Magna can get a multi-billion euros support from the German government when they try to take over the General Motors’ Opel unit. Der Spiegel, a German magazine, published it.
There are 3 parties that can take over the Opel unit. There is Fiat, RHJ and Magna. Magna is a Canadian car parts group and they are the favourite to take over the Opel unit because they published a better plan than their rivals.
The deal with the German government would be a covering of the 3-billion euro pension obligations. There is also a plan that Magna wants Germany to provide loan guarantees of 4.5 billion euros.
The Magna co-Chief Siegfried Wolf said that he will explain the plans of Magna in Germany and that he wants to avoid mass job cuts. Also because there are federal elections in September. They government said that the plan from Magna is to most substainable among the three.
The U.S. government has given a deadline to General Motors. On June 1 they have to prove that they can be viable without state aid and avoid bankruptcy. If they can’t proove this, there will be help needed from Magna, RHJ or Fiat.
With this decision of the German government they play an important role in who gets Opel.
According to me it’s dangerous from the German government. They just try to save their own establishments but they forget that we are living in Europe. We need to do the best for Europe and try to save as much jobs we can in Europe.
Offcourse this is negative news for Opel Antwerpen, the plans of Magna are to close the establishment. But I guess if the Belgium government would get the same resources as the German government we would try to do the same. But now we can’t compete with Germany.
I hope Europe will say that this is not the best solution but I think that what choice Europe take, the establishment in Antwerpen will be closed.
Source: http://www.reuters.com/article/businessNews/idUSTRE54M0LW20090523
I agree with Wouter on the fact that they also should consider other parts of Opel, for instance Opel Antwerpen.
BeantwoordenVerwijderenI really hope that the part of Opel in our country doesn't has to close, because it would be very bad. A lot of people would lose their jobs and in this time of a crisis, it will be difficult to find another job.
I agree with Wouter and Tim when they say this is a bad deal for Europe. I believe governments should work together to find a solution that would help Europe. Now Germany is protecting its own economy by offering this monster deal to Magna. With this offer they have also excluded the other two parties, RHJ and Fiat. If Germany and Belgium would come together, they would perhaps be able to save part of the establishments in both countries.
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