Thursday, Nov. 5, 2009

GM boss: Opel to pay for most of its restructuring

DETROIT (AP) - General Motors Co. CEO Fritz Henderson says its European Opel unit will pay for most of the $3 billion it needs to restructure.

Henderson's comments on Thursday come two days after GM's board decided to keep Opel, rejecting a deal to sell 55 percent of European operation to a group led by Canadian auto parts maker Magna.

He says Opel's cash situation has improved so it could be the primary funding source for the restructuring.

He says GM also could charge Opel lower royalties for GM technology, and it will seek aid from European governments.

Henderson says GM can fund its global business from the $50 billion it has received from the U.S. government.

2009-11-05     14:00:11 GMT

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