Autoblog http://www.autoblog.com Autoblog http://www.blogsmithmedia.com/www.autoblog.com/media/feedlogo.gif Autoblog http://www.autoblog.com en-us Copyright 2009 Weblogs, Inc. The contents of this feed are available for non-commercial use only. Blogsmith http://www.blogsmith.com/<![CDATA[Ex-Chrysler Pres. Tom LaSorda to advise Penske on Saturn sale]]>http://www.autoblog.com/2009/05/20/ex-chrysler-pres-tom-lasorda-to-advise-penske-on-saturn-sale/http://www.autoblog.com/2009/05/20/ex-chrysler-pres-tom-lasorda-to-advise-penske-on-saturn-sale/http://www.autoblog.com/2009/05/20/ex-chrysler-pres-tom-lasorda-to-advise-penske-on-saturn-sale/#commentsFiled under: ,



Penske Automotive Group has reportedly contracted the services of former Chrysler President Tom LaSorda, who left the automaker when it filed for Chapter 11 protection on April 30th, to advise it on its possible bid to purchase the Saturn brand from current parent General Motors. Up until the year 2000 when he joined Chrysler, LaSorda had been an executive at GM.

Earlier this month, Roger Penske, CEO of the second largest dealership group in the U.S., said that his company was interested in future opportunities with the Saturn brand. According to the Detroit News, Joe Serra and David Fischer, two Saturn dealership owners from Michigan, are partnering with Penske on the bid.

Rival bidders for Saturn may also include investor group Telesto Ventures with backing from Black Oak Partners LLC and French automaker Renault. As it currently stands, GM plans to continue providing vehicles to Saturn dealerships until the end of 2011.

[Source: Automotive News - sub. req'd | Image Source: Bill Pugliano/Getty]

Ex-Chrysler Pres. Tom LaSorda to advise Penske on Saturn sale originally appeared on Autoblog on Wed, 20 May 2009 17:34:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>david fischerDavidFischerjoe serraJoeSerrapenske automotive groupPenskeAutomotiveGrouproger penskeRogerPenskesaturnsaturn biddersSaturnBidderstom lasordaTomLasordaWed, 20 May 2009 17:34:00 EST<![CDATA[Chrysler to Canada: Pay up, or we leave]]>http://www.autoblog.com/2009/03/12/chrysler-to-canada-pay-up-or-we-leave/http://www.autoblog.com/2009/03/12/chrysler-to-canada-pay-up-or-we-leave/http://www.autoblog.com/2009/03/12/chrysler-to-canada-pay-up-or-we-leave/#commentsFiled under: ,



Chrysler LLC President and Vice Chairman Tom Lasorda spoke to Canadian Members of Parliament during a hearing in Ottawa on Wednesday, and based on the account published by ReportOnBusiness.com, it seems like it was really just a venue at which Lasorda was able to read off a list of demands from his employers.

They were:
  1. The Canadian feds must provide the Pentastar with $2 to $3 Billion USD in bailout loans.
  2. The CAW needs to visit the barber to the tune of a 25% reduction in pay and benefits.
  3. The Canadian Revenue Agency must essentially surrender in its tax battle against the automaker, taking no additional action against it. Presently, the CRA has a half-billion dollar lien against the Brampton plant and has withheld hundreds of millions more in tax rebates.
Failure to meet these demands means that Chrysler starts killing hostages leaves Canada entirely and moves those jobs to the U.S. or Mexico. Lasorda's exact quote was, "The current success and long-term viability of Chrysler's manufacturing operations in Canada is very much dependent on [those] three critical factors." For his part, it sounds like Lasorda's confident that our neighbors to the north will capitulate, saying he feels the criteria presented can be satisfied, and that "we'll be here for a long time once they are addressed." Thanks to Pat for the tip.

[Source: ReportOnBusiness.com]

Chrysler to Canada: Pay up, or we leave originally appeared on Autoblog on Thu, 12 Mar 2009 07:58:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>canadachryslerchrysler threatsChryslerThreatsleave canadaLeaveCanadatom lasordaTomLasordaThu, 12 Mar 2009 07:58:00 EST<![CDATA[POLL: How will Jim Press affect the fortunes of Chrysler LLC?]]>http://www.autoblog.com/2007/09/06/poll-how-will-jim-press-affect-the-fortunes-of-chrysler-llc/http://www.autoblog.com/2007/09/06/poll-how-will-jim-press-affect-the-fortunes-of-chrysler-llc/http://www.autoblog.com/2007/09/06/poll-how-will-jim-press-affect-the-fortunes-of-chrysler-llc/#commentsFiled under: , ,



Wow, we're still reeling a bit from this morning's news that Chrysler hired off Toyota North America's top executive, Jim Press. He now shares the title of Vice Chairman and President with Tom LaSorda, and the two will report directly to Chrysler's new CEO, Bob Nardelli. While LaSorda will handle the "Supply" side of things (Manufacturing, Procurement and Supply, Employee Relations and Global Business Development and Alliances), Press will handle "Demand" (North American Sales, International Sales, Global Marketing, Product Strategy, and Service).

