VW not interested in buying Chrysler Group
Gee, you lose over $1.5 billion in the third quarter of 2006 and all of a sudden you're not an attractive automotive partner. First, news leaks that Daimler wants to kick the Chrysler group out the window, then Hyundai and Nissan decide that they're not interested in purchasing the struggling domestic. Now, Volkswagen has made it known that the five-star isn't on their shopping list, even though Chrysler is currently working with VW to build them a minivan based on the next-generation Town and Country.
As reported here on Autoblog, GM has been mentioned as a potential suitor for Chrysler. We wonder if the General will get a discount if nobody else is interested. It's hard to believe the company that builds the Viper and the 300C could be wanted like a sweater at Walmart in June.
[Source: Yahoo]
_opt_thumbnail.jpg)
_thumbnail.jpg "2011 Audi A8: Live from Miami")
Reader Comments (Page 1 of 2)
mike 8:23AM (2/23/2007)
Thank God!!!!
Porsche won't let them to touch Chrysler, even with a 3.048 meter pole!!
Reply
architectastic 8:51AM (2/23/2007)
I don't understand how a care company that was doing so well just a few years ago has gone donw the crapper so quickly...
Reply
akintz 8:52AM (2/23/2007)
I have an idea... instead of littering the news with stories of who DOESN'T want to buy Chrysler... we wait until someone actually does. THEN post about. How's that sound?
Reply
airport krishna 8:25PM (2/23/2007)
VW is smart to not pursue this. Who needs the bloated pzzzzzzzd-off Chrysler Group dealer network, UAW problems, clueless, ham-handed brand marketers with Chrysler and their BBDO+Omnicom death star. VW needs to focus on what it does best, not chase the Chrysler situation.
Reply
mike 8:57AM (2/23/2007)
#3. No, no, no!
I want to know who's out of the running and who's sticking around for the scraps!
Reply
Bob R. 9:04AM (2/23/2007)
#3 then simply just don't read it.
Reply
FERNAN17 9:31AM (2/23/2007)
maybe the 300 wasnt that good after all, also VW already owns bentley, why would they want to have the super poor man's bentley
Reply
Gardiner Westbound 9:46AM (2/23/2007)
.
Yesterday's rumor regarding Magna International buying Chrysler looks like a winner. It's got the cash, know how, and an impressive resume. Follow the link.
http://en.wikipedia.org/wiki/Magna_Steyr
.
Reply
Nick 10:25AM (2/23/2007)
#2- Chrysler doesn't know how to consolidate gains. They're bust, boom, bust, boom- They've been the sick old man of the Big 3 since they absorbed AMC, at least. Remember the K car saved them, then the LH, and Ram then they hit the skids again until the 300 was a huge hit. Rollercoaster ride.
Reply
Mike M. 10:32AM (2/23/2007)
#7
Seriously doubt it. They would become a one-trick-pony, producing only Chrysler parts! Magna supplies or has supplied almost every manufacturer or supplier out there. Would Chrysler go to GM or Ford to have their parts manufactured? Don't think so.
Should Magna actually be considering this, then it can only come from egomaniac Frank - and this would be a clear sign that he's lost it again!
Reply
Nick 10:37AM (2/23/2007)
#8: Know your history before you speak. Chrysler had a lot of cash reserves, and was quite healthy all through the 90's. The LH did bring them up, and they stayed up all the way through the merger. Then, after the merger, their cash reserves were taken away, naturally, product lines were put on hold so the LX was delayed, and Mercedes management took over. Now they're not doing well, and who do they want to blame? The Americans. hm.
Reply
Richard Warren 10:40AM (2/23/2007)
Regarding Magna, let them keep doing what they do best, forget about building cars.
Reply
RamSport47 11:13AM (2/23/2007)
"Would Chrysler go to GM or Ford to have their parts manufactured? Don't think so."
Actually, all 3 make parts for each other. Maybe not alot of parts, but they do buy parts from one another. Just about every domestic auto has an ignition switch manufactured by Ford.
