GM Set to Argue Against Alliance

Washington DC July 6, 2006; The AIADA newsletter reported that management at General Motors is reportedly ready to lay out objections to an alliance with Nissan and Renault when the automaker's board meets tomorrow.

According to The Wall Street Journal, GM Chairman and CEO Rick Wagoner will not outrightly dismiss the proposed alliance and is expected to launch a due-diligence review, but he will voice his major concerns with both the substance of the proposal and the way it was brought up.

In statements earlier this week, Nissan and Renault said they will pursue the alliance only if GM agrees. A meeting between Renault-Nissan CEO Carlos Ghosn and Mr. Wagoner is scheduled to take place next Friday, July 14.

A report from The Associated Press said talks between Renault-Nissan and GM will focus on purchasing parts together and sharing environment and safety technologies.