Ukrainian investor for Daewoo-FSO?

Ukrainian car producer Avto ZAZ could become the investor for Daewoo-FSO, according to unofficial sources in the sector. The Economy Minister had previously announced that progress in the financial restructuring of the Warsaw-based car maker would enable the search for other players aside from MG Rover. "There are ongoing talks with Avto ZAZ. A situation in which both the Ukrainians and the British would participate cannot be excluded either," said the anonymous informer. While representatives of the producer decided not to confirm the speculation, it is unofficially known that the Ukrainian company is ready to enter the enterprise, but only if the Żerań plant's right to produce the Lanos and Matiz are prolonged. In view of the falling sales on the Polish market, closer cooperation with the Ukrainian market could be of vital importance for the troubled company. While FSO has exported 20,000 cars to Ukraine this year, as many as 100,000 (30% of which would be aimed at Russian market) could be sold in 2005. Meanwhile, the Economy Minister of Slovakia announced yesterday that Rover was taking his country into account when considering a location for its new assembly plant. The British assure, however, that Poland, and Żerań in particular, remains number one in their plans. (Puls Biznesu, p. 6) M.K.