Re: Dakota days numbered?

From: Jason Bleazard (dml@bleazard.net)
Date: Sat Feb 17 2007 - 19:51:34 EST


Gary Hedlin wrote:
> Won't happen. GM has been fighting a long hard battle to reduce their
> liabilities for pensions, health care, and other labor issues.
> They're not about to take on Chrysler's problems too.

That's what I've seen. Apparently it's all a misunderstanding that got
sparked when they started talking about getting a Chrysler version of
the Tahoe. I checked out a few of the articles about it (Google News
works pretty well).
http://news.google.com/nwshp?tab=wn&ncl=1113659336&hl=en It's amusing
how many news outlets are taking a wild rumor completely seriously. GM
would be awfully stupid to try to take on Chrysler's problems when they
have so many of their own. I guess that doesn't necessarily mean it
won't happen, though.

Speaking of stupid things, I can't believe that the reason Chrysler is
in trouble is that nobody is buying SUVs, so their answer is to try to
buy an even bigger SUV from GM. *This* is how they respond to higher
fuel prices? Chrysler definitely needs to figure out how to respond to
changing market conditions much faster than they do. Let's face it, the
automotive market is definitely a different place than it was five years
ago. In my opinion, Chrysler needs to think less about the Tahoe and
more about the Aveo if they want to survive in the world of higher and
higher fuel prices.

> Most likely you'll see Daimler either spin off Chrysler into it's own
> company and take whatever comes in from the stock sale, or just sell
> the company to someone like a private equity group that can keep the
> company private so they can have an easier time making the company
> more profitable.
They have some interesting thoughts over at Allpar if you haven't read
them yet.
http://www.allpar.com/weblogs/2007/01/24/dr-zs-plan-for-chrysler/
http://www.allpar.com/weblogs/2007/02/14/likely-buyers-for-chrysler/

-- 
Jason Bleazard  http://drazaelb.blogspot.com  Burlington, Ontario
his:  '95 Dakota Sport 4x4, 3.9 V6, 5spd, Reg. Cab, white
hers: '01 Dakota Sport 4x4, 4.7 V8, Auto, Quad Cab, black



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