in Item 3, “Legal Proceedings,” litigation with respect to these issues is ongoing, and the rights to any recoveries on the Term Loan Avoidance Action are still disputed. Pursuant to the Plan, however, no funds reclaimed from the pre-petition lenders will be transferred to or otherwise benefit the GUC Trust or be distributed to holders of GUC Trust Units. GUC Trust Distributable Assets Pursuant to the terms of the Plan, the Bankruptcy Court authorized the distribution of 150 million shares of New GM Common Stock, warrants to acquire 136,363,635 newly issued shares of New GM Stock with an exercise price set at $10.00 per share, expiring July 10, 2016 (“New GM Series A Warrants”), and warrants to acquire 136,363,635 newly issued shares of New GM Stock with an exercise price set at $18.33 per share, expiring July 10, 2019 (“New GM Series B Warrants”). Record ownership of the New GM Securities was held by MLC for the benefit of the GUC Trust until the dissolution of MLC on December 15, 2011, at which time record ownership was transferred to the GUC Trust. As described above, pursuant to the Liquidation Order, during July and August 2015, all of the GUC Trust’s holdings of New GM Securities were liquidated and, following such liquidation, the GUC Trust’s Distributable Assets principally consist of Distributable Cash. Such Distributable Cash is substantially all invested in certain marketable securities as permitted under the GUC Trust Agreement. Prior to the liquidation of all its holdings of New GM Common Stock, the GUC Trust received dividends on such New GM Common Stock aggregating $24.7 million. Such dividends are required to be applied to the same purpose as the New GM Common Stock to which such dividends relate. If the portion of Distributable Cash applicable to the proceeds from the liquidation of New GM Common Stock is distributed to holders of subsequently allowed Disputed General Unsecured Claims and GUC Trust Units, then the dividends relating to such Distributable Cash will also be distributed to such holders. If, however, Distributable Cash is appropriated in accordance with the GUC Trust Agreement to fund the costs and liabilities of the GUC Trust, then, in that case, the dividends relating to such Distributable Cash will be applied to such costs and liabilities of the GUC Trust and (just like the appropriated Distributable Cash) will be maintained as Other Administrative Cash (as defined below). Because such dividends are applied to the same purposes as the associated Distributable Cash, any references in this Form 10-K to Distributable Cash should be understood to include the dividends relating to such Distributable Cash, unless expressly indicated otherwise. The amount of cash and cash equivalents and marketable securities held by the GUC Trust that relates to dividends received by the GUC Trust on New GM Common Stock previously held by the GUC Trust is referred to as Dividend Cash and is included in the amount of cash and cash equivalents and marketable securities held for distribution to GUC Trust beneficiaries that is referred to herein as Distributable Cash (except to the extent of dividends relating to appropriated Distributable Cash that is classified as Other Administrative Cash following such appropriation). Funding for GUC Trust Costs of Liquidation The GUC Trust has incurred and will continue to incur certain costs to liquidate the trust assets and implement the Plan. On or about the Effective Date, pursuant to the Plan, MLC contributed approximately $52.7 million to the GUC Trust to be held and maintained by the GUC Trust Administrator (the “Administrative Fund”) for the purpose of paying certain fees and expenses (including certain tax obligations) incurred by the GUC Trust (including fees of the GUC Trust Administrator and the GUC Trust Monitor and the fees and expenses for professionals retained by the GUC Trust), other than the Reporting Costs, as defined below (“Wind-Down Costs”). As of March 31, 2016, the remaining Administrative Fund aggregated $8.2 million (consisting of cash and cash equivalents and marketable securities). Such remaining amount of the Administrative Fund has been designated for the satisfaction of certain specifically identified costs and liabilities of the GUC Trust (a substantial majority of which will likely not be incurred and, therefore, will likely be returned to the DIP Lenders), and such amount may not be used for the payment of Trust Professionals fees and expenses or other Wind-Down Costs. Cash or investments from the Administrative Fund, if any, which remain at the winding up and conclusion of the GUC Trust must be returned to the DIP Lenders. The GUC Trust Agreement authorized the GUC Trust to liquidate approximately $5.7 million of New GM Securities (the “Initial Reporting Cash”) shortly after the Effective Date for the purposes of funding certain fees and expenses of the GUC Trust (the “Reporting Costs”), including those directly or indirectly relating to (i) reports to be prepared and filed by the GUC Trust pursuant to applicable rules, regulations and interpretations of the Securities and Exchange Commission, (ii) the transfer, registration for transfer and certification of GUC Trust Units, and (iii) the application by the Committee (as defined below) to the Internal Revenue Service for a private letter ruling regarding the tax treatment of the GUC Trust and the holders of Allowed General Unsecured Claims in respect to the distribution of New GM Securities, and (iv) certain legal proceedings relating to the Term Loan Avoidance Action. The GUC Trust Agreement provides that the Administrative Fund may not be utilized to satisfy any Reporting Costs. The GUC Trust Agreement provides that, if the GUC Trust Administrator determines that the Administrative Fund is not sufficient to satisfy the current or projected Wind-Down Costs or the Initial Reporting Cash is not sufficient to satisfy the current or projected Reporting Costs, the GUC Trust Administrator, with the approval of the GUC Trust Monitor, is authorized to set aside Distributable Cash from distribution for these purposes. The GUC Trust Administrator may then appropriate such Distributable Cash to fund the Wind-Down Costs and/or Reporting Costs with the required approval of the Bankruptcy Court. Distributable Cash that is set aside and/or appropriated in this manner will not be available for distribution to the beneficiaries of GUC Trust Units, and any appropriation of Distributable Cash (including related Dividend Cash) will be classified as “Other Administrative Cash” under the GUC Trust Agreement. The setting aside or appropriation of Distributable Cash, including Dividend Cash, itself is not, and has not been, reflected in the Statement of Net Assets in Liquidation or any of the other financial statements of the GUC Trust. Separate from this process of setting aside or appropriating Distributable Cash to satisfy unfunded projected costs and expenses of the GUC Trust, as a matter of financial reporting, the GUC Trust records a reserve in its Statement of Net Assets in Liquidation (the source of funding of which is not addressed therein) for all expected costs of liquidation for which there is a reasonable basis for estimation. For this reason, among others, there is not a direct relationship between the amount of such reserve reflected in the Statement of Net Assets in Liquidation and the amount of any Distributable Cash that is set aside or appropriated for current or projected costs and expenses of the GUC Trust. Adjustments to the Reserve for Expected Costs of Liquidation as reported in the Statement of Net Assets in Liquidation are recorded only when there is a reasonable basis for estimation of the expected incurrence of additional costs or a reduction in expected costs. For more information regarding the Reserves for Expected Costs of Liquidation reflected in the Statement of Net Assets in Liquidation, see Note 8. Prior to the aforementioned liquidation of all New GM Securities in July and August 2015, the GUC Trust was authorized, with the approval of the GUC Trust Monitor, to set aside from distribution New GM Securities for the funding purposes described above and to sell such set aside New GM Securities with the approval of the Bankruptcy Court. The Bankruptcy Court previously approved in March and December 2012, and again in January 2015, the sale of New GM Securities to fund the then current and projected costs and expenses of the GUC Trust. The March 2012 Bankruptcy Court order also authorized the sale of further New GM Securities aggregating $13.7 million for the purpose of funding certain fees, costs and expenses of the Avoidance Action Trust and the transfer of the sale proceeds to the Avoidance Action Trust (such sale proceeds were so transferred in May 2012). Prior to the aforementioned liquidation of all New GM Securities, sales of New GM Securities to fund projected Reporting Costs and Wind-Down Costs through calendar year 2015 aggregated approximately $61.7 million, including Dividend Cash of $0.2 million and the Initial Reporting Cash (which amounts comprised part of the GUC Trust’s Other Administrative Cash). Such securities sold aggregated 1,043,801 shares of New GM Common Stock, 948,887 New GM Series A Warrants and 948,887 New GM Series B Warrants. In December 2015, the Bankruptcy Court approved the appropriation of Distributable Cash aggregating approximately $12 million to fund the projected costs and expenses of the GUC Trust for calendar year 2016. Such appropriation reduced Distributable Cash and increased Other Administrative Cash. As of March 31, 2016, Other Administrative Cash aggregated $13.5 million. To the extent that any of the Other Administrative Cash is not ultimately required and is held by the GUC Trust at the time of its dissolution, such remaining Other Administrative Cash will be distributed by the GUC Trust to holders of the GUC Trust Units. As of March 31, 2016, Distributable Cash of $47.1 million was set aside for projected GUC Trust fees, costs and expenses to be incurred beyond 2016, including $2.3 million set aside for potential income taxes on dividends received on holdings of New GM Common Stock and Investment Income as described below in “Funding for Potential Tax Liabilities on Dispositions of New GM Securities, Dividends on New GM Common Stock and Investment Income.” Accordingly, such Distributable Cash is not available for distribution to the beneficiaries of the GUC Trust Units. Set aside and/or appropriated Distributable Cash is reflected in cash and cash equivalents and marketable securities in the Statement of Net Assets in Liquidation until expended. Funding for Potential Tax Liabilities on Dispositions of New GM Securities, Dividends on New GM Common Stock and Investment Income The GUC Trust is subject to U.S. federal income tax on realized net gains from the distribution and sale of New GM Securities (such taxes, “Taxes on Distribution”). The GUC Trust is also subject to U.S. federal income tax on dividends received on New GM Common Stock held by the GUC Trust (such taxes, “Dividend Taxes”) and on investment income earned on Distributable Cash (such taxes, “Investment Income Taxes”). The GUC Trust Agreement provides that the Administrative Fund may not be utilized to satisfy any Taxes on Distribution, Dividend Taxes or Investment Income Taxes. As such, the GUC Trust Administrator is authorized, with the approval of the GUC Trust Monitor, to set aside from distribution Distributable Cash in amounts that would be sufficient to satisfy any potential Taxes on Distribution, Dividend Taxes or Investment Income Taxes. Distributable Cash that is set aside for Dividend Taxes and Investment Income Taxes is included in the set-aside for Wind-Down Costs described above in “Funding for GUC Trust Costs of Liquidation.” The GUC Trust Administrator may appropriate such set aside Distributable Cash to fund the Taxes on Distribution, Dividend Taxes or Investment Income Taxes with the approval of the GUC Trust Monitor and, with respect to Dividend Taxes and Investment Income Taxes only, with the approval of the Bankruptcy Court. Distributable Cash that is appropriated in this manner will not be available for distribution to the beneficiaries of GUC Trust Units, and the appropriation of Distributable Cash (including Dividend Cash) will be classified as “Other Administrative Cash” under the GUC Trust Agreement. Set aside and/or appropriated Distributable Cash is reflected in cash and cash equivalents and marketable securities until expended to pay Taxes on Distribution, Dividend Taxes or Investment Income Taxes. While the set-aside or appropriated Distributable Cash (including Dividend Cash) is not available for distribution, there is no corresponding liability or reserve related to such set-aside assets reflected in the Statement of Net Assets in Liquidation or any of the other financial statements of the GUC Trust. Prior to the liquidation of all New GM Securities in July and August 2015 described above, the GUC Trust was authorized, with the approval of the GUC Trust Monitor, to set aside from distribution New GM Securities to fund potential Taxes on Distribution, Dividend Taxes and Investment Income Taxes and to sell such set aside New GM Securities to fund the Taxes on Distribution, Dividend Taxes or Investment Income Taxes with the approval of the GUC Trust Monitor and, with respect to Dividend Taxes and Investment Income Taxes only, with the approval of the Bankruptcy Court. Such set aside New GM Securities were included in Holdings of New GM Securities in the Statement of Net Assets in Liquidation. During the quarter ended March 31, 2016, the GUC Trust Administrator reviewed the current and potential Taxes on Distribution. As a result of such review, the GUC Trust Administrator determined that Distributable Cash of $107.5 million should be set aside for potential Taxes on Distribution for realized gains that are still subject to examination by the Internal Revenue Service and that are based on the tax basis of the New GM Securities on December 15, 2011, the date of transfer of record ownership of the New GM Securities from MLC to the GUC Trust. The GUC Trust Administrator intends to continue to reevaluate the amount of Distributable Cash set aside on a quarterly basis. As previously disclosed, during the quarter ended September 30, 2013, the GUC Trust made a determination to file its U.S. federal income tax returns taking the position that beneficial ownership for a substantial majority of New GM Securities was transferred from MLC to the GUC Trust on March 31, 2011, and that the tax basis of such New GM Securities should be determined with reference to the value of such securities on such date, instead of December 15, 2011, when record ownership of the remaining New GM Securities still held by MLC was transferred from MLC to the GUC Trust. For the remaining substantial minority of New GM Securities transferred from MLC to the GUC Trust, the GUC Trust determined that the transfer of beneficial ownership occurred on other dates for which the tax basis should be determined by reference to the value of such securities on such dates. This new tax position resulted in an increased tax basis of the New GM Securities from the prior tax position and, therefore, reduced taxable gains and increased taxable losses on distributions and sales of New GM Securities since March 31, 2011. The new tax position has not been sustained on examination by the Internal Revenue Service as of the date hereof. However, the GUC Trust believes, based on the available evidence and consultation with GUC Trust professionals, that it is more likely than not that the new tax position will be sustained on examination by the Internal Revenue Service based on the technical merits of the position. Accordingly, this new tax position has been recognized in the current and deferred income tax liabilities and the income tax provision in the GUC Trust’s financial statements since the quarter ended September 30, 2013. Following the GUC Trust’s determination to utilize the new tax position set forth above, the GUC Trust filed its U.S. federal income tax returns for the years ended March 31, 2015, 2014 and 2013 with the Internal Revenue Service using such new tax position. Such tax returns were accompanied by requests for prompt determination of tax liability pursuant to Section 505(b) of the Bankruptcy Code and the statutory notification periods set forth in Section 505(b) of the Bankruptcy Code with respect to the GUC Trust’s U.S. federal income tax return for the year ended March 31, 2015 and prior years have expired. Accordingly, the tax liabilities set forth in the GUC Trust’s U.S. federal income tax returns for