VIDEO: Chrysler's Nardelli makes case for "Why Fiat Works"
Click above to view the video after the jump
To go along with the email that was sent to Chrysler employees, CEO Bob Nardelli is now starring in his very own video where he continues to extol the virtues of a partnership with Fiat. After stating that Chrysler is clearly a viable company on a standalone basis, Nardelli goes on to say that the Detroit-based automaker's future would be "significantly enhanced" with a Fiat alliance. How so?
First, Chrysler stands to gain plenty of impressive technology, including Fiat's new Multiair engine technology. Furthermore, new vehicle platforms could be introduced to the United States market – including the diminutive Fiat 500 – in segments that Chrysler currently fares poorly.
According to Nardelli, all of these developments would save Chrysler plenty of money and would allow the American automaker to repay its federal loans in a more timely fashion. In any case, Chrysler has until March 31st to prove to President Obama's Task Force that it's just a few billion dollars away from becoming a viable company. Stay tuned.
Video:
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Reader Comments (Page 1 of 2)
Dude 8:48AM (3/20/2009)
And by "partnership", he means "takeover".
Looks like Bob is going for golden parachute #2.
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Yikes 8:53AM (3/20/2009)
After stating that Chrysler is clearly a viable company on a standalone basis, Nardelli goes ........
Does he take us for fools. If Chrysler can "clearly standalone" why is he taking tax payer money to keep the company afloat.
Nardelli, I want my money back if you can "clearly standalone".
Frank 9:02AM (3/20/2009)
We all know the potential benifits of a tie-up with FIAT. No need to reshash them. What I want to know, is since the taxpayers are loaning this money to them, do we get some gurantees that FIAT won't pull a "Daimler" on Chrysler? I want assurances that plants won't close, yea, that more will open to make FIAT sourced products in the US and Canada, not Mexico, and that FIAT and Chrysler will be true partners, unlike Daimler that raped Chrylser and then blamed her for her troubles. Although Cerberus has done some good things with Chrysler (improved interiors, dealer consolidation, model trimming, Challenger), I don't completely trust them. I want to assurances that they will sell their majority stake to FIAT or create an IPO when things stabilize.
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Tom Miller 9:06AM (3/20/2009)
Those Italian CEOs at Chrysler love the Italian automakers -- Iacocca & Nardelli.
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ProudToBeAmerican 9:15AM (3/20/2009)
I hear the proverbial song, "another one bites the dust". As it stands even right now in this volatile economy, The Home Depot, where he came from, could sure use that 264 million dollars they gave him when he left. Good luck Chrysler, but if you wanted good luck, you would have ran for the exit sign when you saw him coming your way, so God help you!
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Buffy 9:16AM (3/20/2009)
"They are somewhere where we arent".
Could not have said it better myself. They need you like Renault needed Nissan. On a marketing level, its really that simple...
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Steve Lopez 9:16AM (3/20/2009)
If Chrysler and Fiat can prove that it will be a partnership unlike the disaster with Mercedes, then, the loans should be approved and paid back in full with interest to our government.
I think that a link up with Fiat, who also is cooperating with Citroen and Peugeuot, can help Chrysler globally and help the other auto makers in the US.
My feeling is that Nardelli has to step down and we need cars guys and guys at the helm of the American Auto makers.
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Soccer Mom 9:26AM (3/20/2009)
We heard that pitch before, back in 1998. That worked out very well for Chrysler, didn't it?
Bob, it's not very smart that you keep pissing off Canada. Sure it is a small market size of California, but they buy your stuff like no one else. Extorting money from your best customer at the time you almost swim belly-up isn't the best business decision, huh?!
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Mike 6:14PM (3/20/2009)
heh heh, yeah... those canadians love the yestertech.
Throwback 9:58AM (3/20/2009)
I'm fine with Chrysler joining up with Fiat. BUT, why do I have to pay for it?
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bakka 12:09PM (3/20/2009)
It is called The Free Market System.
Steve Lopez 11:32AM (3/20/2009)
I agree with all of you about why we should bail out our automakers here, but, if we don't the domino affect could be disastorous for us all.
