Won`t Oppose Sale of Daewoo Motor to Foreign Firms : Unionists

The present and former union staff memberss of Daewoo Motor announced yesterday that they will take a positive attitude toward any measure that could possibly normalize the Daewoo Motor’s management. The unionists declared, ``We will not oppose any reasonable measure to normalize Daewoo Motor, including the sale of Daewoo Motor to foreign companies.``

Consequently, the greatest stumbling block for General Motors (GM) to take over Daewoo Motor is to be eliminated.

`Committee for the normalization of Daewoo Motor` formed by the former union leaders together with the current and former delegates took a decisive step after its rally for the normalization of Daewoo Motor in the square of Bupyeong railway station. The committee also added that Daewoo Motor has generated operating profit since last month. ``For the normalization of Daewoo Motor, both unionists and company have to relentless effort to increase the sales volume,`` they said.

The committee is organized by the current and former leaders and board members of Daewoo Motor. Since about ten core executive members who are in hiding, including present union chairperson Kim Il-Seop, did not join in the committee, the responses from the executive members become the focus of public attention.

A related source of the committee remarked that it is virtually impossible for the current union leader and the executive board to take action because they were discharged by the company and have been put into the wanted list. He also added, ``4000 unionists of Daewoo Motor factories in Bupyeong want to normalize the Daewoo Motor’s management and therefore they will not oppose to the current issues including sales to foreign companies.

Lee Dong-Ho, CEO of Daewoo Motor Sales Corporation, told that the turning of unionists will significantly affect on the GM’s takeover of Daewoo Motor. He saw this as a green light.

Meanwhile, the dialogue between the GM-Fiat consortium and the Koran government and Daewoo creditor banks is to begin this weekend. It is reported that GM consortium is to present its proposal for the takeover of Daewoo Motor on May 23.

A source of the Daewoo Motor sales negotiation team said, ``before presenting the letter of intent, GM will send a high executive official to Korea this weekend and will explain the content of the letter to the Korean government and creditor banks.``

daviskim@donga.com