the years ended March 31, 2015 and prior years are no longer subject to examination by the Internal Revenue Service. However, remaining capital loss carryovers that were generated in those years, combined with net capital gains generated in the year ended March 31, 2016, from the new tax position, which aggregate $182.4 million, along with net operating loss carryovers generated through March 31, 2016 aggregating $101.5 million, could be subject to examination by the Internal Revenue Service in subsequent years when those losses are utilized. In contrast to the GUC Trust’s financial statements, as a conservative measure, the calculation of the “set aside” Distributable Cash for potential Taxes on Distribution utilizes the prior tax position rather than the new tax position to the extent that the GUC Trust’s liability for Taxes on Distribution has not been finally determined in accordance with Section 505(b) of the Bankruptcy Code or the new tax position has not been sustained on examination by the Internal Revenue Service. Accordingly, the potential tax liability for the GUC Trust’s U.S. federal income tax returns for the year ended March 31, 2016 and subsequent years is calculated, for purposes of the “set aside” of Distributable Cash for potential Taxes on Distribution, using the prior tax position rather than the new tax position. In addition, the “set aside” calculation does not recognize any reductions related to remaining net operating loss carryovers or capital loss carryovers for losses on distributions or sales of New GM Securities that are attributable to the March 31, 2015 tax year or prior tax years, until such carryovers are utilized and such utilization is finally determined in accordance with Section 505(b) of the Bankruptcy Code or the new tax position has been sustained on examination by the Internal Revenue Service. For additional information, see “Net Assets in Liquidation—Distributable Cash Set Aside from Distribution” in Item 7 (“Management’s Discussion and Analysis of Financial Condition and Results of Operations”) above. Residual Wind-Down Claims and Costs Upon the dissolution of the Debtors, which occurred on December 15, 2011, the GUC Trust became responsible for resolving and satisfying (to the extent allowed) all remaining disputed administrative expenses, priority tax claims, priority non-tax claims and secured claims (the “Residual Wind-Down Claims”). On December 15, 2011, under the Plan, the Debtors transferred to the GUC Trust an amount of assets necessary (the “Residual Wind-Down Assets”) to satisfy the ultimate allowed amount of such Residual Wind-Down Claims (including certain reasonable litigation defense costs related to the Term Loan Avoidance Action (the “Avoidance Action Defense Costs”)), as estimated by the Debtors, and the costs, fees and expenses relating to satisfying and resolving the Residual Wind-Down Claims (the “Residual Wind-Down Costs”). The Residual Wind-Down Assets initially aggregated approximately $42.8 million (which amount consisted of approximately $40.0 million in cash, including approximately $1.4 million designated for the payment of Avoidance Action Defense Costs, and the transferred benefit of approximately $2.8 million in prepaid expenses). Should the Residual Wind-Down Costs and the Residual Wind-Down Claims be less than the Residual Wind-Down Assets, any excess funds will be returned to the DIP Lenders. If, at any time, the GUC Trust Administrator determines that the Residual Wind-Down Assets are not adequate to satisfy the Residual Wind-Down Claims (including the actual amount of Avoidance Action Defense Costs) and Residual Wind-Down Costs, such costs will be satisfied by Other Administrative Cash. If there is no remaining Other Administrative Cash, the GUC Trust Administrator is authorized to, with GUC Trust Monitor approval, set aside and, with Bankruptcy Court approval, appropriate Distributable Cash to cover the shortfall. To the extent that Distributable Cash is set aside and/or appropriated to obtain funding to complete the wind-down of the Debtors, such Distributable Cash will not be available for distribution to the beneficiaries of the GUC Trust. Therefore, the amount of Residual Wind-Down Claims and Residual Wind-Down Costs could reduce the assets of the GUC Trust available for distribution. The setting aside or appropriation of Distributable Cash (including Dividend Cash) itself is not reflected in the Statement of Net Assets in Liquidation or any of the other financial statements of the GUC Trust. Rather, such set aside or appropriated Distributable Cash (including Dividend Cash) is reflected in cash and cash equivalents and marketable securities in the accompanying Statement of Net Assets in Liquidation until expended. After the GUC Trust has concluded its affairs, any funds remaining that were obtained from the sale of New GM Securities or appropriation of Distributable Cash to fund the wind-down process or the resolution and satisfaction of the Residual Wind-Down Claims will be distributed to the holders of the GUC Trust Units. The amount of Avoidance Action Defense Costs incurred to date exceeds the corresponding cash of $1.4 million received by the GUC Trust from MLC on the Dissolution Date by approximately $10.6 million. As a result, new Residual Wind-Down Claims have arisen in the amount of such excess. It is expected that additional Avoidance Action Defense Costs will be incurred for which additional Residual Wind-Down Claims will arise to be paid from the other remaining Residual Wind-Down Assets and, following the depletion of such assets, the Administrative Fund (to the extent of any excess amounts remaining in the Administrative Fund from the funds designated for the satisfaction of certain specifically identified costs and liabilities of the GUC Trust), Other Administrative Cash or the appropriation of Distributable Cash. As of March 31, 2016, Residual Wind-Down Assets aggregating $22.0 million were held by the GUC Trust and were recorded in cash and cash equivalents and marketable securities in the accompanying Statement of Net Assets in Liquidation as of March 31, 2016. By comparison, there were approximately $0.5 million in Residual Wind-Down Claims against such assets as of March 31, 2016, subject to increase for new Residual Wind-Down Claims that are expected to arise for Avoidance Action Defense Costs. In addition to the Residual Wind-Down Assets, the GUC Trust also received on the Dissolution Date approximately $3.4 million in cash from MLC, which amount included: (i) $1.4 million in respect of certain costs, fees and expenses payable under the Plan to the indenture trustees and fiscal and paying agents for the previously outstanding debt of MLC (the “Indenture Trustee / Fiscal and Paying Agent Costs”), and (ii) $2.0 million in respect of Reporting Costs. The funds received were credited to the reserve for expected costs of liquidation. Any unused portion of the funds designated for the Indenture Trustee / Fiscal and Paying Agent Costs must be returned to the DIP Lenders and will not be available for distribution to the holders of GUC Trust Units at the winding up and conclusion of the GUC Trust. As of March 31, 2016, funds designated for the Indenture Trustee / Fiscal and Paying Agents Costs held by the GUC Trust approximated $0.3 million and are recorded in cash and cash equivalents in the accompanying Statement of Net Assets in Liquidation. |
Basis of Presentation and Signi
Basis of Presentation and Significant Accounting Policies | 12 Months Ended |
Mar. 31, 2016 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Significant Accounting Policies | 3. Basis of Presentation and Significant Accounting Policies Liquidation Basis of Accounting The GUC Trust exists solely for the purposes described above in Note 1 and has a finite life. Accordingly, the GUC Trust has prepared the accompanying financial statements on the liquidation basis of accounting in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP). Under the liquidation basis of accounting as prescribed by the Financial Accounting Standards Board (FASB) Accounting Standards Codification, assets are stated at their estimated net realizable value, which is the non-discounted amount of cash into which an asset is expected to be converted during the liquidation period, while liabilities continue to be recognized at the amount required by other U.S. GAAP, and are not remeasured to reflect any anticipation that an entity will be legally released from an obligation. Additionally, under the liquidation basis of accounting, a reserve is established for estimated costs expected to be incurred during the liquidation period. Such costs are accrued when there is a reasonable basis for estimation. Also, an accrual is made for estimated income or cash expected to be received over the liquidation period to the extent that a reasonable basis for estimation exists. These estimates are periodically reviewed and adjusted as appropriate. The valuation of assets at realizable value, the accrual for investment income on marketable securities expected to be received over the liquidation period, reserves for residual wind-down claims and reserves for expected liquidation costs represent estimates, are based on present facts and circumstances known to the GUC Trust Administrator, and are subject to change. The GUC Trust beneficiaries are future and, to the extent their liquidating distributions have not yet been paid to them, current holders of Allowed General Unsecured Claims and future and current holders of GUC Trust Units. As both Disputed General Unsecured Claims are resolved and allowed and Term Loan Avoidance Action Claims are resolved by the Avoidance Action Trust, such claims thereby become Allowed General Unsecured Claims and the holders thereof become entitled to receive liquidating distributions of Distributable Cash (including Dividend Cash) and GUC Trust Units pro rata by the amount of such claims. Upon such occurrence, the GUC Trust incurs an obligation to distribute Distributable Cash and, accordingly, liquidating distributions payable are recorded in the amount of Distributable Cash (previously the fair value of New GM Securities) that the GUC Trust is obligated to distribute as of the end of the period in which the Disputed General Unsecured Claims and Term Loan Avoidance Action Claims are resolved as Allowed General Unsecured Claims. Similarly, to the extent that potential additional Term Loan Avoidance Action Claims were to arise (and would become allowed) in the manner described in Note 2, liquidating distributions payable would be recorded for the Distributable Cash (including the related Dividend Cash), that would become distributable to holders of Term Loan Avoidance Action Claims upon such occurrence. Prior to the resolution and allowance of Disputed General Unsecured Claims and Term Loan Avoidance Action Claims, liabilities are not recorded for the conditional obligations associated with Disputed General Unsecured Claims and potential Term Loan Avoidance Action Claims. Rather, the beneficial interests of GUC Trust beneficiaries in the residual assets of the GUC Trust are reflected in Net Assets in Liquidation of the GUC Trust in the financial statements. Under the liquidation basis of accounting, the GUC Trust presents two principal financial statements: a Statement of Net Assets in Liquidation and a Statement of Changes in Net Assets in Liquidation. In addition, although not required under the liquidation basis of accounting, the GUC Trust also presents a Statement of Cash Flows, in accordance with the requirements of the GUC Trust Agreement. Fiscal Year The GUC Trust’s fiscal year begins on April 1 and ends on the following March 31. Cash and Cash Equivalents Cash and cash equivalents consist of amounts held in bank accounts or money market funds. Marketable Securities and Accrued Investment Income on Marketable Securities Marketable securities at March 31, 2016 consist of short-term investments in U.S. Treasury bills and U.S. government agency securities. Marketable securities at March 31, 2015 consist of short-term investments in corporate commercial paper and municipal government commercial paper and variable demand notes. The GUC Trust has valued these securities at fair value based on carrying value for U.S. Treasury bills and municipal and corporate commercial paper where carrying value approximates fair value, par value for variable demand notes where par value equals fair value, and based on pricing models, quoted market prices of securities with similar characteristics or broker quotes for U.S. government agency securities. Beginning in the quarter ended June 30, 2014, estimated investment income expected to be received on short-term investments in marketable securities is accrued under the liquidation basis of accounting to the extent that a reasonable basis for estimation exists. Holdings of New GM Securities and Accrued Dividends on New GM Common Stock Holdings of New GM Securities at March 31, 2015 represent the GUC Trust’s holdings of New GM Securities that were then held for future distribution in respect of Allowed General Unsecured Claims and the GUC Trust Units, and include amounts that were previously set aside from distribution to fund potential administrative costs and income tax liabilities (including Taxes on Distribution, Dividend Taxes and Investment Income Taxes). The securities held consisted of shares of New GM Common Stock and New GM Warrants. As described above in Note 1, pursuant to the Liquidation Order, the GUC Trust liquidated all of its holdings of New GM Securities during July and August 2015. The GUC Trust valued its holdings in the securities at their fair value based on quoted closing market prices as of the last trading day of the fiscal year. Beginning in the quarter ended June 30, 2014 and through the quarter ended March 31, 2015, estimated dividends expected to be received on holdings of New GM Common Stock were accrued under the liquidation basis of accounting to the extent that a reasonable basis for estimation existed. During the quarter ended June 30, 2015, based on a determination that it would be in the best interests of Trust Beneficiaries, the GUC Trust made a determination to file a motion with the Bankruptcy Court seeking authority to liquidate all or substantially all of the GUC Trust’s holdings of New GM Securities. Such motion was approved by the Bankruptcy Court in the Liquidation Order described above in Note 1 and all of the GUC Trust’s holdings of New GM Securities were liquidated in July and August 2015. As a result, the GUC Trust no longer expected to receive dividends on New GM Common Stock and previously accrued estimated future dividends (net of dividends received in June 2015) were reversed in the quarter ended June 30, 2015. Dividends received on New GM Common Stock are required to be applied to the same purpose as the New GM Common Stock to which such dividends relate. If the portion of Distributable Cash applicable to the liquidated New GM Common Stock is distributed to holders of subsequently Resolved Allowed Claims and GUC Trust Units, then the dividends relating to such Distributable Cash will also be distributed to such holders. If, however, Distributable Cash is appropriated by the GUC Trust in accordance with the GUC Trust Agreement to fund the costs and liabilities of the GUC Trust, then, in that case, the dividends relating to such appropriated Distributable Cash will be applied to such costs and liabilities of the GUC Trust and (just like the appropriated Distributable Cash) will be maintained in Other Administrative Cash. Because such dividends are applied to the same purpose as the associated Distributable Cash, any references to Distributable Cash should be understood to include the dividends relating to such Distributable Cash, unless expressly indicated otherwise. The amount of cash and cash equivalents and marketable securities held by the GUC Trust that relates to dividends received by the GUC Trust on New GM Common Stock previously held by the GUC Trust is referred to as Dividend Cash and is included in the amount of cash and cash equivalents and marketable securities held for distribution to GUC Trust beneficiaries that is referred to as Distributable Cash (except to the extent of dividends relating to appropriated Distributable Cash that is classified as Other Administrative Cash following such appropriation). Other Assets and Deposits Other assets and deposits consist principally of accrued investment income, prepaid expenses and retainers for professionals. Accounts Payable and Other Liabilities Accounts payable and other liabilities represent amounts due to professionals, other service providers, and