GM considers keeping Opel - needs to raise $4.3 billion

glad to see they're starting to see sense. if they imported their Euro spec Opel cars to the States i'm sure they'd shift more metal than if they continue to sell the cheap tat they're producing themselves

Hmmm, so Uncle Sam will provide the cash, and the new GM is becoming the old GM, witch will sell Opel models with Buick badges in the US. Sorry but I'm not excited at all.

some of you really just spout off opinions without any facts to back them up...Chrysler is about to sell rebadged Fiats in the US and I see no backlash...considering spreading out development cost, producing volume platforms and other synergies of scale...it still makes sense for GM to keep GM Europe...GM Europe only went into protection due to parent company GM not being able to fund them not due to any other reason...IF you want to complain ask the question why does the German government have such a clear preference for Magna...the German government will only contribute money IF the sale is to the Magna group...why?

well BENZian I suppose the german government prefers their bid because the Magna group have offered to keep the larger number of jobs/facilities within Germany... whereas other bidders´ offers might cut down more on the german side and shift more operations elsewhere.

...thats the point exactly...GM still owns GM Europe. IF the german government's intent is to save jobs they would extend the offer to RHJ (the only other bidder) instead of trying to strong arm and unfairly interfere with the decision by GM & GM Europe. The business case for GM Europe should involve some belt tightening and shedding some employees...such is the way of capitalism not the socialism of Ms. Merkel. The German government would leave a bloated, inefficient GM Europe to use as a talking point while merely posturing before the September elections...considering this and the involvement of the State of Lower Saxony in VW's affairs, it appears that the German government is too much involved in the automotive business. Some of you forgot that GM Europe has lost money for many years and that it was the old, bad GM that kept it afloat and paid for it...it's ridiculous to think the new GM would follow this pattern or allow Serbank to hand their ownership over to another Russian carmaker as was previously stated by Serbank... The Russians would avail themselves of GM's proprietary technology whether it was legal or not... You may decide to sell your valuables but none of us want our valuables stolen from right in front of our eyes...

I thought GM (Government Motors) did not want to be in the car business, so why now, why is GM trying to raise "capital" or CASH to retain or BUY Back a car company it supposedly already owns??

The problem I see Benzian is that RHJ have stated they are likely to strip Opel of its unprofitable parts and then resell back to GM, in the same way Cerberus planned for Chrysler (although that backfired big time). Whereas Magna have stated they don't want to do that, so I can see why the German government doesn't want anything to do with RHJ's bid. Its also starting to border on a national interest issue. When GM was a shareholder driven company, no issue, but now that GM is US government owned, they don't want a bar of the US Government having direct ownership of a German company. Just like you would probably object if the Russian Government bought GM.

I guess the other issue is GM's existance is solely due to some $US60 billion from the US taxpayer, who will be loath for near 10% of that to go over to Germany to try and rejuvenate a loss-making company when that tactic has been failing for many years now.

Considering this is supposed to be the 'new' GM, they sure sound and act just like the old one.

Not at all and dont try and frame this as a US vs Europe...I guess you have convienently forgotton DaimlerChrysler and now Fiat/Chrysler. Please show me where RHJ stated they would strip the valuable assets from Opel and then sell them back to GM ??? I have not seen this printed anywhere as part of the bidding contracts ...this is speculation on your part and the media. It's not a national issue for Germany - it's a political issue before the September elections and this is clearly shown by Merkel and the German government insistence to only fund a deal with Magna. GM needs Opel/GM Europe for volume/platform synergies among others but Opel is on track to lose another 2 billion dollars this year and lost half-a-billion last year. Opel needs to be restructured and employs too many people. The reality is that the German government is playing chicken with the future of Opel and all their employees. The worst alternative for Germany is for GM Europe to go through bankruptcy, for then you will see many more employees out of a job. GM is going to survive. GM Europe may not...and who really loses if the German government continues to try and force GM to partner with Magna ? The bankruptcy of Opel will be felt most in Germany...the unemployed workers will be in Germany...the unpaid creditors will be in Germany...it might be interesting to see what spin the politicians put on it then...