Ally Financial, in a new public filing, finally admitted that it is weighing bankruptcy protection for its struggling residential mortgage division, which is facing potential additional losses of up to $4 billion.

In a new 10-Q filing that came late Friday, Ally notes that Residential Capital Corp. missed a $20 million bond payment (on $473 million of unsecured debt) and is considering its next course of action which may include the parent company providing more cash to ResCap or a “reorganization under bankruptcy laws.”

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