vendors for services rendered or goods received through the end of the period. Reserves for Residual Wind-Down Claims and Residual Wind-Down Costs Upon the dissolution of MLC, which occurred on December 15, 2011, the GUC Trust became responsible for resolving and satisfying (to the extent allowed) all remaining Residual Wind-Down Claims. On the date of dissolution of the Debtors, the Debtors transferred to the GUC Trust Residual Wind-Down Assets in an amount necessary to satisfy the ultimate allowed amount of such Residual Wind-Down Claims (including certain Avoidance Action Defense Costs) and the Residual Wind-Down Costs, as estimated by the Debtors. Should the Residual Wind-Down Claims and the Residual Wind-Down Costs be less than the Residual Wind-Down Assets, any excess funds will be returned to the DIP Lenders. If, collectively, the actual amounts of Residual Wind-Down Claims (including certain Avoidance Action Defense Costs) allowed and the Residual Wind-Down Costs exceed the Residual Wind-Down Assets, the GUC Trust Administrator may be required to set aside from distribution and appropriate Distributable Cash to fund the shortfall. Any such sale of securities would reduce the amount of Distributable Cash (including Dividend Cash) available for distribution to holders of GUC Trust Units. Reserves for Expected Costs of Liquidation Under the liquidation basis of accounting, the GUC Trust is required to estimate and accrue the costs associated with implementing the Plan and distributing the GUC Trust’s distributable assets. These costs, described as Wind-Down Costs and Reporting Costs in Note 2, consist principally of professional fees, costs of governance, and other administrative expenses. These amounts may vary significantly due to, among other things, the time and effort required to complete all distributions under the Plan. The GUC Trust has recorded reserves for expected costs of liquidation that represent estimated costs to be incurred over the remaining liquidation period of the GUC Trust for which there is a reasonable basis for estimation. The amount of liquidation costs that will ultimately be incurred depends both on the period of time and on the extent of activities required for the GUC Trust to complete its functions and responsibilities under the Plan and the GUC Trust Agreement. Significant uncertainty remains both as to that time period and as to the extent of those activities. As of March 31, 2016, such remaining liquidation period extends through October 2017 and has been estimated predominantly on a probability-weighted basis, which the GUC Trust believes is the most appropriate measurement basis under the circumstances. Where an outcome is estimated to be likely, the likely outcome has been used as the best estimate and no weight has been given to the unlikely outcome. The remaining liquidation period is dependent predominantly on the estimate of the remaining period of time for resolution of the Term Loan Avoidance Action, as well as certain additional estimated time as necessary to wind down the GUC Trust. It is possible that future developments in the Term Loan Avoidance Action could extend the current estimate of such remaining period of time for resolution and, therefore, extend the estimated remaining liquidation period of the GUC Trust beyond October 2017. As described in Item 3, “Legal Proceedings,” the GUC Trust is participating, as an interested party, in litigation involving certain General Motors vehicle recalls. While unlikely at this time, it is possible that such litigation could extend the remaining liquidation period of the GUC Trust beyond October 2017. It is reasonably possible that the GUC Trust’s estimates regarding the costs and remaining liquidation period could change in the near term. As the GUC Trust incurs such costs, the reserves are released to offset the costs incurred and a liability to the service provider is recognized as an accounts payable or accrued expense until paid. In addition, because the GUC Trust only records reserves for expected costs for which there is a reasonable basis for estimation under applicable U.S. GAAP, additional costs may be identified from time to time for which additional reserves must be recorded. As such costs are identified, the GUC Trust records an increase to its reserves and charges such increase as an addition to such reserves in the Statement of Changes in Net Assets in Liquidation. The process of recording reserves for expected costs of liquidation as a matter of financial reporting is separate and distinct from the process by which Distributable Cash is set aside from distribution for the purposes of funding projected costs of liquidation. Such projected costs are generally estimated on a more conservative (i.e., more inclusive) basis and include contingencies that are not permitted to be accrued in reserves for expected costs of liquidation under applicable U.S. GAAP. For a more complete description of the process of setting aside Distributable Cash to fund projected costs and potential liabilities of the GUC Trust, see Item 7. “Management’s Discussion and Analysis of Financial Condition and Results of Operations—Net Assets in Liquidation” under the heading “—Distributable Cash Set Aside from Distribution” above. Income Taxes The GUC Trust is considered to be a “Disputed Ownership Fund” pursuant to Treasury Regulation Section 1.468B-9. Because all of the assets that have been transferred to the GUC Trust are passive investments, the GUC Trust will be taxed as a Qualified Settlement Fund (or QSF) pursuant to Treasury Regulation Section 1.468B-9(c)(1)(ii). The QSF tax status of the GUC Trust has been approved by the Internal Revenue Service in a private letter ruling issued on March 2, 2011. In general, a QSF is considered to be a C Corporation but pays Federal income tax using trust income tax rates on its modified gross income. Modified gross income includes gross income pursuant to Internal Revenue Code Section 61 less administrative expenses, certain losses from the sale, exchange or worthlessness of property, and net operating losses. In general, a Disputed Ownership Fund taxed as a QSF does not recognize gross income on assets transferred to it; therefore, the GUC Trust has not recognized gross income on the transfer of assets from MLC. The GUC Trust generates gross income in the form of interest and dividend income (including dividends received on its previous holdings of New GM Common Stock) and recognizes gains and/or losses upon its disposition of shares of New GM Common Stock and New GM Warrants, which are reduced by administrative expenses and accumulated net operating and capital losses, to compute modified gross income. As the GUC Trust is taxable for Federal income tax purposes, a current income tax liability or asset, if any, is recognized for estimated taxes payable or receivable for the year. Deferred tax liabilities and assets are recognized for the estimated future tax effects of temporary differences between financial reporting and tax accounting. Deferred tax assets are reviewed for recoverability and valuation allowances are provided as necessary. The GUC Trust is not subject to state income taxes under current law. Accordingly, no current or deferred state income tax liabilities and assets are recorded. The GUC Trust recognizes the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authority, based on the technical merits of the position, review of available evidence and consultation with GUC Trust professionals. The GUC Trust’s tax liability with respect to its federal income tax returns for the year ended March 31, 2015 and all prior years are no longer subject to examination as a result of the application of Section 505(b) of the Bankruptcy Code. However, remaining capital loss carryovers that were generated in those years from the new tax position, combined with net capital gains generated in the year ended March 31, 2016, which aggregate $182.4 million, along with net operating loss carryovers generated through March 31, 2016 aggregating $101.5 million, could be subject to examination by the Internal Revenue Service in subsequent years when those losses are utilized. As of March 31, 2016, there are no known items which would result in a significant accrual for uncertain tax positions. The process of recognizing deferred tax assets and liabilities and any current income taxes payable as a matter of financial reporting is separate and distinct from the process by which Distributable Cash is set aside from distribution for the purposes of funding potential income tax liabilities. Such potential income tax liabilities are generally estimated on a more conservative (i.e., more inclusive) basis and include amounts of potential income tax liabilities beyond the amounts that are permitted to be recorded under applicable accounting standards. For a more complete description of the process of setting aside Distributable Cash to fund projected costs and potential income tax liabilities of the GUC Trust, see Item 7. “Management’s Discussion and Analysis of Financial Condition and Results of Operations—Net Assets in Liquidation” under the heading “—Distributable Cash Set Aside from Distribution” above. Use of Estimates The preparation of financial statements on the liquidation basis in conformity with U.S. GAAP requires the use of estimates and assumptions that affect the reported amounts of assets and liabilities. These estimates are subject to known and unknown risks, uncertainties and other factors that could materially impact the amounts reported and disclosed in the financial statements and related footnotes. Significant estimates include the anticipated amounts and timing of future cash flows for expected dividends to be received on holdings of New GM Common Stock (as of March 31, 2015 only), estimated investment income expected to be received, expected liquidation costs, Residual Wind-Down Claims and Costs, and fair value of marketable securities. Actual results could differ from those estimates. Recent Accounting Standards Changes to U.S. GAAP are made by the FASB in the form of accounting standards updates (ASU’s) to the FASB’s Accounting Standards Codification. The GUC Trust considers the applicability and impact of all ASU’s. ASU’s not noted herein were assessed and determined to be not applicable. |
Net Assets in Liquidation
Net Assets in Liquidation | 12 Months Ended |
Mar. 31, 2016 | |
Text Block [Abstract] | |
Net Assets in Liquidation | 4. Net Assets in Liquidation Description Under the GUC Trust Agreement and the Plan, as described more fully in Note 1, the beneficiaries of the GUC Trust are future and, to the extent their liquidating distributions have not yet been paid to them, current holders of Allowed General Unsecured Claims and future and current holders of GUC Trust Units. Assets of the GUC Trust consisting primarily of Distributable Cash (including Dividend Cash) as described in Note 1 are available to be distributed to the Trust Beneficiaries (“GUC Trust Distributable Assets”) in accordance with the Plan and the GUC Trust Agreement, except to the extent that they are set aside or appropriated for funding the expected costs of liquidation and potential income tax liabilities of the GUC Trust. The amounts of net assets in liquidation presented in the accompanying Statements of Net Assets in Liquidation correspond to the amounts of GUC Trust Distributable Assets as of the respective dates, after certain adjustments including reductions for the amounts of set aside Distributable Cash and any appropriated Distributable Cash. As of March 31, 2016, GUC Trust Distributable Assets aggregated approximately $464.3 million. For additional information, see “Net Assets in Liquidation—Distributable Assets” in Item 7 (“Management’s Discussion and Analysis of Financial Condition and Results of Operations”) above. Cash and Cash Equivalents and Marketable Securities As of March 31, 2016 and 2015, cash and cash equivalents and marketable securities aggregated $665.5 million and $68.4 million and are comprised of the following: (in thousands) 2016 2015 Distributable Cash (including associated Dividend Cash) $ 620,866 $ 17,034 Residual Wind-Down Assets 22,003 28,158 Other Administrative Cash 13,533 14,477 Administrative Fund 8,226 8,258 Funds for Indenture Trustee/Fiscal Paying Agent Costs 311 373 Other 594 127 Total $ 665,533 $ 68,427 As described in Note 5, as of March 31, 2016, the GUC Trust had accrued liquidating distributions payable aggregating $6.2 million. Such amount includes $4.3 million of Distributable Cash that was distributable to holders of GUC Trust Units in respect of Excess GUC Trust Distributable Assets as of March 31, 2016. In addition, as of March 31, 2016, the amount of Distributable Cash reflected in the table above includes $47.1 million of amounts set aside for projected GUC Trust fees, costs and expenses to be incurred beyond 2016 (including $2.3 million for projected Dividend Taxes and Investment Income Taxes) and Distributable Cash of $107.5 million set aside for potential Taxes on Distribution. The aggregate amount of Distributable Cash which was pending distribution or was set aside and was not available for distribution at March 31, 2016 was $160.8 million. Potential Recovery in New GM Shareholder Class Action Proposed Settlement As described in Part I, Item 3, “Legal Proceedings,” the GUC Trust has filed a proof of claim with the settlement administrator in connection with a proposed settlement of a class action against New GM. The amount of potential recovery for the GUC Trust, if any, from such proposed settlement is not estimable at this time. Accrued Dividends on Holdings of New GM Common Stock As of March 31, 2015, the GUC Trust accrued approximately $22.4 million in estimated dividends expected to be declared by New GM in the future and received by the GUC Trust on its holdings of New GM Common Stock over its estimated remaining liquidation period. Subsequent thereto, based on a determination that it would be in the best interests of Trust Beneficiaries, the GUC Trust made the determination to file a motion with the Bankruptcy Court seeking authority to liquidate all or substantially all of the GUC Trust’s holdings of New GM Securities. Such motion was approved by the Bankruptcy Court in the Liquidation Order described above and all of the GUC Trust’s holdings of New GM Securities were liquidated in July and August 2015. Accordingly, the GUC Trust no longer expected to receive dividends on New GM Common Stock. Accordingly, the accrued dividends as of March 31, 2015 (net of dividends received in June 2015) were reversed and no accrual of dividends has been made since March 31, 2015. Trust Units As described in Note 1, under the Plan, each holder of an Allowed General Unsecured Claim retains a contingent right to receive, on a pro rata basis, additional Distributable Cash (if and to the extent not required for the satisfaction of previously Disputed General Unsecured Claims or potential Term Loan Avoidance Action Claims, or appropriation for the payment of the expenses or income tax liabilities of the GUC Trust). The GUC Trust issues units representing such contingent rights (“GUC Trust Units”) at the rate of one GUC Trust Unit per $1,000 of Allowed General Unsecured Claims to each holder of an Allowed General Unsecured Claim, subject to rounding pursuant to the GUC Trust Agreement, in connection with the initial recognition of each Allowed General Unsecured Claim. As described in “Critical Accounting Policies and Estimates—Income Taxes” in Item 7 (“Management’s Discussion and Analysis of Financial Condition and Results of Operations”) above, the GUC Trust is considered to be a Disputed Ownership Fund pursuant to Treasury Regulation Section 1.468B-9. Pursuant to Treasury Regulation Section 1.468B-9(c)(6), upon the termination of the GUC Trust, certain capital losses and net operating losses may be distributable to current or previous holders of GUC Trust Units. At this time, the amount of such losses that may be distributed is not determinable, the timing of such a distribution is dependent on a number of factors affecting the life of the GUC Trust and its termination date, and who is entitled to receive such a distribution is not currently known. The GUC Trust has initiated discussions with the Internal Revenue Service to get clarification on some of these issues, but, at this time, it is highly uncertain whether or not the Internal Revenue Service will provide the necessary guidance, or whether the GUC Trust will continue those discussions with the Internal Revenue Service. The GUC Trust makes quarterly liquidating distributions to holders of GUC Trust Units to the extent that (i)(a) certain