GENERAL MOTORS ASEAN UNAFFECTED BY GM FILING FOR BANKRUPTCY IN U.S.

PETALING JAYA, June 2 (Bernama) -- General Motors' Asean operations will
not be impacted by Detroit-based motor giant General Motors Corporation's move
to enter into Chapter 11 bankruptcy protection in New York Monday.

The President of General Motors Southeast Asia operations, Steve Carlisle,
said the announcement that the company would accelerate its reinvention through
a court supervised process in the United States would not have any impact on
its business in the region.

None of GM's operations are included in the court filings and the filings
there have no direct impact on GMC's non-U.S. operating plans and non-U.S.
operations, he said said in a statement Tuesday.

Under the agreement of the filing, several of GM's strongest operations and
brands will be sold to a "New GM."

GM Asia Pacific, including GM Asean, will be an important part of the "New
GM" and will maintain normal business operatrons, he aaid.

"As I've mentrioned before, we are separate entities from GMC and have the
capability, resource and technology to continue our operations," said Carlisle.

Chevrolet will remain as the core brand and focus of the company in Asean.

HICOM-Chevrolet Sdn Bhd chief executive officer, Sanjeev Garg said
HICOM-Chevrolet, being a joint venture entity, was independent of the court
process in the U.S.

The move in the U.S. follows GM's filing for bankruptcy protection on MOnday
in New York with a plan to become profitable again.

Newsreports said GM's bankruptcy filing is the fourth-largest in U.S.
history and the largest for an industrial company.

The renowned auto maker is reported to have US$172.81 billion in debt and
US$82.29 billion in assets.

"The General Motors board of directors authorized the filing of a Chapter 11
case with regret that this path proved necessary despite the best efforts of so
many," GM Chairman Kent Kresa said in a written statement in the U.S..

"Today marks a new beginning for General Motors. The board is confident
that this New GM can operate successfully in the intensely competitive U.S.
market and around the world."

As it reorganizes, GMC will rely on US$30 billion of additional financial
assistance from the Treasury Department and US$9.5 billion from Canada. That's
on top of about US$20 billion in taxpayer money GM already has received in the
form of low-interest loans.

GMC said it has US$172.81 billion in debt and US$82.29 billion in assets.

Carlisle said it was important for GM's non-U.S. audiences to undertand that
under U.S. laws, a Chapter 11 Bankruptcy filing does not mean a company is
liquidating or becoming insolvent or closing down its business.

Under Chapter 11, a company continues to operate and management continues to
lead the business.

Even though this legal process does not exist in most other countries, it is
a well-established process in the U.S. and many American companies have
successfully utilised the Chapter 11 process.

General Motors Co, set up in 1908, has been manufacturing the Buick,
Cadillac, Chevrolet, GMC, HUMMER, Pontiac, Saab and Saturn in the U.S.

-- BERNAMA