GM in talks to buy Chrysler??

[zipnsip]

Report: GM in talks to buy Chrysler
Trade publication cites sources in Germany, U.S.
MSNBC News Services
Updated: 11:23 a.m. MT Feb 16, 2007

DETROIT - General Motors Corp. is in talks to buy the Chrysler Group in its entirety, Automotive News reported Friday, citing unnamed sources in Germany and the United States.

The automotive trade publication reported on its Web site that high-level talks were talking place between GM and Chrysler Group parent DaimlerChrysler AG.

The potential deal between the two automakers could go beyond cooperation on joint development of a large sport utility vehicle, the magazine said.

A General Motors Corp. spokesman said the company routinely has discussions with other automakers but declined to comment on the Automotive News report.

"We often have discussions with automakers routinely. We don't comment on speculation regarding discussions," GM spokesman Tony Cervone said.

Meanwhile, various newspapers reported earlier Friday that Chrysler and GM have held discussions for about six months about a possible alliance related to large sport utility vehicles.

The Wall Street Journal, citing people familiar with the matter that it didn’t name, said the automakers had preliminary discussions to jointly develop a large SUV such as the Chevrolet Suburban, which Chrysler doesn’t have in its lineup.

The New York Times, citing people with direct knowledge of the talks that it didn’t name, said the companies are holding discussions about a project that would provide Chrysler with a version of the Chevrolet Tahoe large SUV.

GM and Chrysler also are looking at sharing small cars developed by GM Daewoo Auto & Technology, a unit of GM in South Korea that builds the Chevrolet Aveo compact car for GM, the Journal reported.

The automakers declined to comment on reports of these talks.

Chrysler already has alliances with GM, including one to develop gasoline-electric hybrid engine technology.

Last year, GM was in talks with Nissan Motor Co. and Renault SA on creating an automaking alliance, but those were called off in October. Those talks have nothing to do with the Chrysler talks, the Times reported.

DaimlerChrysler said Wednesday in announcing Chrysler’s restructuring that it was exploring all options for Chrysler, including strategic partners. DaimlerChrysler Chairman Dieter Zetsche would not rule out selling the troubled U.S. operation.

On Thursday, Chrysler Chief Executive Tom LaSorda told the Journal in an interview that he hopes uncertainty about whether Chrysler will remain part of the German automaker is resolved “sooner rather than later.”

As part of the restructuring, Chrysler plans to eliminate 13,000 positions, including 11,000 production jobs and 2,000 white-collar posts, as it seeks to cut costs and return to profitability in 2008.

[03GT-SC/T]

That would be kinda wierd.

[sumx4182]

great idea...help an ailing company by purchasing another ailing company...good plan

[curtisjade1]

:iagree:

[TA^Guy]

Oh boy, here we go, messing up the best trucks on the market by letting Dodge have a hand in it.

Is GM aware of all the problems Dodge trucks have?

[04alyGT]

Originally posted by TA^Guy
Oh boy, here we go, messing up the best trucks on the market by letting Dodge have a hand in it.

Is GM aware of all the problems Dodge trucks have?
x2


Actually GM is doing the buying here, so the smart thing to do would be to discontinue dodge line of trucks/make them less shitty and ugly, and not screw up the already solid GM line.

I just don't see GM letting them have any say in how the GM vehicles are made.

[spike4881]

Originally posted by TA^Guy
Oh boy, here we go, messing up the best trucks on the market by letting Dodge have a hand in it.

Is GM aware of all the problems Dodge trucks have?

That's true. And in related news I have to bring in our 2006 Colarado for our second recall notice.

[99GrandAMSE]

Originally posted by TA^Guy
Oh boy, here we go, messing up the best trucks on the market by letting Dodge have a hand in it.

Is GM aware of all the problems Dodge trucks have?

... I know what you're getting at but at the same time John, all makers have problems in one line of another ... as far as that goes, my Blazer gave me tons of problems and so far, the only real issue that I have had with my Dakota has been due to the inabilities of the Service Department ... it might end up being a good thing if all of the "big three" band together as it might be the only way to compete against the foreign market, sadly enough :(

[car audio dave]

i heard about this, and while its kind of a stange thought, this might actually be a good thing. think about it, with two large companies, the buying power is increased, lowring the cost, and hopefully increasing profit.

chances are theyd keep the companies separate.

