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GM India unaffected by parents' bankruptcy petition

Tuesday, June 02, 2009 (06:17:12) Tags: Business, Automobile, GM, India Chennai: Even as its American parent General Motors (GM) has filed a bankruptcy petition, its Indian subsidiary GM India announced on Monday that it remains unaffected. GM has filed a bankruptcy petition under Chapter 11 of the United States Bankruptcy Code. According to GM India, the Indian operations do not form part of the bankruptcy proceedings filed in the US which is expected to be completed in two months' time. Post restructuring GM will have less debt and operating cost, the statement issued by the company said. Consequently, all GM India dealers, warranty and customer support services will remain unaffected and continue to function as normal. Its countrywide dealership network and service centres will continue to do business as usual and customers can visit their local dealer for service and warranty coverage, while dealers will receive new vehicles and spare parts as usual. "Our dealers will also continue to receive all our carlines, while our suppliers will continue to work with us to supply parts and components for our cars, which we will continue to build at our state-of-the-art Talegaon and Halol facilities, in the normal course of business. We have no intention to modify our product, brand or other business plans including new product launches, the all new Chevrolet Cruze from our mother plant in Halol and an all new Chevrolet mini car from our new state of the art plant at Talegaon," said Karl Slym, president and managing director, GM India. "In its 14 years of established operations in this country, GM India has invested over Rs.5,000 crore to create a manufacturing capacity of 225,000 vehicles per annum. We are deeply committed to this market, our customers, suppliers, dealers and all other stakeholders," he added.(IANS)