Chrysler has finally been sold. A private equity firm has bought it. The same firm who owns a bunch on rental car companies. They don't have to answer to any of the shareholders anymore because they are private.
Chrysler sold
- Thread starter stalian999
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DC bought Chrysler for $37 billion dollars, spent untold billions more integrating and developing products with them, and now sold them for $7.4 billion. Good deal Germans.
This is nothing but bad news for Chrysler. I'm not sure Cerberus knows what it's doing at this point. Last year they bought a grocery chain, bought a majority stake in GMAC (which is a disaster at this point) just to stick it to KKR, and now they buy Chrysler...I'm just not sure what they want it for. Are they going to slash and burn and then attempt to liquidate? Do they want to build cars for some reason? Either way, expect major changes at Chrysler. If you work there, start filling out resumes (not that it's any different than any other car maker at this point).
I just hope they don't destroy it. It'd be nice if it was a genuine attempt to bring it back, but I don't have too much faith in that.
p.s, DC basically just paid Cerberus to take on this company. You tellin me all the assets and brand value Chrysler has isn't worth more than $7 billion? They were desperate to ditch their obligations and the Germans wanted rid of the Americans, so they took a colossal loss to do it...
This is nothing but bad news for Chrysler. I'm not sure Cerberus knows what it's doing at this point. Last year they bought a grocery chain, bought a majority stake in GMAC (which is a disaster at this point) just to stick it to KKR, and now they buy Chrysler...I'm just not sure what they want it for. Are they going to slash and burn and then attempt to liquidate? Do they want to build cars for some reason? Either way, expect major changes at Chrysler. If you work there, start filling out resumes (not that it's any different than any other car maker at this point).
I just hope they don't destroy it. It'd be nice if it was a genuine attempt to bring it back, but I don't have too much faith in that.
p.s, DC basically just paid Cerberus to take on this company. You tellin me all the assets and brand value Chrysler has isn't worth more than $7 billion? They were desperate to ditch their obligations and the Germans wanted rid of the Americans, so they took a colossal loss to do it...
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MAYBE they'll actually put some money back into the Ram interior.
Does this mean Chrysler is an American car company again? :shrug:
Or is it just a stepping stone to selling Chrysler to the Chinese?
Or is it just a stepping stone to selling Chrysler to the Chinese?
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I'm banking on them getting sold again.
Daimler wanted out; these guys pick them up cheap; invest *slightly* and resell and make a couple billion.
Daimler wanted out; these guys pick them up cheap; invest *slightly* and resell and make a couple billion.
DBK said:
Actually I heard said on the news this morning that the new owners would have a hard time ever getting Chrysler to turn around because of "Legacy issues." People have known for years that a Chrysler vehicle's value drops as fast as a rock after it is purchased. People don't want to pay $35,000.00 for a car and 12 months later it is only worth $12,000.00 - $15,000.00. Other Legacy issues are build quality, power, and such. Also the UAW is going to have to strike some new deals to allow the new owners to survive.
Just my .02 cents worth.
wvmystichrome said:
i don't believe this at all...u can't find a 2002-2003 300c, magnum, or charger (v8's) for under 22k hardly and that's 5yr old vehicles. all of those are holding their value as well as Jeep Commandors, Grand Jeep Cheerokes, and etc.
wvmystichrome said:
Cudas, Chargers, and Challengers seem to hold their value fairly well :shrug:
but Chrylser is still german
I hope they don't kill the new Challenger....
that would probably be the dumbest thing they could do...03cobrablack said:
MonkeysL said:
It would be really hard to find an 02-03 magnum, charger or 300C. 05 was the first year of production for the lx platform. 05 was the year to get becuase of the 7yr 70K mile warranty. In 06 they reduced it to 3 year.
wvmystichrome said:
Legacy issues refer to their pension and health care obligations. That is a big part of why they went so cheap, because Daimler just wanted to be rid of those obligations. Legacy doesn't refer to those things.
dougwg said:
Cerberus, named after the 3-headed dog that guards the gates of Hades. Cerberus also owns 51% of GMAC (General Motors Acceptance Corporation).
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