GM Daewoo begins shipping Chevrolet Cruze to Europe

SEOUL, Feb. 24 (Yonhap) -- GM Daewoo Auto & Technology Co., the South Korean unit of beleaguered U.S. carmaker General Motors Corp., said Tuesday it has started exporting its compact Chevrolet Cruze model to Europe.

The Chevrolet Cruze, GM's first model developed as part of its shift to more
fuel-efficient vehicles, comes with either a 1.6 or 1.8-liter gasoline engine or
a 2.0-liter diesel engine. GM Daewoo sells the Cruze as the Lacetti Premiere in
South Korea.
Rick LaBelle, vice president of GM Daewoo, expressed hope that exports of the
Cruze would ease concerns in the local auto industry, which has been battered by
weaker demand and tight credit amid the global financial crisis.
"I expect exports of the Lacetti Premiere to help overcome the crisis of the
domestic automotive industry," LaBelle said in a Korean-language statement.
Exports of the Chevrolet Cruze come as GM Daewoo is seeking one trillion won
(US$661 million) in emergency funding from South Korea's state-run Korea
Development Bank to help it fend off a looming liquidity crunch.
According to local news reports, GM Daewoo has already reached its credit limit
of 1.37 trillion won from the state-run bank and the carmaker has $750 million in
loans coming due in October.
This month, GM Daewoo Chief Executive Officer Miachel Grimaldi asked the South
Korean government to provide financial support, though his request was turned
down by government officials.