Kia Bidders Include Ford but Not GM

Ford Motor Co. and the South Korean auto firms Hyundai Motor Co., Daewoo Motor Co. and Samsung Motors Inc. entered bids for Kia Motors Co., but General Motors Corp. dropped out of the bidding at the last minute, Kia said. GM had said in July it would be among the bidders for Kia, South Korea’s second-largest auto maker before it collapsed last year in a financial crisis. A 15-member panel will study the offers for Kia and its commercial-vehicle unit, Asia Motors Corp., and will announce the new owner on Sept. 1. Kia’s creditor banks have promised to write off nearly half of Kia’s $6.7-billion debt to make the company more attractive. Ford already owns 16.9% of Kia, which has $5.9 billion in assets. The successful bidder must buy at least 51% of the equity of Kia and Asia. Kia, which has been under court receivership since going bankrupt in July 1997, produced 780,000 cars in 1997. On the New York Stock Exchange, Ford shares were down 81 cents to $48.06.