• From The BBC:

    Germany says EU concerns about the sale of carmaker Opel to Canada’s Magna do not put the deal at risk.Economy Minister Karl-Theodor zu Guttenberg said the deal was “on track” and ministers could address EU doubts. The European Commission warned on Friday that planned state aid for Opel might breach competition rules. Brussels said there were “significant indications” Berlin pledged the 4.5bn euro ($6.7bn; £4bn) aid only if its preferred buyer for Opel was chosen.
    Even though the German government said it was all a misunderstanding, there’s no doubt that Berlin has had something of a blind spot when it comes to Opel.Magna cleverly played the electoral card with Angela Merkel (who was seeking a second term as chancellor) by promising fewer job cuts in Germany and more in Opel/Vauxhall plants in Spain, Britain and Belgium.But Magna may now have to dig deeper into its pocket if it wants to control Opel/Vauxhall.No-one can ignore or brush aside the strict EU rules on state aid. But…

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    Posted by Jon @ 3:18 pm

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