Steve Girsky – GM’s Vice Chairman, on Tuesday at the Detroit Auto Show reaffirmed that the company will not sell Opel, — the struggling European brand.
The executive said is developing plans to fix it and make it profitable.
“GM is committed to Opel and wants the brand to grow in a profitable way, ’’ Girsky said in a statement.
“To realize Opel’s full potential, we will continue to optimize its cost structure, improve margins and better leverage GM’s scale.’’
Back in November, General Motors chief executive officer Dan Akerson has voiced his frustration with the financial performance of Opel, describing the long-running losses sustained by the problem child as “not sustainable and not acceptable”.
GM currently manages four brands in Europe – Cadillac, Chevrolet, Opel and Vauxhall – and Girsky says there needs to be greater inter-company technology sharing for them to be successful individually and as a group.
GM almost sold off its European operation, including Opel and Vauxhall, at the height of the global financial crisis when it was desperate to be rid of the loss-making enterprise. Is it regretting the decision? Time will tell.