General Motors Considering Absorbing Chrysler, Eliminating Brands.

Sprint XR8 · 18-10-2008, 08:37 PM

"GM is considering absorbing Chrysler under a take over deal, then phasing the automaker out of existence.
If such a scenario were to occur, GM would gain Chrysler's roughly $11 billion in cash and remove a competitor who now accounts for approximately 1.5 million units per year."http://jalopnik.com/5064441/report-g...inating-brands

Mark^^ · 18-10-2008, 09:33 PM

Bugga that, I want a Jeep Wrangler, no way I would buy a Holden Wrangler!!!

Buzz Box · 19-10-2008, 11:33 PM

Interesting concept.....

The thing is though at this point in time besides its cash what does Chrysler have to offer anyone??

Its engines aren't cutting edge, its interiors are , its dealership network is minimal and they only have a few models and if it wasn't for the 300C they'd proberly be out by now.

Sprint XR8 · 20-10-2008, 12:46 AM

Chrysler have nothing to offer, all it's products overlap with GM.
GM would merge jeep with hummer, then kill off chrysler and dodge. The void left in the market would increase sales of GM product.
GM would also gain a larger slice of the $25 billion government bailout.

EgoFG · 20-10-2008, 02:27 AM

Chrysler have an unequalled ability to go from concept to reality quickly, and keeping true to the concept.

This would be lost

Chrysler certainly surpass GM (and Ford) in some products. Judging by the 'absorb' and eliminate brand statements, this would also be lost.

I think it would be simply Cash, Firesale, government bailout.

An horrific shame if it goes ahead !

BFZ Wagon · 20-10-2008, 02:56 AM

I'm confused. If Chrysler is the one with the money and GM is the one that is bleeding money, how can GM takeover Chrysler? I would have thought it would be the more financial party that would be in a better position to absorb and shut down a brand?
I think it would be hilarious for GM to go byebyes..or at least have their oversized ego get trimmed down.

GS608 · 20-10-2008, 06:39 AM

i hope Chrysler doesn't get absorbed by those pricks at GM, it would suck if Jeep, Dodge and Chrysler disappeared!

MethodX · 20-10-2008, 09:11 AM

Why such hate for GM?
They make the same dort of cars as Ford and Chrysler do.

Hate the japanese makers instead.

GS608 · 20-10-2008, 09:17 AM

Quote:

Originally Posted by MethodX

Why such hate for GM?
They make the same dort of cars as Ford and Chrysler do.

Hate the japanese makers instead.

but unlike GM, the jap makers actually make some decent cars!

MethodX · 20-10-2008, 09:28 AM

Corvette, Cadillac CTS-V and the Aussie and Euro GM cars are quite decent.
Plus GM has a history and classics. lol.

Bossxr8 · 20-10-2008, 09:35 PM

Quote:

Originally Posted by All Wheel Drive

I'm confused. If Chrysler is the one with the money and GM is the one that is bleeding money, how can GM takeover Chrysler? I would have thought it would be the more financial party that would be in a better position to absorb and shut down a brand?
I think it would be hilarious for GM to go byebyes..or at least have their oversized ego get trimmed down.

Chrysler has less money than any of them, they are currently owned by a private equity group after MB flogged them off for 2 fifths of feck all just to get rid of them.

**ebxr8240** · 20-10-2008, 09:39 PM

Aha in todays climate.. Where's the money comeing from ???
Its the other side of the Pacific they should be worried about !!

Sprint XR8 · 20-10-2008, 10:45 PM

Chrysler was purchased by private equity group Cerberus in aug 2007, Cerberus also currenty own 51% of GMAC GM's finance arm.
The deal is Cerberus would exchange Chrysler for GM's remaining 49% of GMAC.

Sprint XR8 · 21-10-2008, 12:35 AM

Article: GM aims to take Chrysler's cash, close its outdated plants.http://www.financialweek.com/apps/pb...810209993/1036

Cobra · 21-10-2008, 08:55 AM

I would love if it backfired and it meant Ford got more sales. Maybe the Chrysler fan boys might boycott GM and buy Ford as a result, but over all it will come down to GM getting more sales, and that's all they want cash aside.

whiskieboy · 21-10-2008, 09:27 AM

Chrysler may be close to surmounting a stumbling block to a merger with General Motors or another automaker. Cerberus Capital Management, which owns a majority stake in Chrysler, is nearing a deal to buy out Daimler AG, which owns nearly one-fifth of the beleaguered American car company, Reuters has reported.
Just in from the States

whiskieboy · 21-10-2008, 09:29 AM

The global financial crisis and speculation about a potential GM-Chrysler merger or other merger and acquisition activity is generating nearly around-the-clock auto industry coverage. Media are closely watching the liquidity situation at GM – and many have said a takeover of Chrysler would be signal of desperation. Ford continues to be included in “Detroit Three in crisis” stories, but key journalists and commentators have noted Ford is in the strongest relative position given its simplified brand portfolio, a bigger cash cushion and Ford Credit’s lending availability.
Also just in from the States,

Homer1 · 21-10-2008, 09:49 AM

Quote:

Originally Posted by MethodX

Corvette, Cadillac CTS-V and the Aussie and Euro GM cars are quite decent.
Plus GM has a history and classics. lol.

So what???? History and classics counts for jack s*** now in the current climate. The ability to make good cars with maximum efficiency does and that's why the likes of GM and Fiat are in trouble.

GM I can live with as they still make some (but not much) decent products, but Fiat should just be put out of its misery along with the likes of Alitalia which like Fiat should have ceased to exist ages ago :evil_laug

MethodX · 21-10-2008, 09:53 AM

Quote:

Originally Posted by Homer1

So what???? History and classics counts for jack s*** now in the current climate. The ability to make good cars with maximum efficiency does and that's why the likes of GM and Fiat are in trouble.

