KDB: Can Give Cash To GM Daewoo If Parent Commits To Co
23 April 2009 - 10:03AM
Dow Jones News
State-run Korea Development Bank said Thursday that it's willing
to provide liquidity to financially strapped GM Daewoo Auto &
Technology Co. if its parent company in the U.S. is willing to
support the unit.
GM Daewoo is the South Korean unit of General Motors Corp.
(GM)
KDB said in a statement that it will help GM Daewoo if GM
provides a long-term development plan for its Korean unit.
KDB officials met the management of GM Daewoo earlier in the day
for a 30 minute discussion on the possibility of an injection of
liquidity, the statement said.
KDB also recommended GM Daewoo to find means to survive on its
own and discuss them with its U.S. parent.
KDB is the main creditor of GM Daewoo and also owns a 28% stake
in the carmaker.
-By Jin-Young Yook, Dow Jones Newswires; 822-2198-2230;
jin-young.yook@dowjones.com