GM/PSA Joint Venture Agreement Imminent

General MotorsGMUnited States of America, 1998 > present8 models
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CEO Dan Akerson says that an announcement about the joint venture between GM and PSA PeugeotPeugeotFrance, 1882 > present120 models
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-CitroënCitroënFrance, 1919 > present94 models
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is coming in the next few weeks. The company also filed paper work with the US Securities and Exchange Commission about working with PSA on produce development and supply issues by the end of October. 

"There is progress. There will be announcements later this month, early next month," said Akerson at the Sao Paulo Motor Show. 

There is a deadline for a decision between the companies on October 31, but there is an allowance for a postponement if necessary. Still, it appears that matters are about to come to a head, and there may be a new joint venture between GM and PSA in Europe. 

The earlier rumors of the joint venture is that VauxhallVauxhallUnited Kingdom, 1857 > present31 models
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, Opel. Peugeot and Citroën would form a new joint venture in Europe. GM would pay $10 billion into the deal and take a 30% ownership in the new company. PSA would own the other 70%. 

The plan works by lowering costs for PSA by allowing them to share parts and platforms among the four brands. GM would only be a shareholder in the deal meaning that it would not have to report the new company's financial information on its books.

Source: Automotive News Europe