CEO Of Chrysler, Marchionne In Merger Talks With GM?

[eightballsidepo]

Just saw an article on autoblog that Marchionne is talking to GM about a merger with Chrysler.

Please say it ain't so.

Besides, wouldn't this end up being an anti-trust violation with GM/Chrysler merged?

[parkersdad]

I gave you a link to Chrysler's future plans. Doesn't look like a company that is going under to me. Both GM and Chrysler are fine. Everyone relax

[Dadoffourgirls]

dodge guy wrote:
... And yes GM is hurting. Look what they have sold off in the last few years! ...

What I see GM has sold is:
2011 2,503,820 vehicles in the US, 9,000,000 Globally

2012 2,595,717 vehicles in the US 9,288,000 Globally

2013 2,786,078 vehicles in the US 9,715,000 Globally

2014 2,935,008 vehicles in the US 9,925,00 Globally

You have consistently stated GM is hurting without giving any facts or sources. Please inform us of what GM has sold off in the last few years.

[parkersdad]

Here is the FCA business plan.
http://jalopnik.com/here-is-everything-fiat-chrysler-will-do-in-the-next-fi-1572336595

[philh]

dodge guy wrote:
The specific references are in all the links everyone has given. FCA wants to buy or partner with other manuf. they don't want to sell! And yes GM is hurting. Look what they have sold off in the last few years!

As far as how well Chrysler is doing, we'll just look at what FCA has done for the company since its purchase. It has turned it around into a well run company.

As far as Daimler was concerned, they ran a great company into the ground. When Daimler purchased Chrysler back in 98 Chrysler had money laying around. Daimler came in and tore through it like a starving bear!!!! Then left Chrysler with nothing. Cerberus just didn't know what they bought when Daimler sold Chrysler to them. Thankfully FCA came around and ponied up and bought it, then proceeded to buy out other shares. As of right now Chrysler is doing well as can be seen by all the new Mopars on the road. A company that isn't doing well just doesn't go out and invest in new products unless they know they will sell. Take the Hellcat SRT's they can't make enough of them.

You guys really need to do some research before you go talking about something you know nothing about!

Chrysler saved Daimler from failing, yes Mercedes was going down. When they had stripped most of the liquid assets, sold it to the normally well managed Cerberus. Me thinks that somehow idiot nardelli and his hundred million played into this purchase. Lets not forget that Daimler forced the whole LX line down Chrysler's throat.

Which brings us to Fiat. Fiat didn't pony up and buy nuttin. chrysler went through a bastardized bankruptcy and the company given to Fiat. FCA is being saved by Dodge and Chrysler and the booming US market. Did you happen to notice that Chrysler never went public as promised? That was because in spite of public statements they were making money, when GAAP was applied to the corporate financials, they were losing money.

Dodge has a problem with Hellcat's. They are a negative impact on CAFE standards, and yet they far underestimated the demand for the product. Dealer's are not making many friends with their bonus money on top of MSRP. This will last only as long as gas prices stay somewhat where they are today. Jump in gas prices, and watch the sales crumble. Chrysler is way too dependent on low gas prices.

Marchionne has made it very public he wants to merge with another global company. I don't see that happening. GM is having their own financial issues, Ford learned the lesson that economies of scale can get too big, Honda's had a huge negative spike in warranty, Toyota has their hands full managing their global expanse and their synergy wouldn't work. We start getting into the lesser players that may not have the ability to take on either FCA or even Chrysler. The only option there might be would be one of the China joint ventures... but that means an end to that particular JV partnership.

FCA US warranty and TGW (things gone wrong), are bad and getting worse. Most OEM's are grouped at one level. Like I said above, Honda has seen an unprecedented increase. FCA is in a quality league all their own at more than double Honda's bad results.

[B_O__Plenty]

Just my luck, I get rid of that P.O.S. Dodge that everybody thinks is the best truck in the world, finally get all the oil that leaked out cleaned off my driveway, buy a Chevrolet like I should have in the first place... and....

B.O.

[dodge_guy]

The specific references are in all the links everyone has given. FCA wants to buy or partner with other manuf. they don't want to sell! And yes GM is hurting. Look what they have sold off in the last few years!

As far as how well Chrysler is doing, we'll just look at what FCA has done for the company since its purchase. It has turned it around into a well run company.

As far as Daimler was concerned, they ran a great company into the ground. When Daimler purchased Chrysler back in 98 Chrysler had money laying around. Daimler came in and tore through it like a starving bear!!!! Then left Chrysler with nothing. Cerberus just didn't know what they bought when Daimler sold Chrysler to them. Thankfully FCA came around and ponied up and bought it, then proceeded to buy out other shares. As of right now Chrysler is doing well as can be seen by all the new Mopars on the road. A company that isn't doing well just doesn't go out and invest in new products unless they know they will sell. Take the Hellcat SRT's they can't make enough of them.

You guys really need to do some research before you go talking about something you know nothing about!

[Dadoffourgirls]

dodge guy wrote:
Nice try guys! you can`t stir the pot with nothing in your hand!......or head!

You have yet to give specific references why GM is in worse shape. I think you are suffering from the lack of knowledge.

I think you must be like the president of a nation - if I keep saying it, they will think it is true.

[mich800]

dodge guy wrote:
Nice try guys! you can`t stir the pot with nothing in your hand!......or head!

