Although the economic crisis led to losses of 1 billion dollars, General Motors Europe president Carl-Peter Forster, told journalist that GM will not close any factories in Europe “unless an asteroid hits the earth”.
“If the world stops tomorrow, no cars are sold and an asteroid hits the Earth and it is dark for the next ten years, that is the environment where we would have to consider plant shutdowns,” Forster told Automotive News Europe in an interview here. “But permanent shutdowns are not on our list. We do not see the necessity right now.”
To stay in business, GM must maintain reserves of $11 billion to $14 billion. During the third quarter, GM reported that it had burned $6.9 billion dropping its cash reserves to $16.2 billion. If losses continue, GM could run out of money within a few months.
Source: Automotive news