Opel boss sees profits before 2013

5th June 2009, Comments 0 comments

Carl-Peter Forster rejected any possibility of Opel going bust and said that the millions of euros in emergency funding was enough to ‘shape our future.’

Berlin -- Opel can be a profitable business again before 2013, the boss of the troubled carmaker recently bailed out by the German government and a Canadian-Russian consortium said on Thursday.

"The fact is: our business is running well, our market share is rising and we have already sold 120,000 Insignia cars ... we will do everything we can to make a profit before 2013," said Carl-Peter Forster in an interview with Bild daily.

He rejected any possibility of Opel going bust and said that the 300 million euros (426 million dollars) doled out in emergency funding was enough to "shape our future."

Opel was rescued on Saturday by a 1.5-billion-euro loan from Berlin as well as a promised initial investment of 700 million euros from Canadian auto parts maker Magna, which won the bidding war to take over the struggling firm.

The German government said Wednesday it was "still open" to other bidders for Opel while Magna and General Motors, Opel's parent company, haggled over finalising their preliminary agreement.

Magna beat off rival bids from Italian car giant Fiat as well as Brussels-based investment firm RHJ International to win Berlin's backing for a takeover.

Under the proposed deal, GM would keep 35 percent of the company and Opel's workers would retain 10 percent. Magna would hold 20 percent, and Russia's state bank Sberbank 35 percent.


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