[Big Joe]

Ok so In the past year I have herd Gm either trying to buy or Join forces with Nissan, Ford, and now Chrysler

[echoicse]

Originally posted by Big Joe
Ok so In the past year I have herd Gm either trying to buy or Join forces with Nissan, Ford, and now Chrysler

BigJoe,what your going to start seeing more and more the Big Three-American Automakers,start sharing common components from certain few vendors. And instead of,lets say GM sends out the bid for lets say a spark plug,all three will get together and send out the bid for that one spark plug. And I have actually seen it happen,if it saves one(1) penny that bid from that vendor will win that contract! The savings on all Three American (Canadian) Auto Companies would be extraordinary. Something else to throw at you,theirs talk (rumors) that GM would even like to get down to three powertrains (engines). And if you think about that,like the Ecotec engine-theirs a common engine and to increase horsepower,which will make that. a "high feature eng." stick a supercharger on it (aka,Cobalt SS) and or a turbo (future Pontiac Solstice GXP).

[thegeswho3]

^^^
I see the ecotec and the 3.6 being the only two engines for theyre bets selling cars in the not too distant future. Theyve proven that the ecotec can produce anywhere from 120hp to 260hp with prety god economy and the V6 can carry the load after that, going up to 300+ with direct injection in the new CTS. Of course all those new RWD models will have some kind of small block, but GM has two realy realy good plants for their big sellers like the Cobalt, G6, Aura Malibu and any future small/midsize cars.

[Gimli]

GM is already the largest car manufacturer in the world, there isn't much more economy of scale to be had there. Especially considering they ran their largest parts supplier (Delphi) into the ground.

The problem with GM is that even though they make all those nice marketing campaings about the longer warranties and how their products don't suck they still make it a hassle for an owner to go through service and get quality products.

The best example is the LIM gaskets. If they really stood by their products they would have a policy to cover the repair whether you're still under warranty or not rather than leave people out in the cold over and over again. THAT creates repeat customers. THAT creates brand loyalty. TV ads don't create brand loyalty.

[echoicse]

Originally posted by thegeswho3
^^^
I see the ecotec and the 3.6 being the only two engines for theyre bets selling cars in the not too distant future. Theyve proven that the ecotec can produce anywhere from 120hp to 260hp with prety god economy and the V6 can carry the load after that, going up to 300+ with direct injection in the new CTS. Of course all those new RWD models will have some kind of small block, but GM has two realy realy good plants for their big sellers like the Cobalt, G6, Aura Malibu and any future small/midsize cars.

Cory,definitely the Ecotec and with it's ever growing upgrades,etc. Like from the start it was a 2.0 Ecotec, now it's a 2.2 Ecotec. A point of interest from the past,the 2.0 Ecotec that first was built at Tonawanda Engine,N.Y. ,the German counterpart was going to be built with a turbo because most if not all European engines have turbo's. But like powertrains your going to see more base (common) chassis structures being shared with multiple vehicles-and maybe even with the Big Three-G.M.,Ford and Chrysler. All this your reading about-the future of American/Canadian Auto Manufactures-The Big Three-is about "survivorship".

[RickHigginsHtbr]

Originally posted by echoicse
Cory,definitely the Ecotec and with it's ever growing upgrades,etc. Like from the start it was a 2.0 Ecotec, now it's a 2.2 Ecotec. A point of interest from the past,the 2.0 Ecotec that first was built at Tonawanda Engine,N.Y. ,the German counterpart was going to be built with a turbo because most if not all European engines have turbo's. But like powertrains your going to see more base (common) chassis structures being shared with multiple vehicles-and maybe even with the Big Three-G.M.,Ford and Chrysler. All this your reading about-the future of American/Canadian Auto Manufactures-The Big Three-is about "survivorship".


on the right path, but not quite. the ecotec started off in europe where it's a 1.6 litre and a 1.8 litre deisel, usually with a turbo. there's also a "v6 ecotec" in australia as well. in the US, it goes 2.0 (turbo or s/c), 2.2, 2.4 w/ vvt.

edit: that's pretty damned versitile for a single block, though obviously the v6 isnt the same block.

