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Russian Billionaire Buys Five Percent of GM

A Russian billionaire is reported to have bought a five percent stake in U.S. automaker General Motors (GM).

A report in a Russian newspaper Vedomosti says Oleg Deripaska bought about five percent of GM last year. The report is based on unidentified sources and says he does not plan to increase his stake.

Deripaska's holding company, Basic Element, declined to comment on the paper's report.

Deripaska owns Russia's biggest aluminum maker, United Company Rusal. Last year he bought a large stake in Canadian auto maker, Magna International.

General Motors is the largest US automaker. The company posted higher-than-expected earnings for the second quarter of this year, in a significant turnaround from the same time last year.

The U.S. automaker is in the middle of a major restructuring program, which includes job cuts and plant closures. Last year GM cut production because of falling demand for trucks and sport utility vehicles.

Some information for this report was provided by AFP and AP.