DETROIT (AP) -- The government's auto task force has rejected a deal that would allow parts supplier Delphi Corp. to sell its steering business to General Motors Corp., but an agreement still is possible.
GM noted the task force's decision Monday in a filing with the U.S. Securities and Exchange Commission.
The Treasury Department oversees the auto task force. Detroit-based GM needs government approval to buy the Saginaw-based steering division because GM is living on $15.4 billion in government loans.
Troy-based Delphi, GM's former parts division, has been operating under Chapter 11 bankruptcy protection since October 2005. The steering operation employs about 7,730 people globally, including 3,080 in Saginaw.
The sale is to be discussed at a Delphi court hearing May 7.