step 1
GM sells off every asset needed, takes bonus cuts ext... whatever it takes to pay back the government loan.

step 2
tell the gov that they can now bugger off and quit metteling with their business, go file for chp 11 bankruptcy.

step 3
this gets all remaining debt restructured, can disband the union, get rid of legacy benefits and such, concessions will have to be made from top to bottom but now GM can make the cars americans want not the ones the govt says they should want and be profitable again.

the drawbacks:
no more govt contracts for not playing ball, they'l get screwed like ford back during the FDR days, but come out stronger on the other side. but since they can make what the market decides rather than being dictated to the market will win in the end. (that is of course if the govt doesn't make something else up just to hamstring them from competing with their new pet called christler) blue eagle anyone?

now I would buy from a company with testicular fortitude like that and I think many others would too