Some are stirring the pot but some have legitimate concerns. The future of this company will impact many people particularly in my area. I have many friends and family that work directly or indirectly for this company. If you think the concerns are unfounded maybe no one is learning from history. Two bankruptcies/bailouts and five ownership/structure changes in the recent past should be some indication that maybe there is more work to be done.

[dodge_guy]

Nice try guys! you can`t stir the pot with nothing in your hand!......or head!

[itguy08]

Perrysburg Dodgeboy wrote:

He is trying to find someone to partner up with to offset RD costs for both parties. Not a murger or buy out but doing the samething as Ford and GM did with their 9 and 10 speed transmissions. You guys do remember Ford and GM are in bed together on that right?

Actually the 6F FWD transmissions are also joint Ford-GM units. They have been doing it for years.

This has been going on for years and years! Just no one talked about it. AMC used GM, Ford and Chrysler components in the building of their cars. My plant built all of GM's power steering pumps, master cylinders and wheel cylinders in the late 60's through the 1990's.

And where is AMC? That's right - defunct. Replace AMC with Chrysler and you'll see where this is headed. Nothing new there - AMC, Chrysler, whatever - still Junk and we all will be better off without them.

[itguy08]

dodge guy wrote:
Love how some people think Marchione is trying to sell Chrysler Jeep and Ram. When every article you read says he's trying to add more, not sell off!

Some people are either blind or just read what they want even when the truth is right in front of them!

He's trying to offload the whole shebang. FCA's brands are not doing too good globally. Chrysler in the USA pays the highest incentives on vehicles just to get them out the door. As a result they have the lowest margins out there. Why? Cause their vehicles are regarded as junk.

The last time Chrysler merged, it brought Daimler down to its level. Look at Mercedes' quality/dependability rankings during the Chrysler era and you'll see that they were junk just like Chrysler. It wasn't till Daimler unloaded the Albatross known as Chrysler that they turned around.

Sorry Mopar fans, Chrysler's brands, with the exception of possibly Jeep are tainted goods and need to go the way of DeSoto, Studabaker Dusenberg, AMC, DeLorean, Oldsmobile, Saturn, etc. A Footnote in History. We've propped them up twice, have little to show for it and they have been a drain on America for far too long.

[Community Alumni]

I'd look more in the direction of VW. Not that they would really be interested, but Volkswagen AG is more of a technological powerhouse than GM. FCA offers a North American foothold in the truck and SUV market, which VW still struggles with. But I'm not sure if that's enough incentive since VW does well around the rest of the world. But if you're looking for a technological sugar daddy, VW is a darn good option.

FCA just doesn't have much, in the way of positive, to offer currently. Right now merging with FCA would be like marrying a lady that isn't all that bright, with 10 kids, and a lot of debt. They have a lot of issues they need to work out first. Companies don't see consolidation when they look at FCA, they just see more debt. That's why Mary is not that interested.

[m37charlie]

Iveco LMV
I would take an Iveco LMV over a Jeep anytime: 190hp 4cyl diesel, 325/85R16 XMLs, 6 spd trans, GVW 7000kg, ground clearance 18.5", CTIS, etc etc.

Charlie

[mich800]

Perrysburg Dodgeboy wrote:

ktmrfs wrote:

dodge guy wrote:
Love how some people think Marchione is trying to sell Chrysler Jeep and Ram. When every article you read says he's trying to add more, not sell off!

Some people are either blind or just read what they want even when the truth is right in front of them!

x2!!!

well at least to members know how to read!

He is trying to find someone to partner up with to offset RD costs for both parties. Not a murger or buy out but doing the samething as Ford and GM did with their 9 and 10 speed transmissions. You guys do remember Ford and GM are in bed together on that right? This has been going on for years and years! Just no one talked about it. AMC used GM, Ford and Chrysler components in the building of their cars. My plant built all of GM's power steering pumps, master cylinders and wheel cylinders in the late 60's through the 1990's.

Starting in 2017 Saginaw Steering will be building all of Chryslers steering columns. Who owns Saginaw Steering???? anyone?????

Don

You guys do realize his intention is to merge to create a larger company to take advantage of economies of scale. And how does that happen. Less administrative and engineering overhead spread over more vehicles. This will not be a net job gainer. A merger like this would be to shed off their dysfunctional corporate structure never fixed over decades.

He flat out stated he wanted a merger not just some partnership to reduce costs on development only. A partnership alone will not have the effects he is seeking. If the partnership was the holy grail than GM would not have filed BK by reducing their costs with Ford.

[Perrysburg_Dodg]

ktmrfs wrote:

dodge guy wrote:
Love how some people think Marchione is trying to sell Chrysler Jeep and Ram. When every article you read says he's trying to add more, not sell off!

Some people are either blind or just read what they want even when the truth is right in front of them!

x2!!!

well at least to members know how to read!

He is trying to find someone to partner up with to offset RD costs for both parties. Not a murger or buy out but doing the samething as Ford and GM did with their 9 and 10 speed transmissions. You guys do remember Ford and GM are in bed together on that right? This has been going on for years and years! Just no one talked about it. AMC used GM, Ford and Chrysler components in the building of their cars. My plant built all of GM's power steering pumps, master cylinders and wheel cylinders in the late 60's through the 1990's.

Starting in 2017 Saginaw Steering will be building all of Chryslers steering columns. Who owns Saginaw Steering???? anyone?????

Don