previously Disputed General Unsecured Claims asserted against the Debtors’ estates or potential Term Loan Avoidance Action Claims are either disallowed or are otherwise resolved favorably to the GUC Trust (thereby reducing the amount of GUC Trust assets reserved for distribution in respect of such asserted or potential claims) or (b) certain Excess GUC Trust Distributable Assets (as defined in the GUC Trust Agreement) that were previously set aside from distribution are released in the manner permitted under the GUC Trust Agreement, and (ii) as a result of the foregoing, the amount of Excess GUC Trust Distributable Assets (as defined in the GUC Trust Agreement) as of the end of the relevant quarter exceeds thresholds set forth in the GUC Trust Agreement. The following presents the changes during the years ended March 31, 2016, 2015 and 2014 in the numbers of GUC Trust Units outstanding or for which the GUC Trust was obligated to issue: Year Ended Year Ended Year Ended Outstanding or issuable at beginning of year 31,853,702 31,853,702 30,227,314 Issued during the year (1) 56 10,326 1,644,941 Less: Issuable at beginning of year (2) — (10,326 ) (28,879 ) Add: Issuable at end of year (2) — — 10,326 Outstanding or issuable at end of year (3) 31,853,758 31,853,702 31,853,702 (1) Of the 1,644,941 GUC Trust Units issued during the year ended March 31, 2014, 1,550,000 related to the Special Nova Scotia Distribution applicable to the Nova Scotia Settlement described in Note 5. (2) The number of GUC Trust Units issuable at any time represents GUC Trust Units issuable in respect of Allowed General Unsecured Claims that were newly allowed during the fiscal year. (3) The number of GUC Trust Units outstanding at any time represents GUC Trust Units issued in respect of Allowed General Unsecured Claims that were allowed in prior periods, including GUC Trust Units held by the GUC Trust for the benefit of (a) holders of Allowed General Unsecured Claims who had not yet supplied information required by the GUC Trust in order to effect the initial distribution to which they are entitled and (b) governmental entities that are precluded by applicable law from receiving distributions of GUC Trust Units. Allowed and Disputed Claims The total cumulative pro rata liquidating distributions ultimately received by Trust Beneficiaries is dependent upon the current amount of Allowed General Unsecured Claims and final resolution of outstanding Disputed General Unsecured Claims and Term Loan Avoidance Action Claims (as described in Note 2). Disputed General Unsecured Claims at March 31, 2016 reflect claim amounts at their originally filed amounts, a court ordered distribution “set aside” for certain claims filed without a claim amount and other adjustments as ordered by the court or permitted by the Plan. The Disputed General Unsecured Claims may settle at amounts that differ significantly from these amounts and at amounts that differ significantly from the historical pattern at which claims have been settled and allowed in proportion to claims resolved and disallowed. As described in Note 1, prior to the resolution and allowance of Disputed General Unsecured Claims and any recoveries on Term Loan Avoidance Action Claims by the Avoidance Action Trust that thereby arise as Allowed General Unsecured Claims, liabilities are not recorded for the conditional obligations associated with Disputed General Unsecured Claims or potential Term Loan Avoidance Action Claims. Liquidating distributions payable are recorded in the amount of Distributable Cash (previously the fair value of New GM Securities) to be distributed as of the end of the period in which the Disputed General Unsecured Claims and Term Loan Avoidance Action Claims are resolved as Allowed General Unsecured Claims. Similarly, to the extent potential additional Term Loan Avoidance Action Claims were to arise (and would become allowed) in the manner described in Note 2, liquidating distributions payable would be recorded in the amount of Distributable Cash that would become distributable to holders of Term Loan Avoidance Action Claims upon such occurrence. The following table presents a summary of activity with respect to the Allowed and Disputed General Unsecured Claims and Term Loan Avoidance Action Claims for the years ended March 31, 2016 and 2015: (in thousands) Allowed General Disputed General Term Loan Maximum Total Claim Total, March 31, 2014 $ 31,853,630 $ 79,500 $ 1,500,000 $ 1,579,500 $ 33,433,130 New Allowed General Unsecured Claims — — — — — Disputed General Unsecured Claims resolved or disallowed — (9,500 ) — (9,500 ) (9,500 ) Total, March 31, 2015 31,853,630 70,000 1,500,000 1,570,000 33,423,630 New Allowed General Unsecured Claims 55 — — — 55 Disputed General Unsecured Claims resolved or disallowed — — (55 ) (55 ) (55 ) Total, March 31, 2016 $ 31,853,685 $ 70,000 $ 1,499,945 $ 1,569,945 $ 33,423,630 (1) Maximum Amount of Unresolved Claims represents the sum of Disputed General Unsecured Claims and Term Loan Avoidance Action Claims. (2) Total Claim Amount represents the sum of Allowed General Unsecured Claims and Maximum Amount of Unresolved Claims. During the year ended March 31, 2016, the Avoidance Action Trust reached settlements with certain defendants to the Term Loan Avoidance Action resulting in recoveries to the Avoidance Action Trust of approximately $55,000. As a result, corresponding Term Loan Avoidance Action Claims arose and were allowed by the GUC Trust pursuant to the Plan. |
Liquidating Distributions
Liquidating Distributions | 12 Months Ended |
Mar. 31, 2016 | |
Text Block [Abstract] | |
Liquidating Distributions | 5. Liquidating Distributions Liquidating distributions in the years ended March 31, 2016, 2015 and 2014 consisted of the following: (in thousands) 2016 2015 2014 Distributions during the year $ 130,248 $ 244,326 $ 1,180,208 Less: Liquidating distributions payable at beginning of year (7,714 ) (42,111 ) (16,555 ) Add: Liquidating distributions payable at end of year 6,213 7,714 42,111 Total $ 128,747 $ 209,929 $ 1,205,764 The distributions during the year ended March 31, 2016 consisted of (1) distributions to holders of GUC Trust Units for excess distributions payable, (2) distributions to holders of Allowed General Unsecured Claims whose claims were newly allowed during the quarter ended December 31, 2015 and (3) distributions to holders of Allowed General Unsecured Claims who previously failed to fulfill informational requirements for distribution established in accordance with the GUC Trust Agreement, but subsequently successfully fulfilled such information requirements. The distributions to holders of GUC Trust Units during the year ended March 31, 2016 resulted primarily from the release of distributable assets of the GUC Trust that were previously set aside in respect of potential Taxes on Distribution following the liquidation of the New GM Securities. The distributions during the year ended March 31, 2015, consisted of (1) distributions to holders of GUC Trust Units and (2) distributions to holders of Allowed General Unsecured Claims who previously failed to fulfill informational requirements for distribution established in accordance with the GUC Trust Agreement, but subsequently successfully fulfilled such information requirements. The distributions to holders of GUC Trust Units during the year ended March 31, 2015 resulted primarily from the release of distributable assets of the GUC Trust that were previously set aside in respect of potential Taxes on Distribution. The distributions during the year ended March 31, 2014, consisted of (1) the Special Nova Scotia Distribution (as defined below), (2) the Special Excess Distribution (as defined below), (3) distributions to holders of Resolved Disputed Claims (exclusive of the Nova Scotia Distribution) and (4) distributions to holders of Allowed General Unsecured Claims who previously failed to fulfill informational requirements for distribution established in accordance with the GUC Trust Agreement, but subsequently successfully fulfilled such information requirements. On October 21, 2013, the Bankruptcy Court entered an order (the “Nova Scotia Order”) approving a settlement agreement (the “Nova Scotia Settlement”) relating to claims arising from the 8.375% guaranteed notes due December 7, 2015 and the 8.875% guaranteed notes due July 10, 2023, in each case issued in 2003 by General Motors Nova Scotia Finance Company (the “Nova Scotia Claims”). Pursuant to the Nova Scotia Settlement, the Nova Scotia Claims were reduced and allowed in an aggregate amount of $1.55 billion. As a result, on or about December 2, 2013, in accordance with the Nova Scotia Settlement and the Nova Scotia Order, the GUC Trust made a distribution solely to holders of the allowed Nova Scotia Claims, consisting of, in the aggregate, 6,174,015 shares of New GM Common Stock, 5,612,741 New GM Series A Warrants, 5,612,741 New GM Series B Warrants, and 1,550,000 GUC Trust Units (the “Special Nova Scotia Distribution”). In addition, on or about December 23, 2013, in accordance with the Nova Scotia Settlement and the Nova Scotia Order, the GUC Trust made a special distribution of Excess GUC Trust Distributable Assets to all holders of GUC Trust Units, consisting of 6,735,070 shares of New GM Common Stock, 6,122,789 New GM Series A Warrants, and 6,122,789 New GM Series B Warrants (the “Special Excess Distribution”). The GUC Trust was obligated as of March 31, 2016 to distribute Distributable Cash of $6.2 million and as of March 31, 2015 to distribute 93,114 shares of New GM Common Stock, 84,570 of New GM Series A Warrants, and 84,570 of New GM Series B Warrants in the aggregate to the following: (1) holders of GUC Trust Units for excess distributions payable and (2) certain holders of Allowed General Unsecured Claims who had not then satisfied certain informational requirements necessary to receive these securities. In addition, as of March 31, 2015, cash of $0.2 million was then distributable as follows: (a) for Dividend Cash associated with the New GM Common Stock that the GUC Trust was obligated to distribute, (b) to governmental entities which are precluded by applicable law from receiving distributions of New GM Securities, and (c) for distributions in lieu of fractional shares and warrants. |
Holdings of New GM Securities a
Holdings of New GM Securities at March 31, 2015 | 12 Months Ended |
Mar. 31, 2016 | |
Text Block [Abstract] | |
Holdings of New GM Securities at March 31, 2015 | 6. Holdings of New GM Securities at March 31, 2015 As described in Note 1, pursuant to the Liquidation Order, during July and August 2015, all of the GUC Trust’s holdings of New GM Securities were liquidated and substantially all of the proceeds have been invested in certain marketable securities. As of March 31, 2015, the then Holdings of New GM Securities, at fair value, consisted of the following: March 31, 2015 Number Fair Value New GM Common Stock 11,390,701 $ 427,151 New GM Series A Warrants 10,354,971 287,351 New GM Series B Warrants 10,354,971 203,475 Total $ 917,977 As described in Note 5, as of March 31, 2015, the GUC Trust had accrued liquidating distributions payable of $7.7 million in respect of New GM Securities and cash of $0.2 million then distributable. As a result, the numbers of New GM Securities reflected above include shares and warrants for which liquidating distributions were then pending. As of March 31, 2015, these securities for which distributions were then pending aggregated 93,114 shares of New GM Common Stock, 84,570 Series A Warrants, and 84,570 Series B Warrants. As of March 31, 2015, the number of common stock shares and warrants in the table above also includes New GM Securities aggregating $67.5 million (excluding related Dividend Cash) reserved, or set aside, for projected GUC Trust fees, costs and expenses to be incurred beyond 2015 (including $19.4 million for projected Dividend Taxes) and $297.2 million (excluding related Dividend Cash) of New GM Securities reserved, or set aside, for potential Taxes on Distribution. As a result, as of March 31, 2015, the numbers of New GM Securities in the table above include an aggregate of 4,525,790 shares of New GM Common Stock, 4,114,331 New GM Series A Warrants, and 4,114,331 New GM Series B Warrants which have been so set aside. Set forth below are the aggregate number and fair value of all such shares and warrants which were pending distribution or were set aside and were not available for distribution at March 31, 2015. March 31, 2015 Number Fair Value New GM Common Stock 4,618,904 $ 173,209 New GM Series A Warrants 4,198,901 116,520 New GM Series B Warrants 4,198,901 82,508 Total $ 372,237 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Mar. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 7. Fair Value Measurements Accounting standards require certain assets and liabilities be reported at fair value in the financial statements and provide a framework for establishing that fair value. The framework for determining fair value is based on a hierarchy that prioritizes the inputs and valuation techniques used to measure fair value. The Trust’s Cash Equivalents, Marketable Securities, Holdings of New GM Securities (at March 31, 2015 only) and Liquidating Distributions Payable are presented as provided by this hierarchy. Level 1 Level 2 Level 3 In instances where inputs used to measure fair value fall into different levels in the above fair value hierarchy, fair value measurements in their entirety are categorized based on the lowest level input that is significant to the valuation. The GUC Trust’s assessment of the significance of particular inputs to these fair value measurements requires judgment and considers factors specific to each asset or liability. The GUC Trust also holds other financial instruments not measured at fair value on a recurring basis, including Accounts Payable and Other Liabilities. The fair value of these liabilities approximates the carrying amounts in the accompanying financial statements due to the short maturity of such instruments. The following table presents information about the GUC Trust’s assets and liabilities measured at fair value on a recurring basis at March 31, 2016 and 2015, and the valuation techniques used by the GUC Trust to determine those fair values. March 31, 2016 (in thousands) Level 1 Level 2 Level 3 Total Assets: Cash equivalents: Money market funds $ 1,835 $ — $ — $ 1,835 Marketable Securities: U.S. Treasury bills — 655,121 — 655,121 U.S. government agency securities — 6,002 — 6,002 Total Assets $ 1,835 $ 661,123 $ — $ 662,958 Liabilities: Liquidating distributions payable $ 6,213 $ — $ — $ 6,213 March 31, 2015 (in thousands) Level 1 Level 2 Level 3 Total Assets: Cash equivalents: Money market funds $ 19,150 $ — $ — $ 19,150 Marketable Securities: Municipal commercial paper and demand notes — 12,064 — 12,064 Corporate commercial paper — 18,880 — 18,880 Holdings of New GM Securities: New GM Common Stock 427,151 — — 427,151 New GM Warrants 490,826 — — 490,826 Total Assets $ 937,127 $ 30,944 $ — $ 968,071 Liabilities: Liquidating distributions payable $ 7,714 $ — $ — $ 7,714 The following are descriptions of the valuation methodologies used for assets and liabilities measured at fair value: • Due to its short-term, liquid nature, the fair value of cash equivalents approximates its carrying value. • Marketable securities at March 31, 2016 consist of U.S. Treasury bills and U.S. government agency securities. Marketable securities at March 31, 2015 consist of municipal commercial paper and variable demand notes and corporate commercial paper. Due to their short-term maturities, the fair value of U.S. Treasury bills and corporate and municipal commercial paper approximates their carrying value. The fair value of U.S. government agency securities is based on pricing models, quoted prices of securities with similar characteristics, or broker quotes. Municipal variable demand notes trade daily at par value and, therefore, their fair value is equal to par value. • Holdings of New GM Securities at March 31, 2015 were valued at closing prices reported on the active market on which the securities are traded. • Liquidating distributions payable at March 31, 2016 are valued at the amount of cash that the GUC Trust is obligated to distribute. Liquidating distributions payable at March 31, 2015 are valued at closing prices of New GM Securities reported on the active market on which the securities are traded. The GUC Trust’s policy is to recognize transfers between levels of the fair value hierarchy as of the actual date of the event of change in circumstances that caused the transfer. There were no such transfers during the years ended March 31, 2016 and 2015. |
