FACTBOX - What Opel's suitors have in mind

July 20 Mon Jul 20, 2009 1:59pm EDT

July 20 (Reuters) - General Motors [GM.UL] said it had received three final offers for Opel it said it would now discuss with European governments and the trust that currently owns the German carmaker. [ID:nLK181251]

Last week it appeared a crippling stalemate between GM and Germany could be emerging over their preferences for competing bids between RHJ International (RHJI.BR) and Magna MGa.TO.

Following are details on potential buyers' plans for Opel:

MAGNA

- Strategy

Wants to expand its full-scale car assembly business. It envisions using some of Opel's plants to assemble more models for other car companies through outsourcing contracts. It forecasts high growth rates, particularly in Russia, home of its consortium partners Sberbank SBER03.MM and GAZ (GAZA.RTS).

- Shareholding

Magna and Sberbank would each hold 27.5 percent. Around 10 percent would be taken up by Opel workers and 35 percent will remain with GM.

- State guarantees

Says it needs 4.5 billion euros ($6.4 billion) of guarantees from the German government.

- Equity investment

Will invest 500 million euros in Opel. Only a portion would be strictly considered equity and the remainder could be convertible debt.

- Jobs

Around 10,000 of the total 50,000 jobs across Europe would slashed. Some 25 percent of the cuts would be in Germany.

- Plants

Could close Belgium's Antwerp and Britain's Luton plants.

RHJ (RHJI.BR)

- Strategy

Shrink Opel production footprint to a more manageable level to return the company to profitability. Could sell on the company in the future, possibly even back to GM.

- Shareholding

RHJ to hold 50.1 percent stake, while GM retains 39.9 percent. The remaining 10 percent would be held by workers.

- State guarantees

Needs German state guarantees totalling 3.8 billion euros, to be paid back in full by 2014.

- Equity investment

To pay 175 million euros at closing plus 100 million euros on Dec. 31, 2012

- Jobs

To cut about 10,000 jobs throughout Europe, of which 8,100 in manufacturing

- Plants

To close Antwerp by March 2010, mothball Germany's Eisenach for next two years

BAIC

- Strategy

Has dangled the prospect of being able to help Opel expand its market share in China.

- Shareholding

Wants to buy 51 percent. The rest would be kept by GM.

- State guarantees

State aid of around 2.64 billion euros is needed.

- Equity investment

Sources say it will invest 660 million euros in Opel.

- Jobs

Around 7,600 jobs would be cut Europe-wide, including 3,000 in Germany.

- Plants

To idle production at Antwerp through March 2010, considers closure, also to mothball Eisenach for next two years.

(Compiled by Angelika Gruber, Marilyn Gerlach and Maria Sheahan; Editing by Dan Lalor) ($1 = 0.7063 euro)

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