by the Korean government that Hyundai could take over the running of Daewoo Motor
if General Motors declines have been welcomed by Daewoo-FSO Motor in Poland, the
Warsaw Business Journal says.
Commenting on reports that an unnamed Korean government official had suggested
Hyundai involvement if GM pulls out of a takeover deal, spokeswoman Krystyna
Danilczyk told the Journal that she doubted that the two Korean arch-rivals
could reach agreement in Korea.
However, she believed that Hyundai’s potential involvement would be a good
solution for Daewoo factories overseas.
This contrasts with government Commerce, Industry and Energy Minister Shin
Kook-hwan’s statement to the Korea Herald. "If Daewoo Motor fails to be
sold to GM, it will have to get rid of its Polish plant, Daewoo-FSO, among others."
According to the Journal, Daewoo in Warsaw downplayed Kook-hwan’s statement.
"It doesn’t have any influence on us," Danilczyk said. "The Polish
government, creditor banks and Daewoo Motor will decide (on the future of Polish
The Warsaw Business Journal says that, contrary to Kook-hwan’s declaration,
the suggestion of a Hyundai-run operation is more in line with Polish expectations.
Economy Minister Janusz Steinhoff has long declared that the best solution
for Daewoo’s Polish factories would be a takeover by a manufacturer without
any operations in the country, the Journal said.
Daewoo-FSO spokeswoman Danilczyk added that shifting production to Hyundai
would be neither time-consuming nor costly. "Only small details would have
to be changed," she said.
Meanwhile, Daewoo Motor chairman Lee Jong-dae told Reuters in an interview
on Tuesday that he expects a "visible sign" of progress in efforts
to sell the company to General Motors by April or May.
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