CORSA FOR HOPE; Brit plants' jobs joy at Vauxhall buy-out deal.

Byline: MARK ELLIS 

HOPES were rising last night that 5,500 British jobs could be saved as bosses closed in on a rescue deal for Vauxhall.

Canada's car parts maker Magna International was yesterday named as preferred bidder for GM Europe, Vauxhall's parent company.

If agreement is reached it will be just days before GM Europe's stricken American owner is expected to file for bankruptcy. Business Secretary Lord Mandelson said that after Magna tabled its offer, the company "made it absolutely clear they would be committed to continued produc-tioby Vauxhall in the UK".

Asked about what the deal means for jobs in the UK, he said: "It looks as if GM in Europe can be saved... but of course it will involve change, there is excess capacity." Magna would buy Vauxhall, which has plants in Luton and Ellesmere Port, along with Opel, which employs 26,000 in Germany and is key to the deal.

A meeting was held yesterday in Berlin, attended by German Chancellor Angela Merkel, to discuss approving the offer from Magna.

Magna has said it will inject around pounds 500million into Opel but would cut 2,500 jobs in Germany.

Its bid is backed by Russia's state-run Sberbank and Gaz, a truck firm owned oligarch Oleg Deripaska.

Voice of the Mirror: Page 8

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