Opel: Will They Get Their Money Today?

by Bertel Schmitt

May 12th, 2010 7:10 AM

Today could be a big day for Opel. Probably, it won’t. The Loan Guarantee Committee is meeting in the Economics Ministry in Berlin. On the agenda: Opel’s request for €1.5b in state aid. The timing is not coincidental: Last weekend, elections were held in the Opel state of North Rhine Westphalia, which ended in a mess. Coalition discussions are on-going with unsure results. So let’s move quickly while Berlin can make decisions? Not exactly …

Economy Minister Rainer Bruederle poured cold water over high hopes. Before the meeting went in to session, Bruederle refused calls for a speedy decision. In any case, there would be two additional committees that have to decide. And if all else fails, then there would still be Brussels to shoot down state aid.

According to the Muenchner Merkur, Bruederle said that the government „can’t run around with a fire extinguisher all the times. The state of emergency can’t be the new steady-state.” In other words: “Nein.”

We’ll keep you posted.

#BertelSchmitt #Bruederle #Germany #GM #Opel #StateAid

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6 comments

Mr Carpenter on May 12, 2010

This, from www.urbansurvival.com today: Deutsche Marks Vs. Euros Long Term A 'news tip' which we take with a grain of salt from a news tipster says... I'm working at the Deutsche Bank in Germany. Today we delivered 1 container with new Deutsche Mark notes and new coins. I will present a photo from the new banknotes tomorrow morning. The curency change will be the night from Saturday to Sunday 5/16/2010. On Friday, 19.00 GMT Angela Merkel the germany chancelor, will speach to the german nation.This Blog reports that France was close to collapse last week. I will go out on a limb and say that if the Germans go with the Deutsche Mark and dump the Euro, they'll also tell Generous Messup and Opel to go take a flying leap (how DOES one say that in German?)

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- OldandSlow on May 12, 2010
  
  Actually, the problem with the Euro has less to do with Germany than with a one size fits all single monetary system coupled to a system of fragmented fiscal governance. In short, the better solution would be to give the Greeks their Dracma back.
  
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- Marcel B on May 12, 2010
  
  "Deutsche Bank" is a commercial bank. Banknotes are distributed by "Deutsche Bundesbank" (these news tips are more trustworthy if the writer checks the basic facts before publication)
  
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- OldandSlow on May 12, 2010
  
  With regards to Opel - the chance are slim to none that any future government finance will be coming their way either in Germany or the UK. GM needs to take a serious look at Ford. Ford has been pushing the bar upward. Ford will have two updated Astra competitors available by the end of the year, i.e. the new Fiesta and Focus. Should Ford manage to pull off a trifecta and build a Passat-sized platform that can be rationalized as a future Fusion, then Mulally will have pulled off a big coupe.
  
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Rob Finfrock on May 12, 2010

Let's hope there's one government in the world that will stand up, refuse assistance and allow a bloated company to rightfully fail. That would sure make things interesting for our own Gov't Motors...

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Robert Schwartz on May 12, 2010

All those anti-bailout back-up systems failed on the Greek bailout. Why will they succeed on Opel? Is Germany just a girl who can't say no?

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