Suppliers Shut Daewoo Down Again

December 13, 2001

Sacramento - Bankrupt Daewoo has had to shut its assembly lines down once again because of parts shortages. All three of the company's main plants halted production yesterday when parts suppliers froze shipments demanding payment of some $667.8 million in unpaid bills. The suppliers are obviously trying to rush General Motors who is in the process of buying Daewoo and hopes to close on the deal prior to the end of this month.

Daewoo said it had one week of inventory but after that deliveries to dealers would begin to slow. General Motors did not comment on the move taken by the suppliers.