Reserves for Expected Costs of
Reserves for Expected Costs of Liquidation and Residual Wind-Down Claims | 12 Months Ended |
Mar. 31, 2016 | |
Text Block [Abstract] | |
Reserves for Expected Costs of Liquidation and Residual Wind-Down Claims | 8. Reserves for Expected Costs of Liquidation and Residual Wind-Down Claims The following is a summary of the activity in the reserves for expected costs of liquidation for the years ended March 31, 2016, 2015 and 2014: (in thousands) Reserve for Wind-Down Reserve for Reserve for Reserve for Reserve for Wind-Down Total Reserves Balance, March 31, 2013 $ 38,043 $ 20,442 $ 499 $ 898 $ 1,631 $ 61,513 Less reductions in reserves (3,843 ) (4,067 ) — — — (7,910 ) Less liquidation costs incurred: Trust Professionals (7,736 ) (2,013 ) — (898 ) (373 ) (11,020 ) Trust Governance (3,888 ) (1,799 ) (35 ) — — (5,722 ) Other Administrative Expenses (47 ) (328 ) — — — (375 ) Balance, March 31, 2014 22,529 12,235 464 — 1,258 36,486 Plus additions to reserves 8,962 413 — — — 9,375 Less liquidation costs incurred: Trust Professionals (6,834 ) (1,870 ) — — (35 ) (8,739 ) Trust Governance (3,537 ) (1,801 ) (100 ) — — (5,438 ) Other Administrative Expenses (31 ) (375 ) — — — (406 ) Balance, March 31, 2015 21,089 8,602 364 — 1,223 31,278 Plus additions to reserves 5,592 2,119 — — — 7,711 Less liquidation costs incurred: Trust Professionals (5,625 ) (2,291 ) — — (11 ) (7,927 ) Trust Governance (3,438 ) (1,800 ) (71 ) — — (5,309 ) Other Administrative Expenses (891 ) (251 ) — — — (1,142 ) Balance, March 31, 2016 $ 16,727 $ 6,379 $ 293 $ — $ 1,212 $ 24,611 During the year ended March 31, 2016, estimates of expected Wind-Down Costs and estimates of expected Reporting Costs (for which there is a reasonable basis for estimation) increased by $5.6 million and $2.1 million, respectively. During the year ended March 31, 2015, estimates of expected Wind-Down Costs and estimates of expected Reporting Costs increased by $9.0 million and $0.4 million, respectively. During the year ended March 31, 2014, estimates of expected Wind-Down Costs and estimates of expected Reporting Costs decreased by $3.8 million and $4.1 million, respectively. Such revisions in the estimates were recorded as additions to (reductions in) the reserves for expected costs of liquidation in such years. The GUC Trust has recorded reserves for expected costs of liquidation that represent amounts expected to be incurred over the estimated remaining liquidation period of the GUC Trust for which there was a reasonable basis for estimation. The amount of liquidation costs that will ultimately be incurred depends both on the time period and on the extent of activities required for the GUC Trust to complete its functions and responsibilities under the Plan and the GUC Trust Agreement. Significant uncertainty remains both as to that time period and as to the extent of those activities. As of March 31, 2016, the recorded reserves for expected costs of liquidation reflect estimated costs for a remaining liquidation period extending through October 2017, which has been estimated predominately on a probability-weighted basis as permitted under U.S. GAAP and which the GUC Trust believes is the most appropriate measurement basis under the circumstances. Where an outcome is estimated to be likely, the likely outcome has been used as the best estimate and no weight has been given to the unlikely outcome. The remaining liquidation period is dependent predominantly on the estimate of the remaining period of time for resolution of the Term Loan Avoidance Action, as well as certain additional estimated time as necessary to wind down the GUC Trust. It is possible that future developments in the Term Loan Avoidance Action could extend the current estimate of such remaining period of time for resolution and, therefore, extend the estimated remaining liquidation period of the GUC Trust beyond October 2017. In addition, certain liquidation costs that are expected to be prepaid by the GUC Trust upon its dissolution have also been estimated and accrued. It is reasonably possible that the GUC Trust’s estimates regarding the costs and remaining liquidation period could change in the near term. As described in Part I, Item 3, “Legal Proceedings,” the GUC Trust is participating, as an interested party, in litigation involving certain General Motors vehicle recalls. While unlikely at this time, it is possible that such litigation could extend the remaining liquidation period of the GUC Trust beyond October 2017. The following is a summary of the activity in the reserves for Residual Wind-Down Claims for the years ended March 31, 2016, 2015 and 2014: (in thousands) 2016 2015 2014 Balance, beginning of year $ 25,406 $ 28,698 $ 30,855 Less claims allowed during the year (6,661 ) (3,292 ) (2,157 ) Balance, end of year $ 18,745 $ 25,406 $ 28,698 |
Income Tax Benefit
Income Tax Benefit | 12 Months Ended |
Mar. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Tax Benefit | 9. Income Tax Benefit There was no current tax benefit or provision for the years ended March 31, 2016, 2015 and 2014 due to cumulative net operating and capital losses, and no income taxes have been paid by the GUC Trust. There also was no deferred tax benefit or provision for the years ended March 31, 2016 and 2015 as a result of the establishment of a full valuation allowance against net deferred tax assets at the beginning and end of such periods. The income tax benefit in the Statement of Changes in Net Assets in Liquidation for year ended March 31, 2014 was determined by computing the deferred tax provision using the GUC Trust’s statutory tax rate of 39.6% that became effective on April 1, 2013. Deferred taxes in the accompanying Statement of Net Assets in Liquidation at March 31, 2016 and 2015 are comprised of the following components: (in thousands) 2016 2015 Deferred tax assets: Reserves for expected costs of liquidation $ 9,421 $ 10,066 Net operating and capital loss carryovers 112,442 108,227 Gross deferred tax assets 121,863 118,293 Less: Valuation allowance (121,486 ) (35,966 ) Deferred tax asset, net of valuation allowance 377 82,327 Deferred tax liabilities: Fair value in excess of tax basis of holdings of New GM Securities (— ) (71,560 ) Accrued investment income (377 ) (10,767 ) Gross deferred tax liabilities (377 ) (82,327 ) Net deferred taxes $ — $ — As previously disclosed, during the quarter ended September 30, 2013, the GUC Trust made a determination to file its U.S. federal income tax returns taking the position that beneficial ownership for a substantial majority of New GM Securities was transferred from MLC to the GUC Trust on March 31, 2011, and that the tax basis of such New GM Securities should be determined with reference to the value of such securities on such date, instead of December 15, 2011, when record ownership of the remaining New GM Securities still held by MLC was transferred from MLC to the GUC Trust. For the remaining substantial minority of New GM Securities transferred from MLC to the GUC Trust, the GUC Trust determined that the transfer of beneficial ownership occurred on other dates for which the tax basis should be determined by reference to the value of such securities on such dates. This new tax position resulted in an increased tax basis of the New GM Securities from the prior tax position and, therefore, reduced taxable gains and increased taxable losses on distributions and sales of New GM Securities since March 31, 2011. The new tax position has not been sustained on examination by the Internal Revenue Service as of the date hereof. However, the GUC Trust believes, based on the available evidence and consultation with GUC Trust professionals, that it is more likely than not that the new tax position will be sustained on examination by the Internal Revenue Service based on the technical merits of the position. Accordingly, this new tax position has been recognized in the current and deferred income tax liabilities and the income tax provision in the GUC Trust’s financial statements since the quarter ended September 30, 2013. Following the GUC Trust’s determination to utilize the new tax position set forth above, the GUC Trust filed its U.S. federal income tax returns for the years ended March 31, 2015, 2014 and 2013 with the Internal Revenue Service using such new tax position. Such tax returns were accompanied by requests for prompt determination of tax liability pursuant to Section 505(b) of the Bankruptcy Code, and the statutory notification period set forth in Section 505(b) of the Bankruptcy Code with respect to the GUC Trust’s U.S. federal income tax returns for the year ended March 31, 2015 and prior years has expired. Accordingly, the tax liabilities set forth in the GUC Trust’s U.S. federal income tax returns for the year ended March 31, 2015 and prior years are no longer subject to examination by the Internal Revenue Service. However, remaining capital loss carryovers that were generated in those years, combined with net capital gains generated in the year ended March 31, 2016, from the new tax position, which aggregate $182.4 million, along with net operating loss carryovers generated through March 31, 2016 aggregating $101.5 million, could be subject to examination by the Internal Revenue Service in subsequent years when those losses, if any, are utilized. The capital loss carryovers begin to expire on March 31, 2017 and the net operating loss carryovers begin to expire on March 31, 2032. These loss carryovers in the aggregate result in a deferred tax asset of $112.4 million (reflected in the table above). A full valuation allowance against net deferred tax assets aggregating $121.5 million and $36.0 million was established as of March 31, 2016 and 2015, respectively, because the deferred tax assets are not realizable. The valuation allowance increased by $85.5 million and decreased by $35.2 million during the years ended March 31, 2016 and 2015, respectively. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Mar. 31, 2016 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 10. Related Party Transactions In addition to serving as GUC Trust Administrator, Wilmington Trust Company continues to serve as trustee pursuant to the indentures for certain series of previously outstanding debt of MLC. Wilmington Trust Company has received and will continue to receive certain customary fees in amounts consistent with Wilmington Trust Company’s standard rates for such service. The Bankruptcy Court previously approved the creation of a segregated fund for the purposes of funding such fees for Wilmington Trust Company, as well as the other indenture trustees and fiscal and paying agents for previously outstanding debt of MLC. There were no such fees for Wilmington Trust Company in the years ended March 31, 2016, 2015 and 2014. In addition, Wilmington Trust Company has also entered into certain arrangements with the GUC Trust pursuant to which it or its affiliates have previously received, and may in the future receive, reasonable and customary fees and commissions for services other than services in the capacity of GUC Trust Administrator. Such arrangements include the provision of custodial, investment advisory and brokerage services to the GUC Trust. The fees and commissions charged by Wilmington Trust Company and its affiliates pursuant to these arrangements are consistent with the standard fees and commissions charged by Wilmington Trust Company to unrelated third-parties in negotiated transactions. During the years ended March 31, 2016, 2015 and 2014, the total amount of such fees and commissions was approximately $235,000, $35,000, and $53,000, respectively. |
Basis of Presentation and Sig15
Basis of Presentation and Significant Accounting Policies (Policies) | 12 Months Ended |
Mar. 31, 2016 | |
Accounting Policies [Abstract] | |
Liquidation Basis of Accounting | Liquidation Basis of Accounting The GUC Trust exists solely for the purposes described above in Note 1 and has a finite life. Accordingly, the GUC Trust has prepared the accompanying financial statements on the liquidation basis of accounting in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP). Under the liquidation basis of accounting as prescribed by the Financial Accounting Standards Board (FASB) Accounting Standards Codification, assets are stated at their estimated net realizable value, which is the non-discounted amount of cash into which an asset is expected to be converted during the liquidation period, while liabilities continue to be recognized at the amount required by other U.S. GAAP, and are not remeasured to reflect any anticipation that an entity will be legally released from an obligation. Additionally, under the liquidation basis of accounting, a reserve is established for estimated costs expected to be incurred during the liquidation period. Such costs are accrued when there is a reasonable basis for estimation. Also, an accrual is made for estimated income or cash expected to be received over the liquidation period to the extent that a reasonable basis for estimation exists. These estimates are periodically reviewed and adjusted as appropriate. The valuation of assets at realizable value, the accrual for investment income on marketable securities expected to be received over the liquidation period, reserves for residual wind-down claims and reserves for expected liquidation costs represent estimates, are based on present facts and circumstances known to the GUC Trust Administrator, and are subject to change. The GUC Trust beneficiaries are future and, to the extent their liquidating distributions have not yet been paid to them, current holders of Allowed General Unsecured Claims and future and current holders of GUC Trust Units. As both Disputed General Unsecured Claims are resolved and allowed and Term Loan Avoidance Action Claims are resolved by the Avoidance Action Trust, such claims thereby become Allowed General Unsecured Claims and the holders thereof become entitled to receive liquidating distributions of Distributable Cash (including Dividend Cash) and GUC Trust Units pro rata by the amount of such claims. Upon such occurrence, the GUC Trust incurs an obligation to distribute Distributable Cash and, accordingly, liquidating distributions payable are recorded in the amount of Distributable Cash (previously the fair value of New GM Securities) that the GUC Trust is obligated to distribute as of the end of the period in which the Disputed General Unsecured Claims and Term Loan Avoidance Action Claims are resolved as Allowed General Unsecured Claims. Similarly, to the extent that potential additional Term Loan Avoidance Action Claims were to arise (and would become allowed) in the manner described in Note 2, liquidating distributions payable would be recorded for the Distributable Cash (including the related Dividend Cash), that would become distributable to holders of Term Loan Avoidance Action Claims upon such occurrence. Prior to the resolution and allowance of Disputed General Unsecured Claims and Term Loan Avoidance Action Claims, liabilities are not recorded for the conditional obligations associated with Disputed General Unsecured Claims and potential Term Loan Avoidance Action Claims. Rather, the beneficial interests of GUC Trust beneficiaries in the residual assets of the GUC Trust are reflected in Net Assets in Liquidation of the GUC Trust in the financial statements. Under the liquidation basis of accounting, the GUC Trust presents two principal financial statements: a Statement of Net Assets in Liquidation and a Statement of Changes in Net Assets in Liquidation. In addition, although not required under the liquidation basis of accounting, the GUC Trust also presents a Statement of Cash Flows, in accordance with the requirements of the GUC Trust Agreement. |
Fiscal Year | Fiscal Year The GUC Trust’s fiscal year begins on April 1 and ends on the following March 31. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents consist of amounts held in bank accounts or money market funds. |
Marketable Securities and Accrued Investment Income on Marketable Securities | Marketable Securities and Accrued Investment Income on Marketable Securities Marketable securities at March 31, 2016 consist of short-term investments in U.S. Treasury bills and U.S. government agency securities. Marketable securities at March 31, 2015 consist of short-term investments in corporate commercial paper and municipal government commercial paper and variable demand notes. The GUC Trust has valued these securities at fair value based on carrying value for U.S. Treasury bills and municipal and corporate commercial paper where carrying value approximates fair value, par value for variable demand notes where par value equals fair value, and based on pricing models, quoted market prices of securities with similar characteristics or broker quotes for U.S. government agency securities. Beginning in the quarter ended June 30, 2014, estimated investment income expected to be received on short-term investments in marketable securities is accrued under the liquidation basis of accounting to the extent that a reasonable basis for estimation exists. |