Reply
Tagg 11:34AM (2/23/2007)
Chryslers sales last year were very misleading because sales are booked when a vehicle is built, not when it is actually sold. They figure they will eventually sell so they just book it at the factory. Unfortunantely for Chrysler many of their vehicles are sitting in the factory lots, all over Detroit Metro Airport lots, and the Michigan State Farigrounds. I read that Dodge has over a 300 day supply of Vipers sitting around somewhere and with the new one comming thats really going to be a tough sale. The biggest problem Chrysler has/had is over production. They also never followed up on the momentum from the 300, the Charger has been less than a success, the Avenger is pretty sad as well. The 300 is the ONLY successful vehicle they have had in the last 5 five years so I just don't see how Chrysler was "so successful". More smoke and mirrors than actual success.
Reply
Tagg 11:33AM (2/23/2007)
After my rant I forgot to comment on the actual post!! VW buying Chrysler barely makes anymore sense than GM buying it. VW isn't in any better shape than the others (GM, Ford, etc.) and has really fallen hard hard here in the U.S. the past few years. They should have never tried to move VW upmarket, the segment is just too crowded were they are right now.
Reply
Mike M. 11:38AM (2/23/2007)
#12.
Ok, maybe for totally insignificant parts they'll do this. I was refering more to engine, transmission, and other components.
Reply
Frank 12:19PM (2/23/2007)
After reading all these recent blog entries about who wants, doesn't want, shuould, shouldn't buy Chrysler I am convinced this is the automotive blog equivalent of the Anna Nicole Smith media circus. Highly entertaining but not very informative.
Reply
Mike M. 1:10PM (2/23/2007)
Frank, you actually thought that Blogs were informative???? WTF??
Ok Frank, then here's your chance to inform us all!
Aaaaaaaand.......GO!
Reply
aSHIRTandTIEguy 2:16PM (2/23/2007)
I believe Chrysler Car Corporation did not produce very stellar vehicles, and then when acquired by Daimler, vehicles were at least "acceptable".
I can think of the Dodge Ram, the Dodge Neon SRT-4, Dodge Viper SRT-10, Chrysler 300/300C, Jeep Grand Cherokee. And the Chrysler Firepower SHOULD have been produced even at a loss. Image is everything! It would attract customers to show rooms to buy a lower end vehicle.
Thus a new amalgamation with VW is not needed. New successful products are needed! The product that a manufacture produces dictates what customers will buy, not how many times a corporation merges and de-merges.
The Pacifica "is the answer to a question no one asked". Is the "Aspen" a better answer for the same question for the American car market? Is the Commander? The Aspen should be "top of the line" perfection to be successful, not just a model redress. The Chrysler Crossfire was not just 10, but 15 to 20 thousand dollars overpriced! (US Denominations)
The Chrysler Group products are acceptable, however THE PRICE IS NOT! Chrysler, if you would like to sell more vehicles, reduce MSRP permanently! Push the Japanese Auto Manufactures out by under cutting them and that will give the entire USA auto industry more breathing space!
Produce these vehicles also! I will even buy one!
Chrysler:
http://www.allpar.com/cars/concepts/chronos.html
http://www.allpar.com/cars/concepts/firepower.html
Dodge:
http://www.allpar.com/cars/concepts/copperhead.html
http://www.allpar.com/cars/concepts/dodge/demon.html
http://www.allpar.com/cars/concepts/dodge/hornet.html
http://www.allpar.com/model/concepts/dodge-razor.html
http://www.allpar.com/cars/concepts/slingshot.html
http://www.allpar.com/cars/concepts/dodge/rampage.html
ttp://www.allpar.com/cars/concepts/pronto-spyder.html
It's not like they don't already have them designed and ready to be built it is the UAW and the desire for excessive amounts of profit that can be had on trucks over cars is the reason all those vehicles are not built!
Instead the Commander, Aspen, Nitro, Calibre, Compass, and more TRUCKS are being built during an Oil Spike when those less profitable cars were the solution to the problem! And not only are more Trucks being built they are being over supplied and no one wants them!
Thank you.
Reply
BenLikesThingsWithWheelsEtc 12:33PM (2/24/2007)
Honda should get Chrysler.
Ridgelines with Hemis.
The Hornet concept built around a Fit!
I don't think Odyssey-buyers look at Chrysler vans or vice-versa, so, there's less overlap to worry about, I think, maybe.
Get rid of all the new Sebrings (just kidding; rebadge them as Plymouth Satellites and price them starting $13.9k) and just build rebadged Accords for a grand or two under Accord-pricing, that could be fun.
Hey, does Chrysler get to keep all the Mercedes-Benz pieces in their products???? How might that work out?
Reply