Fiat Not Planning To Offer Cash For GM Europe - Source
18 May 2009 - 6:29PM
Dow Jones News
Fiat SpA (F.MI) Chief Executive Sergio Marchionne is meeting
with advisors and German government officials up until Wednesday,
when it will submit a non-cash offer for General Motors's (GM)
German unit Adam Opel AG, a person familiar with the situation said
Monday.
"The plan that Fiat has been drafting with its advisors doesn't
include plant closures in the European countries where the
U.S.-based carmaker is currently operating," the person said,
adding that Fiat is not going to offer any cash to General Motors
for its European operations.
The industrial plan drafted by Fiat also includes the reduction
of models produced by GM Europe units Opel and Saab, the person
said.
In the last four weeks, Marchionne has been traveling
extensively to the U.S. and Germany in an attempt to ink a
three-way merger between Fiat-Chrysler and General Motors' European
operations.
The person said Marchionne is personally involved in drafting
the final details of the plan, constantly adding or removing
elements until the very last minute.
Fiat wasn't immediately reachable for a comment.
-By Sabrina Cohen, Dow Jones Newswires, +39 02 5821 9906;
sabrina.cohen@dowjones.com