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GM 'to scrap' Vauxhall sale
25.08.09
General Motors' chief negotiator over the sale of Vauxhall/Opel was locked in talks this evening with a German government-led taskforce amid growing speculation the deal will be scrapped.
John Smith, senior vice president at GM, is likely to have been discussing the potential "Plan C" now being considered by his board, which would see it shun both takeover offers on the table and instead retain the business.
German government approval is vital as either of the plans would require more than €4 billion (£3.5 billion) of German loan guarantees.
The British Government today said it remained open to committing funds to help Vauxhall's Luton and Ellesmere Port plants.