Holdings of New GM Securities and Accrued Dividends on New GM Common Stock | Holdings of New GM Securities and Accrued Dividends on New GM Common Stock Holdings of New GM Securities at March 31, 2015 represent the GUC Trust’s holdings of New GM Securities that were then held for future distribution in respect of Allowed General Unsecured Claims and the GUC Trust Units, and include amounts that were previously set aside from distribution to fund potential administrative costs and income tax liabilities (including Taxes on Distribution, Dividend Taxes and Investment Income Taxes). The securities held consisted of shares of New GM Common Stock and New GM Warrants. As described above in Note 1, pursuant to the Liquidation Order, the GUC Trust liquidated all of its holdings of New GM Securities during July and August 2015. The GUC Trust valued its holdings in the securities at their fair value based on quoted closing market prices as of the last trading day of the fiscal year. Beginning in the quarter ended June 30, 2014 and through the quarter ended March 31, 2015, estimated dividends expected to be received on holdings of New GM Common Stock were accrued under the liquidation basis of accounting to the extent that a reasonable basis for estimation existed. During the quarter ended June 30, 2015, based on a determination that it would be in the best interests of Trust Beneficiaries, the GUC Trust made a determination to file a motion with the Bankruptcy Court seeking authority to liquidate all or substantially all of the GUC Trust’s holdings of New GM Securities. Such motion was approved by the Bankruptcy Court in the Liquidation Order described above in Note 1 and all of the GUC Trust’s holdings of New GM Securities were liquidated in July and August 2015. As a result, the GUC Trust no longer expected to receive dividends on New GM Common Stock and previously accrued estimated future dividends (net of dividends received in June 2015) were reversed in the quarter ended June 30, 2015. Dividends received on New GM Common Stock are required to be applied to the same purpose as the New GM Common Stock to which such dividends relate. If the portion of Distributable Cash applicable to the liquidated New GM Common Stock is distributed to holders of subsequently Resolved Allowed Claims and GUC Trust Units, then the dividends relating to such Distributable Cash will also be distributed to such holders. If, however, Distributable Cash is appropriated by the GUC Trust in accordance with the GUC Trust Agreement to fund the costs and liabilities of the GUC Trust, then, in that case, the dividends relating to such appropriated Distributable Cash will be applied to such costs and liabilities of the GUC Trust and (just like the appropriated Distributable Cash) will be maintained in Other Administrative Cash. Because such dividends are applied to the same purpose as the associated Distributable Cash, any references to Distributable Cash should be understood to include the dividends relating to such Distributable Cash, unless expressly indicated otherwise. The amount of cash and cash equivalents and marketable securities held by the GUC Trust that relates to dividends received by the GUC Trust on New GM Common Stock previously held by the GUC Trust is referred to as Dividend Cash and is included in the amount of cash and cash equivalents and marketable securities held for distribution to GUC Trust beneficiaries that is referred to as Distributable Cash (except to the extent of dividends relating to appropriated Distributable Cash that is classified as Other Administrative Cash following such appropriation). |
Other Assets and Deposits | Other Assets and Deposits Other assets and deposits consist principally of accrued investment income, prepaid expenses and retainers for professionals. |
Accounts Payable and Other Liabilities | Accounts Payable and Other Liabilities Accounts payable and other liabilities represent amounts due to professionals, other service providers, and vendors for services rendered or goods received through the end of the period. |
Reserves for Residual Wind-Down Claims and Residual Wind-Down Costs | Reserves for Residual Wind-Down Claims and Residual Wind-Down Costs Upon the dissolution of MLC, which occurred on December 15, 2011, the GUC Trust became responsible for resolving and satisfying (to the extent allowed) all remaining Residual Wind-Down Claims. On the date of dissolution of the Debtors, the Debtors transferred to the GUC Trust Residual Wind-Down Assets in an amount necessary to satisfy the ultimate allowed amount of such Residual Wind-Down Claims (including certain Avoidance Action Defense Costs) and the Residual Wind-Down Costs, as estimated by the Debtors. Should the Residual Wind-Down Claims and the Residual Wind-Down Costs be less than the Residual Wind-Down Assets, any excess funds will be returned to the DIP Lenders. If, collectively, the actual amounts of Residual Wind-Down Claims (including certain Avoidance Action Defense Costs) allowed and the Residual Wind-Down Costs exceed the Residual Wind-Down Assets, the GUC Trust Administrator may be required to set aside from distribution and appropriate Distributable Cash to fund the shortfall. Any such sale of securities would reduce the amount of Distributable Cash (including Dividend Cash) available for distribution to holders of GUC Trust Units. |
Reserves for Expected Costs of Liquidation | Reserves for Expected Costs of Liquidation Under the liquidation basis of accounting, the GUC Trust is required to estimate and accrue the costs associated with implementing the Plan and distributing the GUC Trust’s distributable assets. These costs, described as Wind-Down Costs and Reporting Costs in Note 2, consist principally of professional fees, costs of governance, and other administrative expenses. These amounts may vary significantly due to, among other things, the time and effort required to complete all distributions under the Plan. The GUC Trust has recorded reserves for expected costs of liquidation that represent estimated costs to be incurred over the remaining liquidation period of the GUC Trust for which there is a reasonable basis for estimation. The amount of liquidation costs that will ultimately be incurred depends both on the period of time and on the extent of activities required for the GUC Trust to complete its functions and responsibilities under the Plan and the GUC Trust Agreement. Significant uncertainty remains both as to that time period and as to the extent of those activities. As of March 31, 2016, such remaining liquidation period extends through October 2017 and has been estimated predominantly on a probability-weighted basis, which the GUC Trust believes is the most appropriate measurement basis under the circumstances. Where an outcome is estimated to be likely, the likely outcome has been used as the best estimate and no weight has been given to the unlikely outcome. The remaining liquidation period is dependent predominantly on the estimate of the remaining period of time for resolution of the Term Loan Avoidance Action, as well as certain additional estimated time as necessary to wind down the GUC Trust. It is possible that future developments in the Term Loan Avoidance Action could extend the current estimate of such remaining period of time for resolution and, therefore, extend the estimated remaining liquidation period of the GUC Trust beyond October 2017. As described in Item 3, “Legal Proceedings,” the GUC Trust is participating, as an interested party, in litigation involving certain General Motors vehicle recalls. While unlikely at this time, it is possible that such litigation could extend the remaining liquidation period of the GUC Trust beyond October 2017. It is reasonably possible that the GUC Trust’s estimates regarding the costs and remaining liquidation period could change in the near term. As the GUC Trust incurs such costs, the reserves are released to offset the costs incurred and a liability to the service provider is recognized as an accounts payable or accrued expense until paid. In addition, because the GUC Trust only records reserves for expected costs for which there is a reasonable basis for estimation under applicable U.S. GAAP, additional costs may be identified from time to time for which additional reserves must be recorded. As such costs are identified, the GUC Trust records an increase to its reserves and charges such increase as an addition to such reserves in the Statement of Changes in Net Assets in Liquidation. The process of recording reserves for expected costs of liquidation as a matter of financial reporting is separate and distinct from the process by which Distributable Cash is set aside from distribution for the purposes of funding projected costs of liquidation. Such projected costs are generally estimated on a more conservative (i.e., more inclusive) basis and include contingencies that are not permitted to be accrued in reserves for expected costs of liquidation under applicable U.S. GAAP. For a more complete description of the process of setting aside Distributable Cash to fund projected costs and potential liabilities of the GUC Trust, see Item 7. “Management’s Discussion and Analysis of Financial Condition and Results of Operations—Net Assets in Liquidation” under the heading “—Distributable Cash Set Aside from Distribution” above. |
Income Taxes | Income Taxes The GUC Trust is considered to be a “Disputed Ownership Fund” pursuant to Treasury Regulation Section 1.468B-9. Because all of the assets that have been transferred to the GUC Trust are passive investments, the GUC Trust will be taxed as a Qualified Settlement Fund (or QSF) pursuant to Treasury Regulation Section 1.468B-9(c)(1)(ii). The QSF tax status of the GUC Trust has been approved by the Internal Revenue Service in a private letter ruling issued on March 2, 2011. In general, a QSF is considered to be a C Corporation but pays Federal income tax using trust income tax rates on its modified gross income. Modified gross income includes gross income pursuant to Internal Revenue Code Section 61 less administrative expenses, certain losses from the sale, exchange or worthlessness of property, and net operating losses. In general, a Disputed Ownership Fund taxed as a QSF does not recognize gross income on assets transferred to it; therefore, the GUC Trust has not recognized gross income on the transfer of assets from MLC. The GUC Trust generates gross income in the form of interest and dividend income (including dividends received on its previous holdings of New GM Common Stock) and recognizes gains and/or losses upon its disposition of shares of New GM Common Stock and New GM Warrants, which are reduced by administrative expenses and accumulated net operating and capital losses, to compute modified gross income. As the GUC Trust is taxable for Federal income tax purposes, a current income tax liability or asset, if any, is recognized for estimated taxes payable or receivable for the year. Deferred tax liabilities and assets are recognized for the estimated future tax effects of temporary differences between financial reporting and tax accounting. Deferred tax assets are reviewed for recoverability and valuation allowances are provided as necessary. The GUC Trust is not subject to state income taxes under current law. Accordingly, no current or deferred state income tax liabilities and assets are recorded. The GUC Trust recognizes the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authority, based on the technical merits of the position, review of available evidence and consultation with GUC Trust professionals. The GUC Trust’s tax liability with respect to its federal income tax returns for the year ended March 31, 2015 and all prior years are no longer subject to examination as a result of the application of Section 505(b) of the Bankruptcy Code. However, remaining capital loss carryovers that were generated in those years from the new tax position, combined with net capital gains generated in the year ended March 31, 2016, which aggregate $182.4 million, along with net operating loss carryovers generated through March 31, 2016 aggregating $101.5 million, could be subject to examination by the Internal Revenue Service in subsequent years when those losses are utilized. As of March 31, 2016, there are no known items which would result in a significant accrual for uncertain tax positions. The process of recognizing deferred tax assets and liabilities and any current income taxes payable as a matter of financial reporting is separate and distinct from the process by which Distributable Cash is set aside from distribution for the purposes of funding potential income tax liabilities. Such potential income tax liabilities are generally estimated on a more conservative (i.e., more inclusive) basis and include amounts of potential income tax liabilities beyond the amounts that are permitted to be recorded under applicable accounting standards. For a more complete description of the process of setting aside Distributable Cash to fund projected costs and potential income tax liabilities of the GUC Trust, see Item 7. “Management’s Discussion and Analysis of Financial Condition and Results of Operations—Net Assets in Liquidation” under the heading “—Distributable Cash Set Aside from Distribution” above. |
Use of Estimates | Use of Estimates The preparation of financial statements on the liquidation basis in conformity with U.S. GAAP requires the use of estimates and assumptions that affect the reported amounts of assets and liabilities. These estimates are subject to known and unknown risks, uncertainties and other factors that could materially impact the amounts reported and disclosed in the financial statements and related footnotes. Significant estimates include the anticipated amounts and timing of future cash flows for expected dividends to be received on holdings of New GM Common Stock (as of March 31, 2015 only), estimated investment income expected to be received, expected liquidation costs, Residual Wind-Down Claims and Costs, and fair value of marketable securities. Actual results could differ from those estimates. |
Recent Accounting Standards | Recent Accounting Standards Changes to U.S. GAAP are made by the FASB in the form of accounting standards updates (ASU’s) to the FASB’s Accounting Standards Codification. The GUC Trust considers the applicability and impact of all ASU’s. ASU’s not noted herein were assessed and determined to be not applicable. |
Net Assets in Liquidation (Tabl
Net Assets in Liquidation (Tables) | 12 Months Ended |
Mar. 31, 2016 | |
Text Block [Abstract] | |
Schedule of Cash and Cash Equivalent and Marketable Securities | As of March 31, 2016 and 2015, cash and cash equivalents and marketable securities aggregated $665.5 million and $68.4 million and are comprised of the following: (in thousands) 2016 2015 Distributable Cash (including associated Dividend Cash) $ 620,866 $ 17,034 Residual Wind-Down Assets 22,003 28,158 Other Administrative Cash 13,533 14,477 Administrative Fund 8,226 8,258 Funds for Indenture Trustee/Fiscal Paying Agent Costs 311 373 Other 594 127 Total $ 665,533 $ 68,427 |
Schedule of GUC Trust Units | The following presents the changes during the years ended March 31, 2016, 2015 and 2014 in the numbers of GUC Trust Units outstanding or for which the GUC Trust was obligated to issue: Year Ended Year Ended Year Ended Outstanding or issuable at beginning of year 31,853,702 31,853,702 30,227,314 Issued during the year (1) 56 10,326 1,644,941 Less: Issuable at beginning of year (2) — (10,326 ) (28,879 ) Add: Issuable at end of year (2) — — 10,326 Outstanding or issuable at end of year (3) 31,853,758 31,853,702 31,853,702 (1) Of the 1,644,941 GUC Trust Units issued during the year ended March 31, 2014, 1,550,000 related to the Special Nova Scotia Distribution applicable to the Nova Scotia Settlement described in Note 5. (2) The number of GUC Trust Units issuable at any time represents GUC Trust Units issuable in respect of Allowed General Unsecured Claims that were newly allowed during the fiscal year. (3) The number of GUC Trust Units outstanding at any time represents GUC Trust Units issued in respect of Allowed General Unsecured Claims that were allowed in prior periods, including GUC Trust Units held by the GUC Trust for the benefit of (a) holders of Allowed General Unsecured Claims who had not yet supplied information required by the GUC Trust in order to effect the initial distribution to which they are entitled and (b) governmental entities that are precluded by applicable law from receiving distributions of GUC Trust Units. |
