GM to increase share of Isuzu
TOKYO - General Motors will pay $456 million to raise its stake in Isuzu Motors Ltd. as the partners plan to produce commercial trucks using common parts.
GM will increase its share of Isuzu to 49 percent, from its current 37.5 percent. Isuzu will retain its current management.
Earlier this year, GM announced Isuzu would be given the responsibility of designing diesel engines for GM. The companies formed a joint venture to build diesel engines for GM trucks in Moraine, Ohio, and are working on a small pickup.
Ford's Mellier goes to Renault
PARIS - Philippe Mellier, a rising star at Ford Motor Co., will move to Renault SA Jan. 1 to run European sales operations.
Mellier, 43, is vice president of sales and marketing at Ford of Europe and the former head of Ford of Mexico. He will succeed Philippe Gamba, 51, who has been named chairman of Renault Credit International. Both Mellier, a native of France, and Gamba will be members of the French automaker's management committee.
Saturn dealer will sell stores
John Campbell, a pioneer of one-price selling at his many dealerships in Orange County, Calif., has agreed to sell his Saturn franchises to the automaker's retailing arm. He is the first California dealer to strike a deal. Saturn is trying to acquire at least 75 stores for Saturn Retail Enterprises, which could eventually go public. (See story, Page 6.)
Although he saw Saturn's growth potential as huge, Campbell said he could not finance the expansion of his three stores and construction of two more with his existing capital. Campbell, 43, will hang on to his two new Saab stores. He also has been approached to run for the California state legislature on the Republican ticket.
No auto mall in post office
CHICAGO - A Chicago real estate developer, Prime Group Inc., has lost its bid to buy Chicago's old main post office and convert it into a 15-story auto mall.
U.S. Postal Service officials have agreed to sell the building to Chicago's MCZ Development Corp. and Walton Street Capital LLC. The decision was announced after a story on Page 10 of this issue went to press.
Crain News Service