General Motors Corp. (GM) is expected to hold a news conference Tuesday morning to respond to the White House's rejection of the auto maker's restructuring plan, a source familiar with the plans said.

GM on Monday was scrambling to understand the implications of President Barack Obama's assessment that the auto maker's efforts to save itself are falling short and bankruptcy may be the company's best option.

GM Chief Executive Rick Wagoner was ousted Sunday by the Obama administration as a condition of giving GM another 60 days to craft a plan the government feels will work.

The company is surviving on government loans is seeking as much as $30 billion to avoid stay out of bankruptcy court.

Beyond a brief statement and a public letter from Wagoner, GM has yet to respond publicly to the grim assessment released Sunday by the White House. Administration officials said GM needs to do much more to shrink its global operations, improve its product line and slash debt if the auto maker is to have any hope of survival.

Meantime, the group representing GM bondholders was reviewing the White House documents and plans to make a formal response later Monday, according to a person familiar with GM's talks with bondholders. GM is in talks with the bondholders and the United Auto Workers to reduce the auto maker's massive debt obligations.