Allowed and Disputed General Unsecured Claims and Potential Term Loan Avoidance Action Claims | The following table presents a summary of activity with respect to the Allowed and Disputed General Unsecured Claims and Term Loan Avoidance Action Claims for the years ended March 31, 2016 and 2015: (in thousands) Allowed General Disputed General Term Loan Maximum Total Claim Total, March 31, 2014 $ 31,853,630 $ 79,500 $ 1,500,000 $ 1,579,500 $ 33,433,130 New Allowed General Unsecured Claims — — — — — Disputed General Unsecured Claims resolved or disallowed — (9,500 ) — (9,500 ) (9,500 ) Total, March 31, 2015 31,853,630 70,000 1,500,000 1,570,000 33,423,630 New Allowed General Unsecured Claims 55 — — — 55 Disputed General Unsecured Claims resolved or disallowed — — (55 ) (55 ) (55 ) Total, March 31, 2016 $ 31,853,685 $ 70,000 $ 1,499,945 $ 1,569,945 $ 33,423,630 (1) Maximum Amount of Unresolved Claims represents the sum of Disputed General Unsecured Claims and Term Loan Avoidance Action Claims. (2) Total Claim Amount represents the sum of Allowed General Unsecured Claims and Maximum Amount of Unresolved Claims. |
Liquidating Distributions (Tabl
Liquidating Distributions (Tables) | 12 Months Ended |
Mar. 31, 2016 | |
Text Block [Abstract] | |
Schedule of Liquidating Distributions | Liquidating distributions in the years ended March 31, 2016, 2015 and 2014 consisted of the following: (in thousands) 2016 2015 2014 Distributions during the year $ 130,248 $ 244,326 $ 1,180,208 Less: Liquidating distributions payable at beginning of year (7,714 ) (42,111 ) (16,555 ) Add: Liquidating distributions payable at end of year 6,213 7,714 42,111 Total $ 128,747 $ 209,929 $ 1,205,764 |
Holdings of New GM Securities18
Holdings of New GM Securities at March 31, 2015 (Tables) | 12 Months Ended |
Mar. 31, 2016 | |
Text Block [Abstract] | |
Holdings of Securities for Trust Beneficiaries | As of March 31, 2015, the then Holdings of New GM Securities, at fair value, consisted of the following: March 31, 2015 Number Fair Value New GM Common Stock 11,390,701 $ 427,151 New GM Series A Warrants 10,354,971 287,351 New GM Series B Warrants 10,354,971 203,475 Total $ 917,977 |
Securities Pending Distribution or were Set Aside | Set forth below are the aggregate number and fair value of all such shares and warrants which were pending distribution or were set aside and were not available for distribution at March 31, 2015. March 31, 2015 Number Fair Value New GM Common Stock 4,618,904 $ 173,209 New GM Series A Warrants 4,198,901 116,520 New GM Series B Warrants 4,198,901 82,508 Total $ 372,237 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Mar. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Assets and Liabilities Measured at Fair Value on Recurring Basis | The following table presents information about the GUC Trust’s assets and liabilities measured at fair value on a recurring basis at March 31, 2016 and 2015, and the valuation techniques used by the GUC Trust to determine those fair values. March 31, 2016 (in thousands) Level 1 Level 2 Level 3 Total Assets: Cash equivalents: Money market funds $ 1,835 $ — $ — $ 1,835 Marketable Securities: U.S. Treasury bills — 655,121 — 655,121 U.S. government agency securities — 6,002 — 6,002 Total Assets $ 1,835 $ 661,123 $ — $ 662,958 Liabilities: Liquidating distributions payable $ 6,213 $ — $ — $ 6,213 March 31, 2015 (in thousands) Level 1 Level 2 Level 3 Total Assets: Cash equivalents: Money market funds $ 19,150 $ — $ — $ 19,150 Marketable Securities: Municipal commercial paper and demand notes — 12,064 — 12,064 Corporate commercial paper — 18,880 — 18,880 Holdings of New GM Securities: New GM Common Stock 427,151 — — 427,151 New GM Warrants 490,826 — — 490,826 Total Assets $ 937,127 $ 30,944 $ — $ 968,071 Liabilities: Liquidating distributions payable $ 7,714 $ — $ — $ 7,714 |
Reserves for Expected Costs o20
Reserves for Expected Costs of Liquidation and Residual Wind-Down Claims (Tables) | 12 Months Ended |
Mar. 31, 2016 | |
Text Block [Abstract] | |
Summary of Activity in Reserves for Expected Costs of Liquidation | The following is a summary of the activity in the reserves for expected costs of liquidation for the years ended March 31, 2016, 2015 and 2014: (in thousands) Reserve for Wind-Down Reserve for Reserve for Reserve for Reserve for Wind-Down Total Reserves Balance, March 31, 2013 $ 38,043 $ 20,442 $ 499 $ 898 $ 1,631 $ 61,513 Less reductions in reserves (3,843 ) (4,067 ) — — — (7,910 ) Less liquidation costs incurred: Trust Professionals (7,736 ) (2,013 ) — (898 ) (373 ) (11,020 ) Trust Governance (3,888 ) (1,799 ) (35 ) — — (5,722 ) Other Administrative Expenses (47 ) (328 ) — — — (375 ) Balance, March 31, 2014 22,529 12,235 464 — 1,258 36,486 Plus additions to reserves 8,962 413 — — — 9,375 Less liquidation costs incurred: Trust Professionals (6,834 ) (1,870 ) — — (35 ) (8,739 ) Trust Governance (3,537 ) (1,801 ) (100 ) — — (5,438 ) Other Administrative Expenses (31 ) (375 ) — — — (406 ) Balance, March 31, 2015 21,089 8,602 364 — 1,223 31,278 Plus additions to reserves 5,592 2,119 — — — 7,711 Less liquidation costs incurred: Trust Professionals (5,625 ) (2,291 ) — — (11 ) (7,927 ) Trust Governance (3,438 ) (1,800 ) (71 ) — — (5,309 ) Other Administrative Expenses (891 ) (251 ) — — — (1,142 ) Balance, March 31, 2016 $ 16,727 $ 6,379 $ 293 $ — $ 1,212 $ 24,611 |
Summary of Activity in Reserves for Residual Wind-Down Claims | The following is a summary of the activity in the reserves for Residual Wind-Down Claims for the years ended March 31, 2016, 2015 and 2014: (in thousands) 2016 2015 2014 Balance, beginning of year $ 25,406 $ 28,698 $ 30,855 Less claims allowed during the year (6,661 ) (3,292 ) (2,157 ) Balance, end of year $ 18,745 $ 25,406 $ 28,698 |
Income Tax Benefit (Tables)
Income Tax Benefit (Tables) | 12 Months Ended |
Mar. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Summary of Deferred Taxes | Deferred taxes in the accompanying Statement of Net Assets in Liquidation at March 31, 2016 and 2015 are comprised of the following components: (in thousands) 2016 2015 Deferred tax assets: Reserves for expected costs of liquidation $ 9,421 $ 10,066 Net operating and capital loss carryovers 112,442 108,227 Gross deferred tax assets 121,863 118,293 Less: Valuation allowance (121,486 ) (35,966 ) Deferred tax asset, net of valuation allowance 377 82,327 Deferred tax liabilities: Fair value in excess of tax basis of holdings of New GM Securities (— ) (71,560 ) Accrued investment income (377 ) (10,767 ) Gross deferred tax liabilities (377 ) (82,327 ) Net deferred taxes $ — $ — |
Purpose of Trust - Additional I
Purpose of Trust - Additional Information (Detail) - New GM Common Stock [Member] - USD ($) $ / shares in Units, $ in Millions | Aug. 05, 2015 | Jul. 07, 2015 |
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items] | ||
Number of converted New GM Series A Warrants | 10,352,556 | |
Number of shares of New GM Common Stock received in conversion of New GM Series A Warrants | 7,407,155 | |
Number of converted New GM Series B Warrants | 10,352,556 | |
Number of shares of New GM Common Stock received in conversion of New GM Series B Warrants | 4,953,635 | |
Net proceeds from the liquidation of New GM Securities | $ 741.7 | |
Conversion rate for New GM Series A Warrants into New GM Common Stock | 71.549% | |
Conversion rate for New GM Series B Warrants into New GM Common Stock | 47.849% | |
Net weighted average sales price, net of expenses, for New GM Common Stock sold after June 30, 2015 | $ 31.23 |
Plan of Liquidation - Additiona
Plan of Liquidation - Additional Information (Detail) - USD ($) | 1 Months Ended | 12 Months Ended | 52 Months Ended | 60 Months Ended | ||||
Dec. 31, 2015 | Mar. 31, 2016 | Aug. 05, 2015 | Dec. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2012 | Dec. 15, 2011 | Mar. 31, 2011 | |
Class of Warrant or Right [Line Items] | ||||||||
Allowed General Unsecured Claims | $ 29,771,000,000 | |||||||
Disputed General Unsecured Claims | $ 20,000,000 | 8,154,000,000 | ||||||
Total aggregate amount of general unsecured claims, both allowed and disputed inclusive of potential Term Loan Avoidance Action Claims | 39,425,000,000 | |||||||
Reserve for Disputed General Unsecured Claims | 50,000,000 | |||||||
Amount of Term Loan Avoidance Action | 1,500,000,000 | |||||||
Dividends received | $ 24,700,000 | |||||||
Contribution from MLC | 52,700,000 | |||||||
Initial Reporting Cash | $ 5,700,000 | |||||||
Appropriated Distributable Cash | $ 12,000,000 | |||||||
Aggregate Other Administrative Cash | 13,500,000 | |||||||
Distributable Cash set aside for projected Trust fees, costs and expenses | 47,100,000 | |||||||
Distributable Cash set aside for potential income taxes on dividends received on Holdings of Common Stock | 2,300,000 | |||||||
Distributable Cash set aside for potential Taxes on Distribution | 107,500,000 | |||||||
Capital loss carryovers | 182,400,000 | |||||||
Net operating loss carryovers | 101,500,000 | |||||||
Residual Wind-Down Assets | $ 42,800,000 | |||||||
Residual Wind-Down Assets cash and cash equivalents and marketable securities | 40,000,000 | |||||||
Cash received to fund Avoidance Action Defense Costs | 1,400,000 | |||||||
Residual wind-down assets transferred benefit in prepaid expenses | 2,800,000 | |||||||
Avoidance action defense costs in excess of corresponding cash | 10,600,000 | |||||||
Residual Wind-Down Assets held by the GUC Trust aggregated | 22,000,000 | |||||||
Remaining Residual Wind-Down Claims | 500,000 | |||||||
Cash received for funding Indenture Trustee Fiscal and Paying Agent Costs and Reporting Costs | 3,400,000 | |||||||
Funds for Indenture Trustee/Fiscal Paying Agent Costs | $ 300,000 | |||||||
Cash received for indenture trustee and paying agent costs | 1,400,000 | |||||||
Cash received for reporting cash | $ 2,000,000 | |||||||
New GM Series A Warrants [Member] | ||||||||
Class of Warrant or Right [Line Items] | ||||||||
Distributable assets number of securities called by warrants | 136,363,635 | |||||||
Exercise price per share | $ 10 | |||||||
Warrants expiration date | Jul. 10, 2016 | |||||||
Number of securities sold to fund costs and expenses | 948,887 | |||||||
New GM Series B Warrants [Member] | ||||||||
Class of Warrant or Right [Line Items] | ||||||||
Distributable assets number of securities called by warrants | 136,363,635 | |||||||
Exercise price per share | $ 18.33 | |||||||
Warrants expiration date | Jul. 10, 2019 | |||||||
Number of securities sold to fund costs and expenses | 948,887 | |||||||
New GM Securities [Member] | ||||||||
Class of Warrant or Right [Line Items] | ||||||||
Aggregate sales of new GM Securities to fund costs and expenses | $ 61,700,000 | |||||||
Aggregate dividend cash associated with sales of New GM Securities to fund costs | $ 200,000 | |||||||
Cash and Cash Equivalents and Marketable Securities [Member] | ||||||||
Class of Warrant or Right [Line Items] | ||||||||
Remaining Administrative Fund aggregated | $ 8,226,000 | $ 8,258,000 | ||||||
Aggregate Other Administrative Cash | 13,533,000 | 14,477,000 | ||||||
Residual Wind-Down Assets | 22,003,000 | 28,158,000 | ||||||
Funds for Indenture Trustee/Fiscal Paying Agent Costs | $ 311,000 | $ 373,000 | ||||||
New GM Common Stock [Member] | ||||||||
Class of Warrant or Right [Line Items] | ||||||||
Distributable assets number of securities | 150,000,000 | |||||||
Securities authorized for sale | $ 13,700,000 | |||||||
Number of securities sold to fund costs and expenses | 1,043,801 |
Basis of Presentation and Sig24
Basis of Presentation and Significant Accounting Policies - Additional Information (Detail) $ in Millions | 12 Months Ended |
Mar. 31, 2016USD ($) | |
Accounting Policies [Abstract] | |
Liquidation date | Oct. 31, 2017 |
Net operating loss carryovers | $ 101.5 |
Capital loss carryovers | $ 182.4 |
Net Assets in Liquidation - Add
Net Assets in Liquidation - Additional Information (Detail) | Mar. 31, 2011USD ($)Unit | Mar. 31, 2016USD ($) | Mar. 31, 2015USD ($) |
Net Assets in Liquidation [Line Items] | |||
Distributable Assets | $ 464,300,000 | ||
Cash and cash equivalents and marketable securities | 665,500,000 | $ 68,400,000 | |
Liquidating distributions payable in Distributable Cash for Excess GUC Trust Distributable Assets | 4,300,000 | ||
Distributable Cash set aside for projected Trust fees, costs and expenses | 47,100,000 | ||
Distributable Cash set aside for projected Dividend Taxes and Investment Income Taxes | 2,300,000 | ||
Distributable Cash set aside for potential Taxes on Distribution | 107,500,000 | ||
Distributable cash pending distribution or set aside and not available for distribution | 160,800,000 | ||
Number of Trust Units issued per thousand dollars of allowed general unsecured claims | Unit | 1 | ||
Amount required to issue one Trust Unit per contingent rights | $ 1,000 | ||
Avoidance Action Trust Proposed Agreement [Member] | |||
Net Assets in Liquidation [Line Items] | |||
Term loan avoidance action claims allowed | 55,000 | ||
Liquidation Basis of Accounting [Member] | |||
Net Assets in Liquidation [Line Items] | |||
Liquidating distributions payable | $ 6,213,000 | 7,714,000 | |
Accrued Dividends on Holdings of New GM Common Stock | 26,524,000 | ||
Dividend Expected To Be Declared [Member] | Liquidation Basis of Accounting [Member] | |||
Net Assets in Liquidation [Line Items] | |||
Accrued Dividends on Holdings of New GM Common Stock | $ 22,400,000 |
Net Assets in Liquidation - Sch
Net Assets in Liquidation - Schedule of Cash and Cash Equivalent and Marketable Securities (Detail) - USD ($) $ in Thousands | Mar. 31, 2016 | Mar. 31, 2015 | Dec. 15, 2011 |
Cash and Cash Equivalents [Line Items] | |||
Residual Wind-Down Assets | $ 42,800 | ||
Other Administrative Cash | $ 13,500 | ||
Funds for Indenture Trustee/Fiscal Paying Agent Costs | 300 | ||
Total | 665,500 | $ 68,400 | |
Cash and Cash Equivalents and Marketable Securities [Member] | |||
Cash and Cash Equivalents [Line Items] | |||
Distributable Cash (including associated Dividend Cash) | 620,866 | 17,034 | |
Residual Wind-Down Assets | 22,003 | 28,158 | |
Other Administrative Cash | 13,533 | 14,477 | |
Administrative Fund | 8,226 | 8,258 | |
Funds for Indenture Trustee/Fiscal Paying Agent Costs | 311 | 373 | |
Other | 594 | 127 | |
Total | $ 665,533 | $ 68,427 |
Net Assets in Liquidation - S27
Net Assets in Liquidation - Schedule of GUC Trust Units (Detail) - Trust | 12 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2014 | |
Net Assets [Abstract] | |||
Outstanding or issuable at beginning of year | 31,853,702 | 31,853,702 | 30,227,314 |
Issued during the year | 56 | 10,326 | 1,644,941 |
Less: Issuable at beginning of year | (10,326) | (28,879) | |
Add: Issuable at end of year | 10,326 | ||
Outstanding or issuable at end of year | 31,853,758 | 31,853,702 | 31,853,702 |
Net Assets in Liquidation - S28
Net Assets in Liquidation - Schedule of GUC Trust Units (Parenthetical) (Detail) - Trust | Dec. 02, 2013 | Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2014 |
Schedule Of GUC Trust Units [Line Items] | ||||
Distribution of trust units | 56 | 10,326 | 1,644,941 | |
Nova Scotia Matter [Member] | ||||
Schedule Of GUC Trust Units [Line Items] | ||||
Distribution of trust units | 1,550,000 | 1,550,000 |
Net Assets in Liquidation - All
Net Assets in Liquidation - Allowed and Disputed General Unsecured Claims and Potential Term Loan Avoidance Action Claims (Detail) - USD ($) | 12 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Extinguishment of Debt [Line Items] | ||
Beginning balance | $ 33,423,630,000 | $ 33,433,130,000 |
New Allowed General Unsecured Claims | 55,000 | |
Disputed General Unsecured Claims resolved or disallowed | (55,000) | (9,500,000) |
Ending balance | 33,423,630,000 | 33,423,630,000 |
Allowed General Unsecured Claims [Member] | ||
Extinguishment of Debt [Line Items] | ||
Beginning balance | 31,853,630,000 | 31,853,630,000 |
New Allowed General Unsecured Claims | 55,000 | |
Ending balance | 31,853,685,000 | 31,853,630,000 |
Disputed General Unsecured Claims [Member] | ||
Extinguishment of Debt [Line Items] | ||
Beginning balance | 70,000,000 | 79,500,000 |
Disputed General Unsecured Claims resolved or disallowed | (9,500,000) | |
Ending balance | 70,000,000 | 70,000,000 |
Term Loan Avoidance Action Claims [Member] | ||
Extinguishment of Debt [Line Items] | ||
