GM pledges more money for Opel restructuringWe have shared this decision with
the European Commission as well as the national and state governments involved,"
straw bagsaid Opel chief Nick Reilly.
"We hope that our strong commitment will be well received as a major milestone in our ongoing discussions about government guarantees to cover the remaining gap."
The carmaker had asked for about 60% of the total aid to come from the German government, on the basis that 60% of the company's employee costs of almost 50,000 are incurred in Germany.
Reports have said that Germany wanted more funding to come from GM before it committed to providing aid.
"Beyond the purely financial aspects, we see this as a major step towards instilling renewed trust and confidence into Opel/Vauxhall's customers,
straw bagemployees, business partners, unions, dealers and European governments,"
canvas bagsaid GM chairman Ed Whitacre.
The relationship between Germany and GM has been difficult since the US firm decided to keep Opel rather than sell it to Canadian car parts maker Magna, which Germany had supported.
The new tripling of funds may be controversial. GM is 62%-owned by the US government since emerging from bankruptcy last year
canvas bag- meaning that more US taxpayer money is being spent in Europe.
Job losses
GM is cutting 8,300 jobs across Europe and is closing plants as it seeks to revive the brand.
No jobs will be lost at the Ellesmere Port factory in Cheshire, which employs 2,166 people and makes the Vauxhall Astra.
But last month it confirmed more than 510 jobs were to go at Vauxhall's Bedfordshire van plant,
straw bagand 369 jobs would be lost at its Luton plant.
