China Ministry of Commerce approves GM Delphi deal

SHANGHAI, Sept 29 (Reuters) – China’s Ministry of Commerce has approved plans by General Motors Co [GM.UL] to acquire certain assets of bankrupt Delphi Corp (DPHIQ.PK), Xinhua, the country’s official news agency, reported on Tuesday.
The approval came late on Monday and had conditions attached, including a ban on GM and Delphi on exchanging trade secrets on Delphi’s other Chinese customers.

GM is purchasing Delphi’s global steering business and four of the parts supplier’s plants it used to own in New York and Indiana.

Delphi hopes to exit bankruptcy at month’s end under control of its lenders, which have agreed to forgive nearly $3.5 billion in debt.

GM will assume more than $1 billion in Delphi obligations and waive $2 billion in claims. The automaker also plans to invest $1.75 billion and provide Delphi with loans.

A New York bankruptcy judge approved the Delphi sale in July, and a regulatory review continues.

Delphi has been in bankruptcy since 2005.

Chrysler CEO Marchionne to step down from board of Swiss bank

September 29, 2009
ZURICH (Reuters) — Fiat S.p.A. and Chrysler Group CEO Sergio Marchionne will not stand for reelection to the board of the Swiss bank UBS AG next year, the bank said on Tuesday.
Marchionne was elected to the UBS board in 2007 and appointed vice chairman in 2008.

The bank said Marchionne would like in future to focus on his current demanding management positions and had therefore decided not to seek any further mandates at UBS.

Marchionne had been mentioned as a possible alternative CEO for UBS in the midst of its troubles earlier this year but the bank turned to former Credit Suisse boss Oswald Gruebel.

Marchionne, who suggested earlier this year he might step down from the UBS board, has been busy this year after Fiat absorbed 20 percent of Chrysler.

Also stepping down from the UBS board is Royal Dutch Shell CEO Peter Voser.

Voser earlier this year announced a reorganization of the oil company’s worldwide exploration and production operations.

UBS was brought to its knees by the subprime crisis and had to be bailed out by the state while also suffering a damaging U.S. tax probe.

The bank said it would provide information at a later stage on candidates to succeed the outgoing board members.