Analysts Tell GM To Dump Opel

Selling or otherwise divesting its money-losing Opel unit in Europe is General Motors Co.'s best option, a Wall Street analyst said today.

Morgan Stanley analyst Adam Jonas said in a research note that losses in Europe do not seem to be nearing an end and exiting Opel, while costly upfront, could be the best move. He estimated selling Opel could cost GM up to $13 billion, including upfront restructuring, an equity contribution to a buyer and funding Opel's pension obligations.

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chewy - 9/7/2012 1:48:31 PM

+1 Boost

One unsubstantiated rumor is that GM might be hiding some of their loses in Opel or at least putting a lot of their development costs there. Makes Chevy and such look better. Not saying it's true but could be some truth to that.

Airliner - 9/9/2012 9:44:00 PM

+1 Boost

All the meanwhile, the good folks at GM are trying to rebuild Buick with rebadged Opels??