Eight plants to close under Chrysler bankruptcy
Now that the court documents have officially been filed, details regarding Chrysler's ongoing plans to stay in business are becoming a bit less muddy. Two corporations will be created from the dying automaker: a so-called "OldCo" with unwanted bits and liabilities that seem likely to die a slow and painful death through the automaker's Chapter 11 filing, and a "NewCo" that contains the best that the ailing automaker has to offer.
Tellingly, lumped in with the OldCo legal entity are eight plants that now seem likely to be closed down entirely. In addition to plants in south St. Louis, Missouri and Newark, Deleware that are already idle, the following 6 North American plants are in danger:
- Sterling Heights (Mich.) Assembly Plant
- Detroit (Mich.) Axle
- Conner Avenue (Detroit) Assembly
- St. Louis (Mo.) North Plant
- Kenosha (Wisc.) Engine
- Twinsburg (Ohio) Stamping Plant
[Source: Automotive News - sub. req'd | Image: Bill Pugliano/Getty]
Reader Comments (Page 1 of 3)
asng15 3:45PM (5/01/2009)
Aidez-moi patron LOL
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Aprime 4:19PM (5/01/2009)
Why so French?
Allen Klosowski 3:46PM (5/01/2009)
Looks like Michigan is about to take another huge hit.
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Yikes 4:56PM (5/01/2009)
Too Bad they are not closing the Mexican and Canadian factories and keeping those jobs in the USA.
Thunderbuck 5:43PM (5/01/2009)
Ahem.
Worth noting that the Canadian and Ontario governments are investing billions in Chrysler, and taking a 2% stake in the company.
I think we can keep a few plants going here.
Jake B 5:48PM (5/01/2009)
It wouldn't make sense financially for those plants to stay open. This is all about trimming away as many excess union dorks as possible. Here in twenty years I will probably be driving a Ford Lobo anyway.
PaulPaul 3:48PM (5/01/2009)
and in other news, 6 new Chrysler plants were opened in Mexico today... more at 11. Back to you, Bob.
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Aki 3:49PM (5/01/2009)
Ouch, Detroit was already hit hard by all of this, the latest makes it even worse.
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sk 3:49PM (5/01/2009)
It doesn't surprise me that the Sebring/Avenger is a goner. Just confirms what I said earlier this week. Every car will be replaced by Fiat and Alfa models.
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MoeJoe 3:51PM (5/01/2009)
Very sad.
So the Viper and Sebring/Avenger plants will close.
What is assembled in the other plants?
Since Chrysler has cut so many workers (thousands) what is going to happen to the workers that currently work there? (not the assembly but the white collars.)
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rockstars 5:07PM (5/01/2009)
They'll lose their jobs, too. Happens all the time inside of Chrysler. Trust me. I've been on the wrong side of that relationship with Chrysler.
DJ 3:52PM (5/01/2009)
Hmmmm, is it just me or does it look like all of the plants being closed are in the UNITED STATES?
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elprogramer 4:03PM (5/01/2009)
Gasp! You've solved the puzzle, unraveled the riddle!
It's almost as if most of their operations were in the United States, consolidated around the Great Lakes region for some reason...
Aprime 4:19PM (5/01/2009)
Yeah.
And Chrysler Canada/Mexico haven't got bankruptcy protection yet.
Judy Zik 7:08PM (5/01/2009)
Imagine that! We can put anything past you can we? Could it be that Chrysler Mexico and Chrysler Canada have not filed for bankruptcy (if the rest of the company was as profitable as the Canadian division there would never have been a problem)? It might also have something to do with the fact that the plants here in Canada at least are all up to date flexible plants building vehicles people buy (when they buy Chryslers). There must be some conspiracy to them closing the assembly plant that builds the Sebring but keeping the plant that builds the 300 and Challenger around. Couldn't be that one of them is a crap car that doesn't sell and the other has a backlog of orders. It's a conspiracy! Everyone grab your tinfoil hats.
jamie 3:57PM (5/01/2009)
Comments not working on this article either.
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Brad 3:59PM (5/01/2009)
If 200C gets the greenlight for production, where would they build it? I was assuming it would go to Sterling Heights. Or would it go to the 300C/Charger/Challenger plant in Canada?
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jamie 4:17PM (5/01/2009)
Belvidere has already been selected to build compact FIATs.
Brampton will continue building 300C, Charger, Challenger, and maybe 200C
Toledo will get all Jeep production.
Warren will still manufacture Ram trucks.
Windsor will continue making Caravan and possibly Journey as well.
So that probably means that Jefferson could be ramped up to produce midsize FIATs.
rockstars 5:09PM (5/01/2009)
Jamie,
Where have you been? Do you not realize that Jefferson North (JNAP) will be building the all new Jeep Grand Cherokee? That is 100% accurate and confirmed.
Robbie 4:04PM (5/01/2009)
Considering I live two miles from the St. Louis North Plant, this could be interesting.
News last night stated that the local union voted to basically absolve Chrysler from ANY health care and to agree to wage cuts.
This may prevent future union wage cuts elsewhere, as now it's going to be "obvious" as to what happens when that is agreed to.
Either that, or the unions may actually have some common sense.
We shall see.
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