Chrysler Sold off

[lumberjim]

DaimlerChrysler split today.....

What began as a merger of equals, morphed into Daimler owning the controlling interest.....and souring to the point that they offed them at a wicked loss.

Daimler's getting about one-fifth of the amount it paid for Chrysler back in 1998.

Less than a decade. I wonder what will become of the cool crossover cars like the Crossfire? I wonder what it will mean to Jeep. I wonder what it will mean to me as a Jeep owner.

.....cloud.

[lookout123]

my guess if i had to make one is that you are about to see some absolutely ruthless activity with the brand. private equity = MAKE ME MONEY OR DIE. it is that simple. expect to see a lot of the inept management swept aside. expect the UAW to get kicked squarely in the nuts. it is contract year next year. the new guys just bought the company in a fire sale and they have room to play hard. salaries, and wages will be cut across the board. possibly experimentation with income based on company performance rather than guaranteed wages as has always been the case. UAW doesn't like it? what are they going to do -strike? *pffft* we'll just close the plants and go to China. Private equity isn't concerned about community relations at the expense of profits.

Ford and GM are watching very very closely. dealerships are watching very closely to see if they are about to go the way of the Oldsmobile.

[BigV]

Daimler's getting about one-fifth of the amount it paid for Chrysler back in 1998.

**and** an escape from about $18,000,000,000 of pension and healthcare liability. I bet sooner, rather than later, you and I will bear a piece of that action.

MAKE MONEY OR DIE

Yep, bullseye, as usual. I don't reckon those boys have any intention of dying.

Oh, and in case you missed it elsewhere, welcome back, lookout123. Very nice to see you again.

[Beestie]

Originally Posted by lookout123

Good Info and Analysis...

Good info and analysis lookout. I'm also changing my recommendation on TORO and John Deer to **BUY** as I predict there will be a spike in lawnmower sales as the MBA's tw is always ragging on are "encouraged" find new and alternative ways to pay their bills in the coming months. :-)

[xoxoxoBruce]

Daimler retains 20% and will be supplying all the Daimler parts now used in Chrysler products.

[lookout123]

yep, the parts are profitable. the american workers aren't. more to the point, the benefits associated with the american workers aren't.

[xoxoxoBruce]

The European autoworkers make considerably more money, but the US auto companies didn't want to pay those rates so they promised future benefits and pocketed the difference.
Now the promises are due, they've pissed away the money and would like to shift the promises on to the government(YOU). Can you say Airlines.
So the bastards that pocketed the loot, walk away scot free, with huge golden parachutes.

[fargon]

I have 3 cars '87 Chrysler Le Baron, '87 Dodge Ram 150 LE, '95 Dodge Ram 1500 4+4. What this means to me is more aftermarket parts.
My friends that work at the local Chrysler store say that this will not change availability, but will raise prices. Only time will tell.