French maker Heuliez is for sale
Heuliez, the family-owned French coachbuilder, is up for sale. 'We are looking for any kind of industrial partnership in order to ensure the future of the company,' said Gerard Queveau, chairman of the supervisory board of holding company Groupe Henri Heuliez.
Heuliez will lose its contract to make Citroen Xantia and XM wagons (25,000 units in 1998), in 2002. It recently won contracts to make major parts for the Peugeot 206 convertible and the Renault-Matra luxury coupe, both due in 2000. But it's not enough to fill a plant with an annual capacity of 50,000 units, Queveau said.
Heuliez has 1,800 workers and will have sales of FF1.7 billion ($310 million) in 1998.
Ford's Spanish workers get new contract
Workers across six unions overwhelmingly ratified a new contract at Ford's assembly plant in Valencia, Spain last week. As a result, Ford will have the capacity to produce an additional 1,130 vehicles some weeks by adding shifts on Saturdays and keeping lines running during breaks. The company offered the workers a 2.5 percent pay increase tied to inflation. The contract is for three years. The Valencia factory makes Ka and Focus models. Current capacity is 1,560 units per day.
Honda to expand sales network
TOKYO - Honda Motor Co. plans to expand its sales network in eastern and southern Europe, where sales have been poor. It wants to double sales outlets in eastern Europe to 200 points and those in Spain to 120 points by 2000. In June, Honda said it was aiming for total European sales of 300,000 units by 2000.
Reuters News Service
Hyundai finally takes over Kia
SEOUL - South Korean creditor banks approved Hyundai Motor's take-over of Kia Motors and sister commercial vehicle maker Asia Motors on 5 November. The acquisition is set to make Hyundai the world's tenth biggest car company, with a capacity of 2.5 million units.
'All creditors agreed to approve Hyundai's winning bid after Hyundai conceded on its debt write-off demand,' said Park Sang-bae, a Korea Development Bank director.The combined debt of Kia and Asia Motors stood at 13.89 trillion won as of 5 November.
Hyundai won an international tender for Kia and Asia Motors in October, beating out Ford, Daewoo and Samsung.
Reuters News Service