GM looks at Opel and gasps

U.S. automaker General Motors Co. warned its European divisions Opel and Vauxhall that factories could close after fourth-quarter losses. GM called the losses in its European brands "horrendous." The European firms, Opel in Germany and Vauxhall in Britain, have lost $14 billion since 1999, The Local reported Wednesday. "There is increasing frustration with Opel and a feeling that the cuts two years ago did not go nearly deep enough. If Opel is going to get fixed, it is going to get fixed now and cuts are going to be deep," a company official said. For the first three quarters of 2011, GM lost $580 million in Europe. As a response, GM is considering closing a production facility in Bochum, Germany, which employs 3,100 workers, the newspaper said. GM, however, said no decision had been made. "The new management team has a productive relationship with the union and we are both committed to solving the challenges that confront the company together," said Selim Bingol, a company spokesman.