okay….

Ha! Seems like good ole’ Lutz is Nuckin Futz.

That makes perfect sense, when you have a company that is loosing money…0 dollars is a fair price because Chrysler is likely to continue loosing money, and will require an infusion of cash to turn it around. So the offer was not so absurd after all.

give it to me…i’ll turn it around in no time…starting with increasing price of commanders instead of stopping production of a multi million project

Madcapp, I’m sorry but that makes no sense. Just because a company is losing money does not mean that it has no value. Why dod GM even make an offer so low. That is a waste of both company’s time

sorry – ‘did’

YA BACK!!!!mwuah

(to gmnumber1)

This is a case of you’ll never know until ya try. The worst Daimler could say is no. No harm in trying, or testing the waters.

Yeah I forgot daimler is in such financial difficulty that they have to let go of chrysler for nothing lol LMAO Daimler corp is in much better shape then GM will ever be and makes hell of alot of profit too. At the moment Daimler is only seeing how much they can get and if the right figure comes along they will take it and run.

Only way GM can afford chrysler now is if they offer daimler 20% of GM.

So offer 500 million to buy Chrysler, buy Chrysler, take the best of what they have to offer (Jeep), sell the rest for 500+ million.

It was worth a shot.

Sounds like an “F U, Dr. Z. You broke it deal with it.”

That’s more than I would have offered.

When you buy a house and the market collapses while you own it, or you damage it somehow, when you go to sell it the mortgage may be bigger than the home’s market value. So you have to pay someone to buy it from you.

Same with ChryCo. Its value has diminished so dramatically since the German deal, GM’s offer was not unreasonable. You can understand why Dr. Z said no, though. (For now.)

500 million for a dead company is nothing?

They should just kill the company, heck I’d take a Lotus designed Proton any day over a Chrysler rental. Better handling, better interior…

“Analysts value Chrysler anywhere between nothing and $13 billion” –

That’s a HUGE gap. Start by hiring better analysts. Set a price and let the bids begin. Surely Arab or Chinese investors will jump on it. The way to fix this company is to stop producing ****box cars like the new Sebring. How many of those have been sold? 10?

Lee Iacocca anyone?! What Chrysler (as well as some other American companies) need is a better visionary and direction. Take out the crap that isn’t selling (i.e. Commander and sebring), improve reliability and tweak products with potential (i.e. 300), and focus on what you really have to offer. Play to your strengths. You don’t have to offer a full line of everything to be profitable. It just needs some good leadership and the willingness to take 3, 5, or however many years to turn around.

even if the company is not profitable at the moment, all its assets have to be valuable to someone. just not to GM. the last thing they need is more production capacity in north america.

where are the chinese?

WHERE ARE THE CANADIANS, ITS A PERFECT FIT, MOST ARE BUILT THERE ANYWAYS, AND THEY CAN STILL SAY ITS PART OF THE NORHT AMERICAN AUTO INDUSTRY. IT WILL SPELL CERTAIN DOOM FOR CHRYSLER IF IT ENDS UP IN CHINEESE HANDS, I NEVER CARE FOR THE FACT THE GERMANS GAT A FOOT IN THE DOOR BUT I STILL WOULD HAVE NOT HAD AN ISSUE WITH BUYING A RAM, BUT A CHINEESE RAM IS NOT AN OPTION. I WOULD SETTLE FOR A 4 STAR TUNDRA BEFORE I BOUGHT A 5 STAR CHINEESE RAM.

–>@ 55amg
I’m a satire clone

GM is just as worthless.

Take all of GM stock and add the value of their buildings (the ones in the detroit area are worthless by the way). Then subtract out ALL the future UAW pension payouts and you have a worthless company.

Opps, I forgot to add a shrinking market share.

“Gee Mr. Lutz, can you you save our company.”

Welcome to the world of unions lol.

$0 is the proper offer

- it will be extremely expensive to support chrysler’s retiree benefits

- it will be extremely expensive to revamp/payout/retain the dealers

- it will be extremely expensive to support even more manufacturing capacity than GM needs right now

- it will be extremely expensive to lose more money on more healthcare for more workers

buying chrysler means buying all of the negative attributes this industry needs to rid itself of…for GM to buy chrysler means just digging itself a little deeper into the same kind of holes it is in now, why would they do that? because the 300 sells well? be real, in three years the 300 will be old hat but GM will still have to deal with all of the above problems

everyone here talks about one car or another being good or not, that has practically nothing to do with an acquisition on this scale, in fact i doubt anyone in the m&a discussions even bothered bringing up the current range of vehicles offered by chrysler, its probably obvious that its irrelevant

i have no idea why anyone wants to buy chrysler, it would be frankly easier and cheaper to start a new car company. the brand name itself isn’t even valuable, most consumers have negative reactions to the big three’s brands now in any case

interested investors should go buy tesla motors, do something totally new in a soon-to-be rapidly growing market, and make some real money

YEAH LETS INCREASE THE PRICE OF THE COMMANDER WHICH ALREADY DOESNT SELL! GREAT IDEA!

