Seoul  - The head of US automaker General Motors Company (GM), Fritz Henderson, is seeking new credit for its subsidiary GM Daewoo Auto and Technology.

Henderson said at a GM Daewoo factory in Bupyong on Thursday that he had a "constructive and open dialogue" with the state-owned Korea Development Bank (KDB) the previous day in Seoul.

They discussed how to ensure a successful future for GM Daewoo, the Yonhap news agency quoted Henderson as saying although he did not give details.

The talks with KDB, GM Daewoo's largest creditor, were ongoing. GM Daewoo and KDB are in discussions about a loan of 1 trillion won (866 million dollars).

GM Daewoo has asked various banks for additional finance after a 2-billion-dollar credit facility ended.

The KDB told the parent firm last week to come up with more money for GM Daewoo otherwise it would not extend other loans.

It also wants GM to produce a long-term plan for GM Daewoo's survival, the South Korean daily Chosun Ilbo reported after the talks with Henderson quoting a KDB manager .

The formerly largest carmaker in the world emerged from Chapter 11 bankruptcy reorganization in July.

Henderson said GM Daewoo would continue to be important for GM. "As the new General Motors focuses on building a new generation of highly efficient cars, GM Daewoo's responsibility in manufacturing, sales and product development for the entire GM family will grow significantly," Henderson said. (dpa)