Re: Daimler confims talks to dump Chrysler

From: JAMES KNOX (knox.james@sympatico.ca)
Date: Wed Apr 04 2007 - 23:59:55 EDT


At this point it looks like Magna is offering 4.7 billion and looking for a
silent partner.

Jim 91 Dak

----- Original Message -----
From: "Tom Byrne" <kerib@ptd.net>
To: <dakota-truck@dakota-truck.net>
Sent: Wednesday, April 04, 2007 10:05 PM
Subject: Re: DML: Daimler confims talks to dump Chrysler

>
> 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....
>>>>
>>>
>>>
>>>
>>>
>>
>>
>>
>>
>



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