After having clearly expressed for months its desire to get rid of Opel and its British affiliate, Vauxhall, which form the core of the company's European operations, GM, once the world's largest automaker, struck a tentative agreement with Magna in May, days ahead of seeking bankruptcy protection. But the potential deal has suffered tortuous setbacks, with GM and Berlin wanting to raise the bids, and a smaller GM emerging from bankruptcy-court reorganization in July under new leadership and stripped of assets. The parties reached an impasse last weekend, after the GM board of directors discussed the options for Opel but did not proceed with the Magna offer, backed by Berlin, or that of RHJ. While GM remained tight-lipped over the fate of Opel, German Chancellor Angela Merkel's government stepped up the pressure, calling on the US government, which owns more than 60% of GM, to push a resumption of negotiations with the automaker.