“all its assets have to be valuable to someone.”

not true. needless capacity is needless capacity. the town i grew up in had one of the largest single factory complexes in north america to build combines for massey ferguson (now defunct). they went belly up and these factory complexes, practically ready for turn-key use in heavy assembly-line manufacturing, sat empty for well over a decade, eventually being rented out for practically nothing to flea markets, wharehousing, and other last-gasp users.

GM already has too much capacity, they are churning out vehicles no one is buying just to keep the lines running. taking on more money-losing infrastructure isn’t just stupid, its dangerous

Most Chrysler products are crap anyway…apart from the Viper. Perhaps the ChryslerGroup, GM and Ford should all join forces. They would invincible. All Americas engineers working for a single company. We could have cheap musclecars along with hatchbacks, saloons…you name it.

Hahaha GM should probably focus on getting out of a $300 billion debt, maybe should focus on making better products (they’re kind of getting there, but they’re still trailing), maybe should focus on not badge engineering so many models, and maybe should NOT FOCUS ON PRETENDING LIKE THEY’RE GOING TO TAKE OVER CHRYSLER

LMAO!!!!!!!!!!!!!!!!!!!!!!!!!!!!! Chrysler worth next to nothing.

Illustrates the sad state of affairs for the American auto industry.

GM is moving ahead and out of debt. They are the only one out of Detroit doing so and doing so right now. They’re turn around is coming slower than most would like but when the new cars and SUVs (I’m looking forward to those Lambdas) hit GM may have real problems keeping up with demand. Now If FORD would just get it in gear…

Besides I think GM was playing a nasty game with Daimler-Benz over Chrysler to make that company even harder to unload and hurt DCX as a group even more. That and remove any speculation that GM is at all interested in buying Chrysler by posing such an insulting bid.

Frankly Chrysler being bought out by Canadians doesn’t sound all that bad. Most of their stuff is made in Canada anyway, I suppose.

FOOLS. If you have nothing constructive to say, shut up! If MB is so great, why couldn’t they make the Chrysler Group more competitive with the Japanese? They bought it for 36B and cash rich, then bled it dry fixing what ailed MB at the time- same ‘ol same ‘ol in the business world. You hear about it all the time. So, Kirk Kerkorian was right all along.

Half the problem, as evidenced by GM’s struggles, is THE UNIONS and their stranglehold on the domestic car companies. The UAW is just a big money-sucking corporation inside of another corporation. No offense to the workers, but your union rep has screwed you out of a long-term career and all the perks due to their own greed.

The other half of the problem is that the “brain trust” that brought you the Durango/Aspen (10 years too late) should be shot for spending millions on a behemoth that sucks gas. WHAT where they thinking? In the meantime, Honda and Toyota are making huge strides in the car market once OWNED by GM, Ford and Chryco because they stayed focused on engineering, quality and economy. We live in a World Market today. We’ve hidden behind the protection of the government for too long and now we’re paying for it in jobs.

I don’t think they (the domestics) make crap, but it’s going to take a lot of convincing to get the public to take a second look when they have other options (Hondas and Toyotas) that are keeping their value longer.

Too bad. Walter Chrysler is rolling over in his grave.

timg is correct, far better and easier to simply start a new car company that can:

- focus on alternative energy vehicles without having so much history and bondage to big oil

- get a completely new method for compensating employees. no unions at all anywhere in the company. award stock options to any employee, let them use 401k for retirement and try to do something smart with healthcare. the “big three” will never be able to change the way they compensate most employees, or if they do, it will be too late

- rethink dealerships

- rethink how cars are manufactured. outsource the whole frigging thing if need be. how many ipods does apple MANUFACTURE? NONE. they only design and market them.

none of these radical changes can happen in car companies as they are currently run

honda just recalled 300000 cars, thats more than the last couple years of ford

I hate to bring this up, but have any of you actually driven the new Sebring? I was reluctantly given one as a Hertz rental last weekend and drove it over 1000 miles during the three days I had it. Believe it or not, I was actually impressed by the thoughtfully designed interior (except the horribly sun-glaring chrome on the console and transmission selector), ample power and the tossability of the suspension. And while the styling is questionable, everyone that saw it thought it was a much more expensive car.. something you couldn’t say about the previous Sebring.

