GM Europe has moved to quell speculation that its US parent company's move into Chapter 11 bankruptcy protection will affect its operations.
GM Europe began negotiations for the sale of Vauxhall/Opel to a consortium led by Canadian car parts supplier Magna last week. As part of that process, Vauxhall/Opel's assets were placed in a trust, called Adam Opel GmbH, to separate it from GM in America.
Click here to read GM files for Chapter 11
Click here to read a brief history of GM
Click here to read Magna agrees Vauxhall/Opel deal
GM: a positive future, a memorable past
During this time it is being financed by a bridge loan from the German government, and the trustee agreement is structured so that GM's US operations have no impact on the day-to-day activities of GM's Europe.
"This has been a very intense and at times difficult negotiation over the past several days,” said GM Europe President, Carl-Peter Forster.
"We’re extremely grateful to the various members of the German government, led by Chancellor Merkel and Vice Chancellor Steinmeier, the various German ministries as well as the federal state governments of Hesse, North Rhine-Westphalia, Rhineland-Palatinate and Thuringia, and the leadership of the US Treasury for working so hard to reach this important agreement.
"With the financing, even with the GM actions in the US, we can now confidently say to our employees, customers, suppliers and dealers that it’s business as usual as we go through the process of creating a new, more independent Opel/Vauxhall."
GM Europe's negotiations with Magna are expected to take around four weeks to complete.
Add your comment