Update: The quoted paper is the Latin American Herald Tribune. But there is a comment left by a supposed GM representative here which I highlight:
GM is NOT using U.S. Government Loans to Invest in Brazil
Re: Robert Oak's post on 1/19/09, "GM using Bail Out Money to Invest in Brazil"...The claims that General Motors is planning to invest $1 billion of U.S. federal aid money in its Brazilian operations is unequivocally wrong and without any basis in fact. No monies from a U.S. government loan would be allocated to investments in Brazil. In the case of Brazil, GM has $1 billion in investments that have been announced over the last two years. These investments are fully financed by GM's Brazilian operations through local sources. GM's operations in Brazil are fully self-funded.
GM Latin America, Africa, Middle East Communications
I think it's very important to be accurate on such an obviously bombshell story so I will update this as I get more information. In the interim, below is the original post.
U.S. taxpayer money. All of that talk about workers, demanding the UAW give up concessions and this is what GM is doing with the money!
General Motors to Invest $1 Billion in Brazil Operations -- Money to Come from U.S. Rescue Program
General Motors plans to invest $1 billion in Brazil to avoid the kind of problems the U.S. automaker is facing in its home market, said the beleaguered car maker.
According to the president of GM Brazil-Mercosur, Jaime Ardila, the funding will come from the package of financial aid that the manufacturer will receive from the U.S. government and will be used to "complete the renovation of the line of products up to 2012."
"It wouldn't be logical to withdraw the investment from where we're growing, and our goal is to protect investments in emerging markets," he said in a statement published by the business daily Gazeta Mercantil.
Look at that! On top of it GM is saying Brazil shouldn't cough up the money since they are trying to grow their economy!
Bail out money to GM should be immediately rescinded!