I used to be one of the many that points to the new Sebring as the worst offspring of the DC union.. but after driving one, I will never do that again.

If this offer is valid…then an offer for buying GM should be the same since they bulit a lot of craps as well.

owned

“Comment by TimG, posted on March26 at 4:46 pm”

Not to burst your bubble, but look at the figures, when benz bought Chrysler, and in the 2-4 years of owning it, they made it go from about to file for bankruptcy to a profitable company. Now Dr. Z isnt even in charge of Chrysler anymore, hes incharge of mercedes, and honestly, that guy is a genius, no wonder chrysler is going down hill now, because Dr. Z aint there incharge. Now hes turning mercedes around, and go check out some of their recently designed cars, and compare them to how they were 5-10 years ago… MASSIVE improvements!

After reading all of your posts, I’ve decided that all but 5 or so of you are complete morons. Especially those of you that spoke of Chrysler being worth as much as GM. I don’t think you people realize how big the General is, without it, this country would FAIL. They’ve got they’re hand in everything, whether we like it or not. As far as offering 10% to DCX for Chrysler-do your homework and figure out how much thats worth-It’s more than you think.

maxxer442: Clearly if you’ve decided “all but 5 of us are morons”, then it’s the final word. I sure love people on this site that come on and pretend as if after long consideration, they, the supreme being/mind, have come to the conclusion that everyone here except a handful and of course, themselves, are total morons. Such ignorance.

maxxer442: You clearly have no idea about businesses and the valuation of businesses do you? A company could be the biggest company with 20 brands and still be worth less then a company which only has 2 brands e.g. Toyota and GM.

Why do you think daimler shareholder really wanna split from chrysler? Because the companies are worth more separated. Take the fact the daimler part is worth twice what GM is worth and that only really consists of Mercedes. Only becuase mercedes perform much better with bigger profit.

BMW bought rover for 800,000,000 GBP and sold it 6 years later for 10 GBP and made a profit!
.
In the interim they sold Land Rover to Ford for 1,800,000,000 GBP, which helped cover their investment in Rover’s plant. Ford had bought Land Rover, but the cars were designed to use BMW engines, so they still had to buy the engines from BMW.
.
When they sold Rover to an investment banking consortium for 10 GBP, they kept the engine plant and a panel pressing plant. The bankers (Phoenix) bought the plants several years later at a fair price.
.
Thus BMW made a guranteed profit on Land Rovers and Rovers for years after they sold both companies. Phoenix bought themselves the designs and the least profitable plants, as well as all the workforce obligations, they didn’t even buy the Rover brand, which BMW sold to the Chinese years later.
.
While BMW owned the company they developed their own highly profitable 4×4 (X5) and a highly profitable small fwd car (MINI), Both models were developed using expertise from the Rover and Land Rover.
.
Mercedes have not found so many useful elements at Chrysler, but they will be able to sell the old E-Class platform for some time while the new buyer struggles to amass the resources to develop a new platform. I wonder what other parts they are trying to hold onto. $0 could be a very fair price…

Hi autonutt, I agree they seem nice for a while. We rented an Intrepid first, the waited for quality surveys from the first 2 years before we purchased a brand new Intrepid. It rode nice, looked nice, but turned out to be a piece of crap. Things broke on that car for 9 straight years, some parts over and over again (like the expensive transmission).

Chrysler was…and is…in trouble due to the junk they sell that doesn’t last.

Mercedes has it’s own problems with quality and right now can’t help Chrysler fix it’s problems.

The UAW is wary of Private Equity Firms because they are accountable and demand results. They have the cash to weather a strike and move production to China if they have to in order to be competitive. The UAW better be careful about “holding the line”. Watch for democrats start gabbing about tariffs and protectionism.

Its not the 20 brands that make GM great, they have they’re hand in everything-suppliers, work force, steel industry. You name it, they have a hand in it. I love you people who act like this it MY forum and someone who doesn’t post here all the time doesn’t know whats going on-just like the real world… oh wait. And if DCX is so great and smart, why did they pay so much for Crapsler? And why are they in this situation now? How many vehicles does the entire entity sell here? How much revenue do they generate? Ultimately, where do the profits go? What are they doing for us(US) by owning Chrysler? They don’t hold a candle to GM(maybe even Ford) as far as I’m concerned, maybe in Europe, but not on these shores.

Supposivly i heard that they are selling Chrysler but “only” keeping Dodge… and im not sure where jeep stands, but i know dodge is a much better thing to keep, they have the truck and van department.