General Motors cancels Opel sale

[muriel_volestrangler]

Source: BBC

General Motors (GM) has cancelled plans to sell a majority stake in its European car business Opel, including its UK brand Vauxhall.

The US giant said in a statement that its board had made the decision because of "an improving business environment for GM over the past few months".

GM had agreed to sell Opel and Vauxhall to Canadian car parts firm Magna.
...
However, the German media is already questioning how easy it will be for GM to simply cancel the sale agreement.

This is because when GM went into administration, ownership of Opel and Vauxhall was transferred to a trust, headed by two representatives of GM, two from the German government and one independent panel member.

Read more: http://news.bbc.co.uk/1/hi/business/8341485.stm

[Alcibiades]

1. Why sell off their best brand?

Made no sense, except because they needed the cash.

[WriteDown]

8. No need for cash..

when you own the printing press.

[Blue_Tires]

2. I wonder what changed...

[snooper2]

3. ownership

nt

[Hav]

4. .

Didn't Germany and other European countries already agree to invest money in order to save Opel?
Could it be that GM was only after Government money? Because I agree with the first poster. I always wondered why they would sell Opel. The Opel Insignia supposedly was a hit, big money-maker for Opel and a very decent car, winning awards.

[Blue_Tires]

7. i saw on the BBC this morning that the german gov't is pissed...

[TexasObserver]

5. Recommend

[Codeine]

6. GM needs to keep the Opel brand

and build and sell those designs here.

[WriteDown]

9. Opel makes some very nice cars...

but problems always arise when converting to be US road approved.

[amandabeech]

12. I hope that GM will still be able to use some of the technology

particularly for smaller cars.

I agree with your point, though. It's the same thing for Ford, too. Remember the problems with the early Focus?

It might be a good idea to standardize emission and safety standards, but that probably will happen when the moon revolves around the north star.

[blue_onyx]

10. They do

The Opel designs are currently sold here as Saturns. The new Opel Insignia, currently sold in China as the Buick Regal, will also come here as a Buick next year.

[Codeine]

11. Except they killed Saturn,

the bastards.

[blue_onyx]

13. But, as I pointed out....

Buick will soon sell Opel.

As much as I liked the Saturn vehicles, it needed to go. The brand was a mistake from the beginning and should have never been opened. It's a redundant brand that's competition for GM's main brand, Chevy (as was Pontiac).

[Codeine]

14. You seem to be in the know,

do you think they'll be able to hold on to Opel? It seems not everyone is please with their about-face on the sale.

[blue_onyx]

15. I don't how "in the know" I am

Being in the Detroit area, I read and watch a lot of news coverage on the auto industry. I'm guessing that GM will be able to keep Opel. The sale wasn't finalized. Just as people can pull out of buying brands (Penske with Saturn), sellers can pull out of a deal too.

[Romulox]

16. German indignation is more than a bit comical, after Daimler was allowed to pillage Chrysler,

sell the smoldering remains to a venture capital company, which then held its hand out to the US taxpayer, the US should be sending a bill to Merkel.