Re: Daimler confims talks to dump Chrysler

From: Tom Byrne (kerib@ptd.net)
Date: Wed Apr 04 2007 - 23:05:35 EDT


I cannot. It is inside info. Toyota is not having trouble with organizing.
Workers told the UAW to take a hike years ago and do not want to go down the
GM road. Toyota culture encourages worker participation. The most junior
assembly line worker can shut down the line if he or she sees a problem,
especially a quality problem. They have unions in Japan, but they (and the
workers) work with the company rather than having an adversarial
relationship. The team approach is used. Toyota has no shortage of
applicants for jobs in the U.S.

I think Magna has the inside track, but it is just as likely that DCX stays
intact. DCX wanted the same benefit concessions the UAW gave GM and Ford.
The UAW refused stating that DCX has deep German pockets. If one recalls, it
was the UAW which began the practice of having the same contract with all
companies in the 1950s. Now it wants to change the rules. I wouldn't call
DCX's considering a Chrysler sale a total bluff, Dr. Zetsche will pull the
trigger if need be, but he is hopeful that the UAW caves instead of having
to deal with private equity firms who would rather break the company up than
cave to union demands.

    One sticking point could come from both German and North American
unions. In Germany, half the seats on a corporation's advisory board (board
of directors) are labor representatives. The UAW has seats on the board. Non
of the unions want Chrysler Group to be sold to a private equity firm. Word
from my colleagues in Michigan is that the locals are hoping for either
Magna or the status quo.

----- Original Message -----
From: "Gabriel A. Couriel" <gcouriel@bellsouth.net>
To: <dakota-truck@dakota-truck.net>
Sent: Wednesday, April 04, 2007 10:03 PM
Subject: RE: DML: Daimler confims talks to dump Chrysler

