Desperate Opel: GM owes us millions

Desperate Opel: GM owes us millions
Photo: DPA
Troubled German carmaker Opel will likely soon demand millions of euros from its beleaguered US parent General Motors, which is threatened by impending bankruptcy.

“Should GM become insolvent we’d have to write off most of our demands,” a member of Opel’s supervisory board told the newspaper Die Welt on Thursday.

The move would allow Opel to improve its own liquidity should it split off from GM in the coming months.

According to the paper, GM injected some €300 million in Opel in 2007 in the form of receivable bonds. Opel’s board has also apparently decided to demand the funds from selling technologies to its parent company in 2005. The board member told Die Welt that could be “worth billions” to Opel.

The paper reported that Opel’s precarious finances had been the main stumbling block up to this point in the carmaker’s search for a new investor.

Jobs in Germany

Member comments

Become a Member to leave a comment.Or login here.