GM boss says federal aid could be used to fix Opel

By Staff and Wire Reports - 11/6/2009


General Motors Co. CEO Fritz Henderson said Thursday that the automaker could tap some of its $50 billion in U.S. government aid to help restructure GM's European Opel unit.

"We certainly need to be prudent about it, be very careful about it, but we do have the ability to run a global business," he said.

Henderson added that Opel's cash situation has improved with a recovering European auto market.

His statements came as thousands of Opel workers walked off their jobs across Germany in protest of GM's decision to abandon the unit's sale to new owners.

GM's board shocked German leaders and labor unions Tuesday by rejecting a plan to sell 55 percent of Opel to a partnership of Canadian auto parts supplier Magna International Inc. and Russian lender Sperbank.

Russian Prime Minister Vladimir Putin said GM had exhibited an "arrogant attitude" in abandoning months of negotiations. German Foreign Minister Guido Westerwelle, visiting Washington, said "jobs must be protected."




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