The Opel Corsa flopped in Germany

The Opel Corsa sales in Germany was shattered in 2010 compared to 2009:

2009: 381,687 units
2010: 269,061 units

That's a decrease of 30 per cent!

Opel is a head ache for GM

2011 turned out to be a good year for GM, when you disregard their European subsidiary Adam Opel AG. Here's a few words from The Detroit News:

GM's gains in emerging markets, however, have been dampened by its troubles in Europe, where its losses deepened last year.

"Their biggest problem child is undoubtedly Europe," said Mike Robinet, an analyst with IHS Automotive in Northville.

Opel expects to lose another 500 millioner euro in 2011

GM's subsidiary, Adam Opel AG, expects to live up to it's money-losing reputation also in 2011. According to news reports, Opel's CEO Nick Reilly, is aiming at a loss of 500 million euro for 2011.

Now that GM once again is owned to a large part by private investors, how long will they sit by and watch their money wash away?

The Opel Corsa has a problem with the brakes

According to Autobild, the Opel Corsa has a problem with the brakes:

The Opel Corsa D model years 2007 to 2009, has a problem that could lead to the brakes being engaged permanently and the brake rotors overheat. The cause is a plastic bearing in the pedal rack that deforms when the foot well is heated by the car's heating and ventilation system, and this prevents the brake pedal from returning to the starting position. The fault is not safety related, claims Opel spokesman Manfred Daun.

If my brakes overheat, I would call it a safety problem!

Dump Opel and be rich

The Truth About Cars writes that without Opel, GM would be rich:

Opel is up to its eyeballs in losses.

[...]

With 8,000 jobs to go and to be paid off, there will be monstrous losses in 2011. Who knows what will happen in 2012.

If it wouldn’t be for Opel, GM would be in  hog heaven. Back home, GM makes money. In China, GM sells more cars than ever.  Everything divvy in South America  and the rest of the world.  [...] Buyers of stock are looking at future performance, and the cash drain of Opel will have a serious effect on the take from the IPO.

One of the suitors from last year, Thomas Stallkamp of Ripplewood Holding, had the following to say about Opel's current situation:

If you dig into the numbers, they still have a problem in Europe. They are doing worse than when we looked at them two years ago, and it’s going to take a lot of cash to fix Opel. That’s my concern on the IPO.

So GM has two alternatives: Keep pumping money into the big black Opel hole, or get rid of Opel and be rich!