GM I can live with as they still make some (but not much) decent products, but Fiat should just be put out of its misery along with the likes of Alitalia which like Fiat should have ceased to exist ages ago :evil_laug

Ah riceboy right on cue.
FIAT isnt in trouble, its making money.
Whats your godforesaken country make again? remind us?

gtxb67 · 21-10-2008, 09:56 AM

Quote:

Originally Posted by MethodX

Why such hate for GM?
They make the same dort of cars as Ford and Chrysler do.

Hate the japanese makers instead.

the reason i hate gm is they do not have a passion for cars, only money. it is called "general" motors for a reason. they have (probably) not built a car in their life - they just own alot of companies that do. early in the last century ford was selling the most cars. general motors was formed because chevrolet, and all the others were not selling enough. the dodge brothers on the other hand, were investors in ford to begin with and while being involved with ford, then went off to build their own. at least they had a passion for cars and it would be sad to see chrysler fall off the face of the earth, especially if they were to get swallowed up by the "general" car makers

general motors appeal to the lowest common demoninator. at least with japanese cars, there may not be as much passion as with ford and chrysler, but they do make cars that although boring in many ways, will give a lot less trouble than the australian and american cars

MethodX · 21-10-2008, 10:02 AM

Quote:

Originally Posted by gtxb67

the reason i hate gm is they do not have a passion for cars, only money. it is called "general" motors for a reason. they have (probably) not built a car in their life - they just own alot of companies that do. early in the last century ford was selling the most cars. general motors was formed because chevrolet, and all the others were not selling enough. the dodge brothers on the other hand, were investors in ford to begin with and while being involved with ford, then went off to build their own. at least they had a passion for cars and it would be sad to see chrysler fall off the face of the earth, especially if they were to get swallowed up by the "general" car makers

general motors appeal to the lowest common demoninator. at least with japanese cars, there may not be as much passion as with ford and chrysler, but they do make cars that although boring in many ways, will give a lot less trouble than the australian and american cars

i always remember the name coming from Durant when he added car companies to his empire.
not meaning to sound like it made appliance like cars.

Walt Kowalski · 21-10-2008, 10:28 AM

I saw the thread and thought "what will they call themselves "Motors"?

Sorry. Couldn't help it.

schnoods · 21-10-2008, 12:53 PM

For a company that is doing hard financially, buying out a competitor for the sake of eliminating him is a bit strange.

I dont ever see GM going bust (due to government bailouts) but i do see having a minmal range of cars eventually.

Killing off the Dodge and Chrysler name would be a crime IMO, buy em out andsell under the badge but dont kill it, after all it could potentially be an asset if someone wanted to keep the badge alive.

chevypower · 21-10-2008, 03:36 PM

I think GM are going to kill off Pontiac, GMC and Saturn... I could see Buick and Chrysler merging brands (and being called Chrysler)
Chevrolet, Dodge, should stay
Cadillac would stay
I could see Holden, Vauxhall and Opel going under the Chevrolet brand, even if it did upset a few people at first.

Nikked · 21-10-2008, 05:04 PM

Hemi Powered corvette?

FPV8U · 21-10-2008, 05:12 PM

Quote:

Originally Posted by Nikked

Hemi Powered corvette?

LS9 is fine thanks...

:

Bossxr8 · 21-10-2008, 05:54 PM

Quote:

Originally Posted by schnoods

For a company that is doing hard financially, buying out a competitor for the sake of eliminating him is a bit strange.

I dont ever see GM going bust (due to government bailouts) but i do see having a minmal range of cars eventually.

Killing off the Dodge and Chrysler name would be a crime IMO, buy em out andsell under the badge but dont kill it, after all it could potentially be an asset if someone wanted to keep the badge alive.

They can make money by selling off their assets, selling some of the brand names and by taking whatever cash reserves they have.

Sprint XR8 · 22-10-2008, 12:12 AM

Quote:

Originally Posted by chevypower

I think GM are going to kill off Pontiac, GMC and Saturn... I could see Buick and Chrysler merging brands (and being called Chrysler)
Chevrolet, Dodge, should stay
Cadillac would stay
I could see Holden, Vauxhall and Opel going under the Chevrolet brand, even if it did upset a few people at first.

When GM is eventualy restructured they will most likely make Chevrolet/Cadillac it's global brand.

IDT · 23-10-2008, 01:32 AM

I heard them say on SBS news two or three days ago day that there were merger talks occuring between Ford, Chrysler and GM as a result of the so called financial crisis.

Yes, I know its SBS the funny lookin grey haired lady. I even asked the missus if what I heard was correct. I'm not believing anything I see or hear about anything to do with the finacial crisis.

Keepleft · 23-10-2008, 10:02 AM

Quote:

Originally Posted by WAForce8

I'm not believing anything I see or hear about anything to do with the finacial crisis.

This is actually quite funny!~

Anyhow;-
http://ap.google.com/article/ALeqM5g...iahxQD93V4A3O0

Ford Share price:- as of 04:03 PM EDT on 10/22/2008 in USD (NYSE Delay: 20 mins.).
B]2.10 - [/B] 0.07 -3.23%
http://finance.aol.com/quotes/ford-motor-company/f/nys
Notes 52 week low was 1.88, so its been lower...

Ford stands alone:-
While GM and Chrysler continue their flirtation - with Renault-Nissan watching from afar - the No. 2 automaker remains a wallflower.
http://money.cnn.com/2008/10/22/news...tune/index.htm