Beginning balance | 1,500,000,000 | 1,500,000,000 |
Disputed General Unsecured Claims resolved or disallowed | (55,000) | |
Ending balance | 1,499,945,000 | 1,500,000,000 |
Maximum Amount of Unresolved Claims [Member] | ||
Extinguishment of Debt [Line Items] | ||
Beginning balance | 1,570,000,000 | 1,579,500,000 |
Disputed General Unsecured Claims resolved or disallowed | (55,000) | (9,500,000) |
Ending balance | $ 1,569,945,000 | $ 1,570,000,000 |
Liquidating Distributions - Sch
Liquidating Distributions - Schedule of Liquidating Distributions (Detail) - Liquidation Basis of Accounting [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2014 | |
Distribution Made to Limited Liability Company (LLC) Member [Line Items] | |||
Distributions during the year | $ 130,248 | $ 244,326 | $ 1,180,208 |
Less: Liquidating distributions payable at beginning of year | (7,714) | (42,111) | (16,555) |
Add: Liquidating distributions payable at end of year | 6,213 | 7,714 | 42,111 |
Total | $ 128,747 | $ 209,929 | $ 1,205,764 |
Liquidating Distributions - Add
Liquidating Distributions - Additional Information (Detail) $ in Millions | Dec. 02, 2013Trustshares | Oct. 21, 2013USD ($) | Mar. 31, 2016USD ($)Trust | Mar. 31, 2015USD ($)Trustshares | Mar. 31, 2014Trust | Dec. 23, 2013shares |
Distribution Made to Limited Partner [Line Items] | ||||||
Distribution of trust units | Trust | 56 | 10,326 | 1,644,941 | |||
Cash distributions payable | $ | $ 6.2 | $ 0.2 | ||||
Nova Scotia Matter [Member] | ||||||
Distribution Made to Limited Partner [Line Items] | ||||||
Disputed General Unsecured Claims Allowed | $ | $ 1,550 | |||||
Distribution of trust units | Trust | 1,550,000 | 1,550,000 | ||||
Nova Scotia Matter [Member] | 8.375% Guaranteed Notes Due December 7, 2015 [Member] | ||||||
Distribution Made to Limited Partner [Line Items] | ||||||
Nova Scotia Claims guaranteed notes interest rate | 8.375% | |||||
Nova Scotia Claims guaranteed notes maturity date | Dec. 7, 2015 | |||||
Nova Scotia Matter [Member] | 8.875% Guaranteed Notes Due July 10, 2023 [Member] | ||||||
Distribution Made to Limited Partner [Line Items] | ||||||
Nova Scotia Claims guaranteed notes interest rate | 8.875% | |||||
Nova Scotia Claims guaranteed notes maturity date | Jul. 10, 2023 | |||||
New GM Common Stock [Member] | ||||||
Distribution Made to Limited Partner [Line Items] | ||||||
Special excess distribution | 6,735,070 | |||||
GUC Trust distribution obligation | 93,114 | |||||
New GM Common Stock [Member] | Nova Scotia Matter [Member] | ||||||
Distribution Made to Limited Partner [Line Items] | ||||||
Settlement distribution | 6,174,015 | |||||
New GM Series A Warrants [Member] | ||||||
Distribution Made to Limited Partner [Line Items] | ||||||
Special excess distribution | 6,122,789 | |||||
GUC Trust distribution obligation | 84,570 | |||||
New GM Series A Warrants [Member] | Nova Scotia Matter [Member] | ||||||
Distribution Made to Limited Partner [Line Items] | ||||||
Settlement distribution | 5,612,741 | |||||
New GM Series B Warrants [Member] | ||||||
Distribution Made to Limited Partner [Line Items] | ||||||
Special excess distribution | 6,122,789 | |||||
GUC Trust distribution obligation | 84,570 | |||||
New GM Series B Warrants [Member] | Nova Scotia Matter [Member] | ||||||
Distribution Made to Limited Partner [Line Items] | ||||||
Settlement distribution | 5,612,741 |
Holdings of New GM Securities32
Holdings of New GM Securities at March 31, 2015 - Holdings of Securities for Trust Beneficiaries (Detail) - Liquidation Basis of Accounting [Member] $ in Thousands | Mar. 31, 2015USD ($)shares |
Summary of Investment Holdings [Line Items] | |
Fair Value | $ 917,977 |
New GM Common Stock [Member] | |
Summary of Investment Holdings [Line Items] | |
Number | shares | 11,390,701 |
Fair Value | $ 427,151 |
New GM Series A Warrants [Member] | |
Summary of Investment Holdings [Line Items] | |
Number | shares | 10,354,971 |
Fair Value | $ 287,351 |
New GM Series B Warrants [Member] | |
Summary of Investment Holdings [Line Items] | |
Number | shares | 10,354,971 |
Fair Value | $ 203,475 |
Holdings of New GM Securities33
Holdings of New GM Securities at March 31, 2015 - Additional Information (Detail) - USD ($) $ in Thousands | Mar. 31, 2016 | Mar. 31, 2015 |
Summary of Investment Holdings [Line Items] | ||
Liquidating distributions payable in cash | $ 6,200 | $ 200 |
New GM Securities reserved and set aside for projected GUC Trust fees, costs and expenses | 67,500 | |
New GM Securities set aside for potential Taxes on Distribution | 297,200 | |
Projected Dividend Taxes | 19,400 | |
Liquidation Basis of Accounting [Member] | ||
Summary of Investment Holdings [Line Items] | ||
Liquidating distributions payable | $ 6,213 | 7,714 |
New GM Securities [Member] | Liquidation Basis of Accounting [Member] | ||
Summary of Investment Holdings [Line Items] | ||
Liquidating distributions payable | $ 7,700 | |
New GM Common Stock [Member] | ||
Summary of Investment Holdings [Line Items] | ||
Number of warrants or shares pending distribution | 93,114 | |
Number of securities set aside from distribution | 4,525,790 | |
New GM Series A Warrants [Member] | ||
Summary of Investment Holdings [Line Items] | ||
Number of warrants or shares pending distribution | 84,570 | |
Number of warrants set aside from distribution | 4,114,331 | |
New GM Series B Warrants [Member] | ||
Summary of Investment Holdings [Line Items] | ||
Number of warrants or shares pending distribution | 84,570 | |
Number of warrants set aside from distribution | 4,114,331 |
Holdings of New GM Securities34
Holdings of New GM Securities at March 31, 2015 - Securities Pending Distribution or were Set Aside (Detail) $ in Thousands | Mar. 31, 2015USD ($)shares |
Summary of Investment Holdings [Line Items] | |
Fair Value | $ 372,237 |
New GM Common Stock [Member] | |
Summary of Investment Holdings [Line Items] | |
Number | shares | 4,618,904 |
Fair Value | $ 173,209 |
New GM Series A Warrants [Member] | |
Summary of Investment Holdings [Line Items] | |
Number | shares | 4,198,901 |
Fair Value | $ 116,520 |
New GM Series B Warrants [Member] | |
Summary of Investment Holdings [Line Items] | |
Number | shares | 4,198,901 |
Fair Value | $ 82,508 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) - USD ($) | 12 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Transfers between fair value amount | $ 0 | $ 0 |
Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets measured | 0 | 0 |
Liquidating distributions payable | $ 0 | $ 0 |
Fair Value Measurements - Asset
Fair Value Measurements - Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - Liquidation Basis of Accounting [Member] - USD ($) $ in Thousands | Mar. 31, 2016 | Mar. 31, 2015 |
LIABILITIES | ||
Liquidating distributions payable | $ 6,213 | $ 7,714 |
Fair Value, Measurements, Recurring [Member] | ||
ASSETS | ||
Total Assets | 662,958 | 968,071 |
LIABILITIES | ||
Liquidating distributions payable | 6,213 | 7,714 |
Fair Value, Measurements, Recurring [Member] | Cash Equivalents [Member] | Money Market Funds [Member] | ||
ASSETS | ||
Total Assets | 1,835 | 19,150 |
Fair Value, Measurements, Recurring [Member] | Marketable Securities [Member] | U.S. Treasury Bills [Member] | ||
ASSETS | ||
Total Assets | 655,121 | |
Fair Value, Measurements, Recurring [Member] | Marketable Securities [Member] | U.S. Government Agency Securities [Member] | ||
ASSETS | ||
Total Assets | 6,002 | |
Fair Value, Measurements, Recurring [Member] | Marketable Securities [Member] | Municipal Commercial Paper and Variable Demand Notes [Member] | ||
ASSETS | ||
Total Assets | 12,064 | |
Fair Value, Measurements, Recurring [Member] | Marketable Securities [Member] | Corporate Commercial Paper [Member] | ||
ASSETS | ||
Total Assets | 18,880 | |
Fair Value, Measurements, Recurring [Member] | Holdings of New GM Securities [Member] | New GM Common Stock [Member] | ||
ASSETS | ||
Total Assets | 427,151 | |
Fair Value, Measurements, Recurring [Member] | Holdings of New GM Securities [Member] | New GM Warrants [Member] | ||
ASSETS | ||
Total Assets | 490,826 | |
Fair Value, Measurements, Recurring [Member] | Level 1 [Member] | ||
ASSETS | ||
Total Assets | 1,835 | 937,127 |
LIABILITIES | ||
Liquidating distributions payable | 6,213 | 7,714 |
Fair Value, Measurements, Recurring [Member] | Level 1 [Member] | Cash Equivalents [Member] | Money Market Funds [Member] | ||
ASSETS | ||
Total Assets | 1,835 | 19,150 |
Fair Value, Measurements, Recurring [Member] | Level 1 [Member] | Holdings of New GM Securities [Member] | New GM Common Stock [Member] | ||
ASSETS | ||
Total Assets | 427,151 | |
Fair Value, Measurements, Recurring [Member] | Level 1 [Member] | Holdings of New GM Securities [Member] | New GM Warrants [Member] | ||
ASSETS | ||
Total Assets | 490,826 | |
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | ||
ASSETS | ||
Total Assets | 661,123 | 30,944 |
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | Marketable Securities [Member] | U.S. Treasury Bills [Member] | ||
ASSETS | ||
Total Assets | 655,121 | |
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | Marketable Securities [Member] | U.S. Government Agency Securities [Member] | ||
ASSETS | ||
Total Assets | $ 6,002 | |
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | Marketable Securities [Member] | Municipal Commercial Paper and Variable Demand Notes [Member] | ||
ASSETS | ||
Total Assets | 12,064 | |
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | Marketable Securities [Member] | Corporate Commercial Paper [Member] | ||
ASSETS | ||
Total Assets | $ 18,880 |
Reserves for Expected Costs o37
Reserves for Expected Costs of Liquidation and Residual Wind-Down Claims - Summary of Activity in Reserves for Expected Costs of Liquidation (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2014 | |
Restructuring Cost and Reserve [Line Items] | |||
Beginning Balance | $ 31,278 | $ 36,486 | $ 61,513 |
Plus additions to (reductions in) reserves | 7,711 | 9,375 | (7,910) |
Less liquidation costs incurred : | |||
Ending Balance | 24,611 | 31,278 | 36,486 |
Liquidation Basis of Accounting [Member] | Trust Professionals [Member] | |||
Less liquidation costs incurred : | |||
Liquidation costs incurred | (7,927) | (8,739) | (11,020) |
Liquidation Basis of Accounting [Member] | Trust Governance [Member] | |||
Less liquidation costs incurred : | |||
Liquidation costs incurred | (5,309) | (5,438) | (5,722) |
Liquidation Basis of Accounting [Member] | Other Administrative Expenses [Member] | |||
Less liquidation costs incurred : | |||
Liquidation costs incurred | (1,142) | (406) | (375) |
Reserve for Expected Wind-Down Costs [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Beginning Balance | 21,089 | 22,529 | 38,043 |
Plus additions to (reductions in) reserves | 5,592 | 8,962 | (3,843) |
Less liquidation costs incurred : | |||
Ending Balance | 16,727 | 21,089 | 22,529 |
Reserve for Expected Wind-Down Costs [Member] | Liquidation Basis of Accounting [Member] | Trust Professionals [Member] | |||
Less liquidation costs incurred : | |||
Liquidation costs incurred | (5,625) | (6,834) | (7,736) |
Reserve for Expected Wind-Down Costs [Member] | Liquidation Basis of Accounting [Member] | Trust Governance [Member] | |||
Less liquidation costs incurred : | |||
Liquidation costs incurred | (3,438) | (3,537) | (3,888) |
Reserve for Expected Wind-Down Costs [Member] | Liquidation Basis of Accounting [Member] | Other Administrative Expenses [Member] | |||
Less liquidation costs incurred : | |||
Liquidation costs incurred | (891) | (31) | (47) |
Reserve for Expected Reporting Costs [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Beginning Balance | 8,602 | 12,235 | 20,442 |
Plus additions to (reductions in) reserves | 2,119 | 413 | (4,067) |
Less liquidation costs incurred : | |||
Ending Balance | 6,379 | 8,602 | 12,235 |
Reserve for Expected Reporting Costs [Member] | Liquidation Basis of Accounting [Member] | Trust Professionals [Member] | |||
Less liquidation costs incurred : | |||
Liquidation costs incurred | (2,291) | (1,870) | (2,013) |
Reserve for Expected Reporting Costs [Member] | Liquidation Basis of Accounting [Member] | Trust Governance [Member] | |||
Less liquidation costs incurred : | |||
Liquidation costs incurred | (1,800) | (1,801) | (1,799) |
Reserve for Expected Reporting Costs [Member] | Liquidation Basis of Accounting [Member] | Other Administrative Expenses [Member] | |||
Less liquidation costs incurred : | |||
Liquidation costs incurred | (251) | (375) | (328) |
Reserve for Indenture Trustee/Fiscal and Paying Agent Costs [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Beginning Balance | 364 | 464 | 499 |
Less liquidation costs incurred : | |||
Ending Balance | 293 | 364 | 464 |
Reserve for Indenture Trustee/Fiscal and Paying Agent Costs [Member] | Liquidation Basis of Accounting [Member] | Trust Governance [Member] | |||
Less liquidation costs incurred : | |||
Liquidation costs incurred | (71) | (100) | (35) |
Reserve for Avoidance Action Defense Costs [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Beginning Balance | 898 | ||
Reserve for Avoidance Action Defense Costs [Member] | Liquidation Basis of Accounting [Member] | Trust Professionals [Member] | |||
Less liquidation costs incurred : | |||
Liquidation costs incurred | (898) | ||
Reserve for Residual Wind-Down Costs [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Beginning Balance | 1,223 | 1,258 | 1,631 |
Less liquidation costs incurred : | |||
Ending Balance | 1,212 | 1,223 | 1,258 |
Reserve for Residual Wind-Down Costs [Member] | Liquidation Basis of Accounting [Member] | Trust Professionals [Member] | |||
Less liquidation costs incurred : | |||
Liquidation costs incurred | $ (11) | $ (35) | $ (373) |
Reserves for Expected Costs o38
Reserves for Expected Costs of Liquidation and Residual Wind-Down Claims - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2014 | |
Restructuring Cost and Reserve [Line Items] | |||
Net increase (decrease in) additions to reserves for Expected Costs of Liquidation | $ 7,711 | $ 9,375 | $ (7,910) |
Expected liquidation period | 2017-10 | ||
Reserve for Expected Wind-Down Costs [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Net increase (decrease in) additions to reserves for Expected Costs of Liquidation | $ 5,592 | 8,962 | (3,843) |
Reserve for Expected Reporting Costs [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Net increase (decrease in) additions to reserves for Expected Costs of Liquidation | $ 2,119 | $ 413 | $ (4,067) |
Reserves for Expected Costs o39
Reserves for Expected Costs of Liquidation and Residual Wind-Down Claims - Summary of Activity in Reserves for Residual Wind-Down Claims (Detail) - Liquidation Basis of Accounting [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2014 | |
Restructuring Cost and Reserve [Line Items] | |||
Balance, beginning of year | $ 25,406 | $ 28,698 | $ 30,855 |
Less claims allowed during the year | (6,661) | (3,292) | (2,157) |
Balance, end of year | $ 18,745 | $ 25,406 | $ 28,698 |
Income Tax Benefit - Additional
Income Tax Benefit - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
Current tax benefit or provision | $ 0 | $ 0 | $ 0 |
Income taxes paid | 0 | 0 | $ 0 |
Deferred tax benefit or provision | 0 | 0 | |
Statutory tax rate | 39.60% | ||
Capital losses carryovers | 182,400,000 | ||
Net operating loss carryovers | $ 101,500,000 | ||
Capital loss carryovers begin to expire | Mar. 31, 2017 | ||
Net operating loss carryovers begin to expire | Mar. 31, 2032 | ||
Deferred tax asset | $ 112,442,000 | 108,227,000 | |
Change in valuation allowance against net deferred tax assets | 85,500,000 | (35,200,000) | |
Deferred tax assets, valuation allowance | $ 121,486,000 | $ 35,966,000 |
Income Tax Benefit - Summary of
Income Tax Benefit - Summary of Deferred Taxes (Detail) - USD ($) $ in Thousands | Mar. 31, 2016 | Mar. 31, 2015 |
Deferred tax assets: | ||
Reserves for expected costs of liquidation | $ 9,421 | $ 10,066 |
Net operating and capital loss carryovers | 112,442 | 108,227 |
Gross deferred tax assets | 121,863 | 118,293 |
Less: Valuation allowance | (121,486) | (35,966) |
Deferred tax asset, net of valuation allowance | 377 | 82,327 |
Deferred tax liabilities: | ||
Fair value in excess of tax basis of holdings of New GM Securities | (71,560) | |
Accrued investment income | (377) | (10,767) |
Gross deferred tax liabilities | (377) | (82,327) |
Net deferred taxes | $ 0 | $ 0 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) - Wilmington Trust Company [Member] - USD ($) | 12 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2014 | |
Related Party Transaction [Line Items] | |||
Indenture trustee fees | $ 0 | $ 0 | $ 0 |
Standard fees and commissions | $ 235,000 | $ 35,000 | $ 53,000 |