[thegeswho3]

^^^
I've never heard of the diesel ecotec you mention, but its not the same block either, maybe just a use of the same name. The Ecotec was a special design project by GMs many brands (Chevy, Pontiac, Opel, Holden...) to come out with something competitive to Honda and Toyota smooth, powerful 4 bangers.

The first ecotec was in the Saturn L-series, and I think it was the 2.2. I'll hafta look up that diesel but I dont think its a related engine, just a name.

[echoicse]

^^^ Rick, what I was getting at was North American GM produced Powertrains. Regarding the Ecotec 2.2L/137 ci/also called L850 Ecotec. And originally built in Tonawanda,New York.
History-
*1997 GM announces Tonawanda Engine will produce the new L850 World Engine for Saturn.
*1999 L850 Production begins. (pre-pilot,pilot,production)
Customers-
*Saturn,Wilmington,Deleware
*Lordstown,Ohio
*Tillsonburg,Ontario,Canada
*Ramos Arizpe,Mexico
*Lansing,Michigan
*Spring Hill,Tennessee
Vehicles L850 installed-Pontiac GrandAm & Sunfire, Chevrolet Cavalier,Saturn L-Series,Opel/Vauxhall-Zafian,Astra,Vectra,Speedster

[Gti lover]

i hate to hear these things because all it means is the jap car companies are selling more cars then the us car markers which were around way before the jap cars and now their taking about shutting their doors not good.

[thegeswho3]

GM just reported a growth in sales, i think it was like 4% sometime last week. I think GM is onto something with its product, and I couldn't have said that a year ago. Hopefully Chrysler will follow suit and try to sell something other than Big ol' Hemmi's. As for ford, man they're desperate, with the "Taurus" come back?????

I don't think GM should waste its time trying to bail out the Mopar nation. What are they gunna do anyhow, they're platform sharing is about at its peak. They cant come out with another variant of every car for Dodge and Chrysler. And I don't want to drive a Malibu/G6/Aura-Sebring/Stratus.

[echoicse]

^^^ Cory, the problem with GM is what's on top! Look back on what top management has done to this company and you can find all types of mistakes. Understand,even I get the "world" concept thing but at what cost? The Chairman,etc. lost focus on their North American "CORE" business while the corporation was making billions of dollars in profits. Instead of taking those profits and using them to keep their North American Auto business ahead of the competition they went spending on failing auto companies,aka-Fiat! Now we get the blame,their own workers...BLAME THE UAW! Every contract year we go thru this b.s. And a underlying part is the American public,as it stands now, is against Unions! And if people only understood what Unions have done for us...IF ONLY!! Now,GM and Chrysler,etc. Their again,GM top management loosing focus on their core North American business-Chevrolet,Buick,Pontiac,GMC,Saturn,Hummer,Cadillac ...don't you think that's enough to do!

[VanishingImage]

I won't get into the whole Union thing because a LOT of people have different views on it. Ive never worked in a factory or been in a Union but from a local factory here in Ohio called AK Steel Corp. they were on strike for months!! What happened,they lost their houses,some,not all,lost money,had to sell things to get money,to me,that doesn't sound worth being in a Union,if a union is supposed to protect its workers,that didn't seem like it was helping.That was just my outlook on that one specific situation. I can't say Im for or against Unions,because Im sure some do a great job,while some fail,so I can't say much.

But I honestly, I am not brand loyal. I would like to keep domestics here in the US though,Im American born and stand behind US brand vehicles. When it comes to consumers,they want the best for their buck,if that means buying an Import,they are going to buy one. I just think our domestic car companies need to slow down and re-think their plans. Instead of making so many cars that have TONS of interchangable parts,need to start making cars that look different from Each other. I know it saves them money in the beginning but in the end,they lose money because consumers are not buying the cars. I do believe in mass production and making cars that have SOME interchangable parts(motors,chasis,etc..) but as far as bumpers and cosmetic stuff,those need to be totally different. Each division within each manufacture needs to have different parts.