VW said to have rights to make Daewoo's LD-100 model

Late last week Volkswagen acquired the rights from Daewoo to manufacture the new LD-100 truck series, which was originally to be produced in Lublin, according to unofficial sources. It is widely thought that if this information is confirmed, Daewoo Motor Polska's (DMP) Lublin-based subsidiary may experience serious problems finding an investor, as it is likely, according to one source, that the German investor probably won't be interested in producing the car in Lublin, choosing instead to transfer production to Germany. Although DMP is the domestic leader in truck production, its sales dropped 19.25% in 2000 in comparison with 1999. "Talks with potential investors are still being conducted [for the sale of DMP]," said DMP spokeswoman Beata Stopyra. Meanwhile, Deputy Economy Minister Edward Nowak declared that if an investor interested in finalizing production of LD-100 in the Lublin factory was found, the Polish government might give guarantees amounting to $130 million for such an undertaking. (Puls Biznesu, pp. 1, 5)