Delphi, the Troy, Mich.-based auto parts supplier that has been operating under Chapter 11 since 2005, is revising its reorganization plan. According to a report from the Detroit Free Press, Delphi is working with GM and other stakeholders to revise its reorganization plan, which won a bankruptcy judge's approval in January.

Delphi's attempt to emerge from bankruptcy has been slowed by setbacks, including union buyouts and the unexpected pull-out of $2.55 billion in financing from Appaloosa Management in April.

In order to emerge from Chapter 11, Delphi needs to not only attract new financing, but also pay down billions in pension debt, according to the Free Press report. Delphi has a deadline of Sept. 30 to transfer $1.5 billion in pension obligations to its former parent company, General Motors.

Delphi was warned in an Aug. 14 letter from the Pension Benefit Guaranty Corp (PBGC) that if it did not complete the transfer in time and the pension plans fail, the PBGC would have a claim for as much as $8 billion, diluting the interests of Delphi's creditors, said the Free Press report.

A Delphi spokesman said Friday that the company is not looking to liquidate.