GM Europe in talks with employee representatives

FRANKFURT, Germany (AP) -- The head of General Motors Europe says the company is in talks with unions and employee representatives on ways to return the company's Opel and Vauxhall brands to profitability.

GM's European business lost $700 million in 2011 and company officials have expressed their determination to make it profitable.

GM Europe head Karl-Friedrich Stracke said that "we are in discussions with the unions and the works council and it is all targeted at getting Opel-Vauxhall back to profit."

GM's German labor contracts do not permit plant closures through 2014. Employee representatives say they're willing to talk about ways to help improve the company's finances — but insist on sticking to the contracts.

Stracke would not answer questions about possible plant closures after 2014.