German Econ Min: Many Open Questions On Government Aid For Opel
28 Februar 2009 - 5:26PM
Dow Jones News
German government assistance for the European division of
General Motor Corp.'s (GM) is far from certain, given "many open
questions," economics minister Karl-Theodor zu Guttenberg said
Saturday.
His comments followed a conference call with governors of the
German states of North Rhine-Westphalia, Rhineland Pfalz and Hesse,
where factories of the German GM unit Opel are located.
A key issue to resolve is how independent Opel would be from its
parent company in the U.S., zu Guttenberg said.
On Friday, GM's European unit said it will present a plan on how
to save the company in Berlin on Monday. GM Europe President
Carl-Peter Forster, speaking at the Opel brand headquarters near
Ruesselsheim, said Opel requires EUR3.3 billion in capital.
German politicians are under pressure from labor unions to bail
out Opel, GM's largest European brand by far, to help save the
company's 25,000 jobs - a number that more than doubles when
including parts suppliers and other Opel-linked companies.
-By Beate Preuschoff, Dow Jones Newswires, +49 (0)30 - 2888
4122, beate.preuschoff@dowjones.com