Any bid for Fiat from US auto giant General Motors is likely to be "very low value" despite Wednesday's announcement of over 8,000 "temporary" job cuts.

"We're expecting a very low value," Fiat Chairman Paolo Fresco said in an interview with the Wall Street Journal.

I don't think they will give us a high value or that would hurt their bargaining position and give me strength to negotiate

Paolo Fresco Fiat Chairman

He also said that GM's plan to write-off most or all of the $2.4bn invested in 2000 for a 20% stake in the Fiat Auto were an opening move in price negotiations.

Wednesday's restructuring was the latest in a string of emergency measures to stop widening losses, flagging sales and high debts at what was once Europe's biggest car maker.

Italy's three powerful unions have called for a four-hour strike on Friday across the Fiat group.

Takeover talks

"I don't think they will give us a high value or that would hurt their bargaining position and give me strength to negotiate," Mr Fresco was quoted as saying.

He said the two companies are discussing "endless possibilities" without elaborating but that are thought to involve a possible outright sale.

But Mr Fresco said there was no discussion of merging Fiat Auto with GM's German car unit Opel, because of the difficulty of uniting two such troubled companies.

"It is obviously a logical alternative but it's not on the table at the moment," he said.

Fiat Auto comprises the Fiat, Alfa-Romeo and Lancia brands, but not Ferrari, which is controlled through another Fiat unit.