FRANKFURT (AFX) - General Motors Corp is determined to stick with its troubled German unit Adam Opel AG, even if the unit does not manage a speedy turnaround, Welt am Sonntag newspaper said, citing Klaus Franz, head of Opel's works council.
During an extraordinary supervisory board meeting last week, both GM's vice chairman Bob Lutz and Fritz Henderson, the head of GM Europe, said they are committed to last month's agreement between management and employees that guarantees the long-term future of the unit.
But Franz also said the dire situation at parent company GM may indicate that Opel cannot expect significant investments in the near future.
GM earlier this week said it posted a billion-dollar first-quarter loss and declined to provide a full-year outlook.
maria.sheahan@afxnews.com
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During an extraordinary supervisory board meeting last week, both GM's vice chairman Bob Lutz and Fritz Henderson, the head of GM Europe, said they are committed to last month's agreement between management and employees that guarantees the long-term future of the unit.
But Franz also said the dire situation at parent company GM may indicate that Opel cannot expect significant investments in the near future.
GM earlier this week said it posted a billion-dollar first-quarter loss and declined to provide a full-year outlook.
maria.sheahan@afxnews.com
ms/jlw
COPYRIGHT
Copyright AFX News Limited 2005. All rights reserved.
The copying, republication or redistribution of AFX News content, including by framing or similar means, is expressly prohibited without the prior written consent of AFX News.
AFX News and the AFX Financial News logo are registered trademarks of AFX News Limited
For more information and to contact AFX: www.afxnews.com and www.afxpress.com
© 2005 AFX News