Press spent the last 37 years of his professional career at Toyota. What makes a man leave a company with that type of history? What makes a man leave a company like Toyota at the height of its success, and join an automaker that's about to begin yet another turnaround? We don't know, but we bet it's more than just the allure of a good challenge.

The real question is how the addition of Jim Press will affect Chrysler. Will his hire be an instant positive for the company, or will his presence be a distraction for the management team. Then there's the conspiracist theory angle. Perhaps Toyota CEO Katsuaki Watanabe sent Press to Chrysler as a mole to learn why the Jeep Wrangler is so popular.

View Poll

POLL: How will Jim Press affect the fortunes of Chrysler LLC? originally appeared on Autoblog on Thu, 06 Sep 2007 12:29:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>chryslerchrysler llcChryslerLlcjim pressJimPresspresidenttom lasordaTomLasordavice presidentVicePresidentThu, 06 Sep 2007 12:29:00 EST<![CDATA[BREAKING: Jim Press leaves Toyota for Chrysler!]]>http://www.autoblog.com/2007/09/06/breaking-jim-press-leaves-toyota-for-chrysler/http://www.autoblog.com/2007/09/06/breaking-jim-press-leaves-toyota-for-chrysler/http://www.autoblog.com/2007/09/06/breaking-jim-press-leaves-toyota-for-chrysler/#commentsFiled under: ,

Despite recently renewing his contract with Chrysler, it's looking more and more like Tom LaSorda's days at the automaker are numbered. This morning, Chrysler Chairman and CEO Bob Nardelli revealed that Jim Press would be joining the company as Vice Chairman and President, the same title LaSorda has on his recently-updated business cards. Until today, Press had been none other than President and COO of Toyota North America, quietly leading the Japanese automaker's charge in the U.S. for more market share.

Press will be in charge of North American Sales, International Sales, Global Marketing, Product Strategy, and Service and Parts ,while LaSorda is still responsible for manufacturing, purchasing, labor and Global Business Development and Alliances.

The full press release is after the jump.

[Source: Chrysler]

Continue reading BREAKING: Jim Press leaves Toyota for Chrysler!

BREAKING: Jim Press leaves Toyota for Chrysler! originally appeared on Autoblog on Thu, 06 Sep 2007 10:30:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>breakingchrysler llcChryslerLlcJim PressJimPresstom LaSordaTomLasordaThu, 06 Sep 2007 10:30:00 EST<![CDATA[New CEO Nardelli takes over at Chrysler as LaSorda stands by]]>http://www.autoblog.com/2007/08/06/new-ceo-nardelli-takes-over-at-chrysler-lasorda-stands-by/http://www.autoblog.com/2007/08/06/new-ceo-nardelli-takes-over-at-chrysler-lasorda-stands-by/http://www.autoblog.com/2007/08/06/new-ceo-nardelli-takes-over-at-chrysler-lasorda-stands-by/#commentsFiled under: ,



Chrysler's new Chairman and CEO Bob Nardelli introduced himself at a press conference this morning as his new No. 2 Tom LaSorda stood by his side (more like directly behind him). LaSorda, who until this past weekend was CEO himself, is staying on the team, though his own No. 2, COO Eric Ridenour, has decided to leave the company after 23 years of service.

Our man on the scene, Chris Shunk, reported there was a lot of talk about this being the "right team" and the "right time", though LaSorda, who helped devised and launch Chrysler's current turnaround plan, admitted that he told Cerberus management they should hire someone new if they thought that person could do a better job with the company than he could. Apparently they took him up on his offer.

That's why we find this picture so appropriate, with LaSorda acting as Chief Executive Wallflower to Nardelli's new Big Boss Man role. Of course, we know LaSorda's role will still be important, as both the UAW and CAW have been working with him during the ongoing contract talks that are crucial to the company's turnaround.

