GM Europe to Save $664 Million a Year

General Motors Corp. will save 500 million euros ($664 million) annually at its unprofitable European unit after reaching an agreement with unions to cut 11,500 jobs and reorganize.

The Adam Opel division, based in Ruesselsheim, Germany, plans to eliminate 9,500 jobs through early retirement and retraining, General Motors said. An additional 2,000 jobs will be cut in Britain, Sweden, Spain and Belgium. The company will slash 15% of management jobs across Europe.

Shares of GM rose 9 cents to $38.35 on the NYSE.