Written By Trading Forex News on Monday, December 7, 2009 | 5:25 AM
General Motors’ restructuring plans for Opel/Vauxhall should be revealed by the end of this year, according to the firm’s new CEO and president Nick Reilly.
Reilly told reporters that GM had now presented a plan for financial aid to the German government and said he was hopeful this plea would be accepted.
“We hope to make an announcement within the next two to three weeks,” he said. “We’ve prepared an application for the German government. They were willing to support the Magna deal, so we expect some support for our plan.
“I am optimistic they will come forth with aid, but regardless, the German government decision will not lead to more or fewer lay-offs in Germany.
“The expectation is that will get financial support from European governments. We would be disappointed if Germany is the only country which does not participate.”
Reilly said Opel expects to lose money in 2010 as it undergoes its restructuring. It is seeking 3.3 billion euros (£3bn) in aid, £900,000 of which will be used in restructuring. The remainder will be used to invest in new products.