>
> if you've got info to give us, please do. however, from what i've heard,
> Toyota is having problems with non-UAW plants, because some of the workers
> are trying to organize.
>
> however, i agree, some things definitely have to change, beginning with
> the
> Patriot.
>
> Gabriel A. Couriel
>
> 2006 DML Fantasy Football Champion
>
>
>
> -----Original Message-----
> From: owner-dakota-truck@bent.twistedbits.net
> [mailto:owner-dakota-truck@bent.twistedbits.net]On Behalf Of Tom Byrne
> Sent: Wednesday, April 04, 2007 8:53 PM
> To: dakota-truck@dakota-truck.net
> Subject: Re: DML: Daimler confims talks to dump Chrysler
>
>
>
> You heard wrong. If Cerberus or the Blackstone/Centerbridge group buys
> Chrysler a break up could be possible. The more likely plan is for one of
> the potential buyers to tell the UAW to take a hike, build trucks in North
> America and build small cars overseas where they can be built profitably.
> This puts Magna in the best spot as it builds cars for Chrysler in Austria
> and it has production facilities in Canada where the CAW is a bit more
> cooperative than the UAW. The next plan would be to steal a page from
> Toyota's book and build vehicles in non-union plants in the Southern U.S.
> where they can be built profitably. The Dak would likely be history. There
> would be a Ram, maybe a small truck and crossover SUVs. Marketing would be
> improved. I mean, why doesn't DCX mention that the 2wd Magnum (any engine)
> gets essentially the same mileage as the V6 Camry.
>
> The Caliber sells well, but thee isn't much profit in small cars The
> Avenger is a job not finished, but has potential. The drag comes from
> trucks
> and poor marketing of the Magnum. Charger and 300 since fuel prices began
> to
> rise in 2005. Jeep is the crown jewel here. It has tremendous brand
> recognition and loyalty. Look for the new owner to kill the Compass.
>
> Remember, Chrysler was making money building cars up until that time.
> The last time GM's and Ford made money form auto operations was 2001. They
> did make money through 2004, but that is because their financing units
> (GMAC
> and FMCR) made more than auto ops lost.
>
> I have to be careful what I say because I am not a casual outside
> observer (professional life), but I want to clear some things up here.
>
> ----- Original Message -----
> From: "Gabriel A. Couriel" <gcouriel@bellsouth.net>
> To: <dakota-truck@dakota-truck.net>
> Sent: Wednesday, April 04, 2007 4:25 PM
> Subject: RE: DML: Daimler confims talks to dump Chrysler
>
>
>>
>> news i heard today on the radio was that DCX was considering selling
>> parts
>> piece-meal, if they can't get an all-or-nothing bid. also, DCX will
>> select
>> a potential suitor by end of the month, and then hold negotiations with
>> just
>> that buyer.
>>
>> Gabriel A. Couriel
>>
>> 2006 DML Fantasy Football Champion
>>
>>
>> -----Original Message-----
>> From: owner-dakota-truck@bent.twistedbits.net
>> [mailto:owner-dakota-truck@bent.twistedbits.net]On Behalf Of Bernd D.
>> Ratsch
>> Sent: Wednesday, April 04, 2007 3:35 PM
>> To: dakota-truck@dakota-truck.net
>> Subject: RE: DML: Daimler confims talks to dump Chrysler
>>
>>
>>
>> It's a coincidence...however, the District Rep here confirmed the
>> story...we
>> just don't know who's going to be in on it yet. GM did try to buy out
>> the
>> Jeep line...but DC told them either all or none.
>>
>> - Bernd
>>
>> -----Original Message-----
>> From: Gabriel A. Couriel [mailto:gcouriel@bellsouth.net]
>> Sent: Wednesday, April 04, 2007 1:55 PM
>> To: dakota-truck@dakota-truck.net
>> Subject: RE: DML: Daimler confims talks to dump Chrysler
>>
>>
>>
>> ummm... yeah, it is. one of the local dodge dealerships over here bought
>> their neighbor (Mazda/Jeep/Chrysler). they closed the Mazda side down in
>> about a month and a half.
>>
>> Gabriel A. Couriel
>>
>> 2006 DML Fantasy Football Champion
>>
>>
>>
>> -----Original Message-----
>> From: owner-dakota-truck@bent.twistedbits.net
>> [mailto:owner-dakota-truck@bent.twistedbits.net]On Behalf Of WiLieR[SS]
>> Sent: Wednesday, April 04, 2007 2:51 PM
>> To: dakota-truck@dakota-truck.net
>> Subject: Re: DML: Daimler confims talks to dump Chrysler
>>
>>
>>
>> Let's thicken it even more. A local dodge dealership just closed
>> overnight with no announcements and now all their inventory, both new
>> and used is sitting in the toyota dealer lot. Coincidence? Hmmmmmmm
>>
>> WiLieR
>>
>> - Original message -
>> http://www.msnbc.msn.com/id/17944679/ <snip> BERLIN - DaimlerChrysler
>> AG is confident a turnaround program at its Chrysler unit will return
>> the beleaguered American brand to profitability, but Chairman Dieter
>> Zetsche said Wednesday the automaker is in talks with unidentified
>> potential buyers.
>> <snip> The plot thickens....
>>
>> On 4/4/07, msnbcnnbcbs@hotmail.com <msnbcnnbcbs@hotmail.com> wrote:
>>>
>>> http://www.msnbc.msn.com/id/17944679/
>>>
>>> <snip>
>>> BERLIN - DaimlerChrysler AG is confident a turnaround program at its
>>> Chrysler
>>> unit will return the beleaguered American brand to profitability, but
>>> Chairman
>>> Dieter Zetsche said Wednesday the automaker is in talks with
>>> unidentified
>>> potential buyers.
>>>
>>> "As announced on Feb. 14, we are open to all options for future
>>> collaboration
>>> with Chrysler," he told some 9,000 shareholders crammed inside Berlin's
>>> exhibition center. "The statement is still true today."
>>>
>>> He said that the talks have been with "potential partners who have shown
>>> a
>>> clear interest" and "so far, I am satisfied with the process. Everything
>> is
>>> going according to plan."
>>> Story continues below &#8595;advertisement
>>>
>>> He would not elaborate on who was involved in the talks.
>>>
>>> Zetsche stunned the automotive world on Feb. 14 when he said that
>> continued
>>> losses and fierce competition in the United States meant that the
>>> German-American automaker was considering all options for its Chrysler
>> unit,
>>> and did not rule out a possible sale, saying only that all options were
>>> being
>>> considered.
>>> <snip>
>>>
>>> The plot thickens....
>>>
>>
>>
>>
>>
>
>
>
>



This archive was generated by hypermail 2b29 : Mon May 07 2007 - 19:04:35 EDT