GM, Tengzhong delay Hummer sale deadline image

General Motors and Sichuan Tengzhong Heavy Industrial Machinery Co. agreed to extend until the end of February the deadline for a deal to sell the Hummer brand of sport-utility vehicles, officials said.
The definitive agreement for the sale of the Hummer brand to Chengdu, China-based Sichuan Tengzhong, announced Oct. 9, was set to expire today, Nick Richards, a Hummer spokesman, said in an interview. The parties agreed to extend the deadline to the end of the month while they await Chinese regulatory approval, Richards said.

“While the transaction approval process is not proceeding as quickly as originally forecasted, we’re optimistic about the progress that has occurred to date,” Jim Taylor, Hummer’s chief executive officer, said in an e-mailed statement. “There are more than 3,000 people directly employed in the design, build and sale of Hummer vehicles. As such, we are committed to giving the sale every reasonable opportunity toward a successful conclusion.”

Hummer is among four brands, along with Pontiac, Saab and Saturn, that Detroit-based GM is shedding to focus on Chevrolet, Buick, GMC and Cadillac in the U.S. after exiting bankruptcy on July 10.
Christina Stenson, a spokeswoman for Sichuan Tengzhong in New York, didn’t immediately return a telephone message left outside normal hours.

SourcE: Bloomberg