The top stories from Automotive News Europe's July 3, 2000, issue - and how they developed.
Ford may get its Skoda
Ford aims to buy its way into a leading position in central Europe by acquiring Daewoo Motor. Ford does poorly in the region, while Daewoo is dominant. Ford has won the exclusive right to negotiate for the bankrupt Korean carmaker, beating out rivals General Motors and DaimlerChrysler/Hyundai with a $6.9 billion offer. In 1999, Daewoo had a 19.4 percent share in the Czech Republic, Hungary, Poland, Slovakia and Slovenia, according to HWB International. Ford had only 4.9 percent.
Daewoo could become for Ford what Skoda already is for Volkswagen: a producer of high-quality vehicles that central European consumers can afford and that western European buyers also like.
Ford pulled out of the deal in September, allowing GM and Hyundai to continue pursuing Daewoo. In 2002, GM took a majority stake in the carmaker. GM Daewoo Auto and Technology Co. was established on October 17 of that year. The company's shareholders are General Motors, Suzuki, Shanghai Automotive Industry Corp. and the creditors of Daewoo Motor.
D/C buys 10% of Hyundai
DaimlerChrysler paid $428 million for a 10 percent stake in Hyundai Motor.
D/C sold its stake in Hyundai in August 2004 for $900 million.