NASDAQ Careers: Find a Job Now Web NASDAQ.com
Search

Spain Indus Min: GM Pullout Of Magna Deal A Surprise



TOLEDO, Spain -(Dow Jones)- Spain's Industry Minister, Miguel Sebastian, said General Motors Co.'s decision to abandon the sale of Adam Opel GmbH was a surprise and the deal made with Magna International Inc. (MGA) was the minimum the Spanish government would accept.

"We were surprised that GM scrapped the Opel sale," Sebastian said in a meeting with journalists.

He added the deal made with Magna was the minimum the Spanish government would accept for Opel's restructuring.

Governments of the European countries with Opel plants, including Spain, had been asked to contribute toward the restructuring of Opel's operations.

The Spanish government last month helped broker an agreement between Austrian-Canadian auto parts maker Magna and unions over auto parts maker's plans to restructure Opel's Spanish operations.

Sebastian added the Spanish government would defend the Opel factories in Spain and its workers.

Opel employs around 7,500 workers at a plant in Zaragoza, in northern Spain.

GM has yet to detail its plans for the European operations.

-By Pablo Dominguez, Dow Jones Newswires, +34-91-395-8139, pablo.dominguez@ dowjones.com


  (END) Dow Jones Newswires
  11-04-090835ET
  Copyright (c) 2009 Dow Jones & Company, Inc.

The Wall Street Journal
Click here for a free trial