facebook
twitter
rss
account
search
search
 

GM's woes spell trouble for Opel

Nov. 23, 2008 at 7:40 PM   |   Comments

BERLIN, Nov. 23 (UPI) -- If General Motors Corp. goes into bankruptcy it could drag its Opel brand and its British sister company Vauxhall into insolvency, analysts say.

GM's insolvency could lead to Opel's collapse or at least delay its product development, Automotive News Europe reported Sunday.

"You cannot separate Opel and GM. They are in the same boat, if that boat has a problem they will both sink together," said Ferdinand Dudenhoffer, professor of automotive economics at the University of Duisburg.

If General Motors' financial woes worsen, Opel sales will suffer, Dudenhoffer said.

"It will be very difficult to have a successful launch for the Insignia," the company's new upper-medium car that is replacing the Vectra/Signum, he said.

Stefan Bratzel of the Center of Automotive at Bergisch Gladbach in Germany said the GM situation is dire for Opel.

"The situation is perhaps the most serious in Opel's history," he said. "They have problems with their finances, problems with falling markets and the parent company in the U.S. is unable to help. This is a really dangerous situation."

© 2008 United Press International, Inc. All Rights Reserved. Any reproduction, republication, redistribution and/or modification of any UPI content is expressly prohibited without UPI's prior written consent.
Most Popular
1
Six Flags fight leaves boy critically injured, may have been organized on Twitter Six Flags fight leaves boy critically injured, may have been organized on Twitter
2
Kiev slams Russia for bringing criminal complaints against Ukraine's armed forces Kiev slams Russia for bringing criminal complaints against Ukraine's armed forces
3
Mayor of L.A. suburb shot, killed inside home Mayor of L.A. suburb shot, killed inside home
4
Wisc. reporter told 'not to speak to crowd' at Michelle Obama event Wisc. reporter told 'not to speak to crowd' at Michelle Obama event
5
Robert Zimmerman talks about life with infamous brother George Robert Zimmerman talks about life with infamous brother George
Trending News
x
Feedback