Much like its domestic brands, General Motors’ Opel brand has taken a significant hit on the back of collapsing new car sales, which has greatly eroded the German automaker’s bank account. Per a new government report, Opel only has enough cash on hand to continue operating into April.
Although well short of a long-term viability plan, the German government actually sounded pleased that Opel will be able to limp into April on its own. “What is positive is that money is apparently still there for them to carry on,” Germany’s Dagmar Woehrl told Automotive News.
However, Opel will need government financing if it is to carry on beyond April. Opel – and its Vauxhall stable mate – is seeking 3.3 billons euros in guaranteed loans from various European governments in order to keep its operations up and running. If no countries step up to buoy the ailing brands, GM Europe warns its money could dry up by the second quarter.
