UPDATE 1-S.Korea to quickly conduct due diligence on GM's S.Korea unit-finance minister

From Reuters - February 21, 2018

(Add more comments from finance minister)

SEOUL, Feb 22 (Reuters) - South Korea plans to quickly conduct due diligence on the financially strapped South Korean unit of General Motors Co, Finance Minister Kim Dong-yeon said on Thursday.

The Detroit automaker announced last week it would shut a plant in the city of Gunsan, southwest of Seoul, by May and decide the future of its remaining three plants in the country within weeks. GM has asked for financial support for its money-losing South Korean unit.

Kim said South Korea will not take action before the due diligence is completed.

Kim said the U.S. automaker should play a responsible role in normalising its South Korean operations and should come up with a sustainable development plan.

State-funded Korea Development Bank, which holds a 17-percent stake in GM Korea, and GMs local labour union should share the pain, he added.


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