Here's my take on all of this.
LEND them the money and then they will have to pay off those loans with interest back to the government which then, will pay off the deficit.
All those automakers/suppliers that have been given government loans, must pay them back with interest and on time.
This rule should go for all those companies that have been given government loans.
In addition, if Fiat wants to make a comeback here in the states, Chrysler will be able to assist them through their dealerships and mafucturing plants here in the states, Canada and Mexico.
It could be a very good idea for all.
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jamie 11:50AM (3/20/2009)
One thing Chrysler can do is turn around much quicker and far more nimbly than the US Sinking Ship General Mistake. Chrysler's smaller size make it far easier to repair than the overweight behomoth GM. GM's problems are far greater to surmount.
Yes, Chrysler can stand alone because it already does, and it does much better in sales than most other players in the US market.
What Chrysler lacks in product and technology can easily be overcome with a structured alliance with FIAT.
I am impressed with what Chrysler could accomplish within this alliance. I say, Go for it!
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jamie 12:04PM (3/20/2009)
Oh-oh.
Misunderstandings or bad translation of messages are starting to tear the proposed marriage apart. Could FIAT be getting 'cold feet'?
Fiat says it won't assume Chrysler debt
http://www.detnews.com/article/20090320/AUTO01/903200424/1148
"MILAN -- The Italian automaker Fiat said Friday that it won't assume Chrysler LLC debt -- current or future -- in deal for a 35-percent stake, contradicting statements from Chrysler's chief executive that it would.
The statement said the Fiat Group "intends to make absolutely clear that the proposed alliance will not entail the assumption of any current or future indebtedness to Chrysler."
By contrast, Chrysler's chief executive said Thursday the Italian automaker would be responsible for 35 percent of Chrysler's debt to the U.S. government should a proposed alliance go through."
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Chris 1:13PM (3/20/2009)
To the haters...
- Challenger outsold Mustang last month
- Chrysler was the #1 Brand in Canada last month *trying to keep straight face lol*
- If you deduct Chrysler's PLANNED fleet sales reduction in last month’s #’s, Chrysler only saw a US market sales decline of ~17%, which is rather impressive.
- Cerberus has agreed to finance SRT directly!
The state of things at Chrysler are much better than you would think, especially if you get your news from TV (which isn't news, it's entertainment). It may be true that there are some liquidity issues currently, but Bob is not wrong when he says Chrysler CAN stand alone...it’s just easier to secure the operating capital w/gov't $...Chrysler’s not to blame for the banking crisis, just another victim.
You would be pleasantly surprised by what's coming down the pike at the Pentastar…especially the proposed SRT-Fiat products…all I'll say is sit down, shut up, and stay tuned!
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SteveRB 4:22PM (3/20/2009)
Isn't marijuana wonderful?
BigWill 1:56PM (3/20/2009)
Why is Nardelli even being taken at face value? Chrysler/Cerberus have a free ticket to lie because they're a private company. And the more Nardelli spins, the more I believe they're milking this Fiat story as long as possible. Fiat is having problems of its own and I'm not hearing a whole lot about those from Pollyanna Bob.
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Val 4:58PM (3/20/2009)
Why on earth would FIAT want anything to do with Chrysler is beyond me... They barely have enough to survive, and cannot spare any money to pour in that endless pitt. Chrysler is virtually non-existent as a brand in europe, as well as dodge, there is no Pickup market in europe, Jeep is a minor player on the SUV market! What does chrysler have that FIat needs? On the other hand, fiat has a horrible reputation in the US, reliability issues from the past etc. Besides many people seem to hate them and say "Oh sure, they were on the brink, but they took $2 bn from GM and turned around, anybody can do that" Well, guess what, GM is losing billions and getting trucks of money from govt and there is no turnaround in sight... Same goes for Chrysler, as much as people here seem to think that it can survive without taxpayers money. If anything FIAT is partnering with Ford in europe on mini cars like the Ka, so why not go there?
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James T 11:27AM (3/24/2009)
Looks like Chrysler is going after as much fiat money as possible.
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QK 11:34PM (3/20/2009)
The video was removed?
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