GM CEO Dan Akerson and his dispatched-to-Europe fixer Steve Girsky emphatically denied that its loss-making Opel arm is up for sale or might be merged into a joint venture with equally loss-making Peugeot.
“As a global automotive company, GM needs a strong presence in Europe – both in design and development as in manufacturing and sales,” Akerson told Reuters in Rüsselsheim. “Opel is key to our success and enjoys the full support of its parent company.”
Opel Chairman Steve Girsky told Reuters that speculation of a disposal was unfounded.
GM announced it will invest 4 billion euros ($5.2 billion) in Opel by the end of 2016 to support new model launches. Opel is set for a 14th straight annual loss while European car sales plunge to their lowest in almost two decades.
GM had an operating loss of $1.8 billion last year in Europe.