Opel's supervisory board approves turnaround plan
July 2, 2012, 12:09 am TWN
FRANKFURT -- German automaker Opel said on Thursday its supervisory board has approved deep restructuring to steer the firm, a loss-making unit of U.S. car giant General Motors, back into profit.
“At its meeting today, the supervisory board of Adam Opel AG approved a business plan that will be fundamental in steering Opel back to profitability on a lasting basis,” the car maker said in a statement.
The measures include “massive investment in the product range of the Opel and Vauxhall brands, and a new marketing strategy,” the statement said.
Material, development and production costs will all be cut and “better use made of synergies arising from the tie-up between GM and French partner PSA Peugeot Citroen.”
“The plan paves the way for a strong future at Opel,” said GM vice chairman and supervisory board chief Stephen Girsky.