[Source: Automotive News, sub. req'd]

New CEO Nardelli takes over at Chrysler as LaSorda stands by originally appeared on Autoblog on Mon, 06 Aug 2007 20:02:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>bob nardelliBobNardelliceochryslertom lasordaTomLasordaMon, 06 Aug 2007 20:02:00 EST<![CDATA[Wolfgang Bernhard to become chairman of Chrysler Group]]>http://www.autoblog.com/2007/07/26/wolfgang-bernhard-to-become-chairman-of-chrysler-group/http://www.autoblog.com/2007/07/26/wolfgang-bernhard-to-become-chairman-of-chrysler-group/http://www.autoblog.com/2007/07/26/wolfgang-bernhard-to-become-chairman-of-chrysler-group/#commentsFiled under: , ,



According to a German magazine referenced by Automotive News, Wolfgang Bernhard is expected to be announced as the Chrysler Group's chairman-in-waiting, pending DaimlerChrysler's sale of the automaker to Cerberus Capital Management. Currently Bernhard is an acting advisor, a consultant if you will, for Cerberus, and spends his days at Chrysler's Auburn Hills headquarters, presumably gathering info for Cerberus on what aspects of the business need the German exec's magic touch the most. When the sale happens and Bernhard officially moves in, the speculation is that current CEO Tom LaSorda will remain in his position and likely report to Bernhard.

Bernhard was formerly VW's brand chief, and before that he worked for Chrysler immediately following the "merger of equals" that resulted in DaimlerChrysler. Other former Chrysler execs are also advising Cerberus at the moment according to Automotive News, including the company's well respected former design chief Tom Gale. Hopefully the news of Bernhard's official return, when it comes, will portend the return of other key Chrysler execs that can aid the company's turnaround efforts.

[Source: Automotive News - sub. req'd]

Wolfgang Bernhard to become chairman of Chrysler Group originally appeared on Autoblog on Thu, 26 Jul 2007 12:38:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>bernhardcerberuscerberus capital managementCerberusCapitalManagementchairmanchryslerchrysler groupChryslerGroupdaimlerchryslerexpire-images:2008-7-25tom galetom lasordaTomGaleTomLasordawolfgangwolfgang bernhardWolfgangBernhardThu, 26 Jul 2007 12:38:00 EST<![CDATA[What's up with Wolfgang? He's back at Chrysler]]>http://www.autoblog.com/2007/06/01/whats-up-with-wolfgang-hes-back-at-chrysler/http://www.autoblog.com/2007/06/01/whats-up-with-wolfgang-hes-back-at-chrysler/http://www.autoblog.com/2007/06/01/whats-up-with-wolfgang-hes-back-at-chrysler/#commentsFiled under: , ,



Immediately following the sale of Chrysler to Cerberus, people began speculating on what role former Chrysler exec Wolfgang Bernhard would take up in the newly minted Chrysler Corp. Even we jumped on the bandwagon and suggested Bernhard, who had been hired on by Cerberus to advise the sale, would be a likely replacement for Tom LaSorda if the automaker's current CEO couldn't turn around the company's fortune. The Wall Street Journal is reporting, however, that Bernhard will act as a high-level advisor and report directly to Cerberus founder Stephen Feinberg.

The interesting thing is that Bernhard has been present at nearly every meeting since the acquisition was announced. He currently has an office on the executive floor of Chrysler's Auburn Hills headquarters and has been seen making the rounds, even stopping by the design studio to point out what he likes and dislikes in future designs.

Cerberus makes it clear, however, that Bernhard is not part of the Chrysler executive team, which begs the question, why is he there? It seems to us that Bernhard's considerable talent in having an eye for good product and dealing with the unions will be extremely valuable to LaSorda and his team while they attempt to bring Chrysler back to profitability. At the same time, Bernhard's role also comes off as a strategy by Cerberus to keep the Chrysler execs, specifically LaSorda, focused in their task. Should they fail, Bernhard won't have to move his desk far to take over the CEO role. Hopefully it doesn't come to that, and the two execs will form a relationship similar to the one used effectively by GM CEO Rick Wagoner and his product man, Bob Lutz.

[Source: Wall Street Journal via Motor Authority]

What's up with Wolfgang? He's back at Chrysler originally appeared on Autoblog on Fri, 01 Jun 2007 16:32:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>ceocerberuschrysler corp.ChryslerCorp.tom lasordaTomLasordawolfgang bernhardWolfgangBernhardFri, 01 Jun 2007 16:32:00 EST<![CDATA[Tell us what you really think: Lee Iacocca slams Daimler]]>http://www.autoblog.com/2007/05/18/tell-us-what-you-really-think-lee-iacocca-slams-daimler/http://www.autoblog.com/2007/05/18/tell-us-what-you-really-think-lee-iacocca-slams-daimler/http://www.autoblog.com/2007/05/18/tell-us-what-you-really-think-lee-iacocca-slams-daimler/#commentsFiled under: ,

There aren't that many people in the world who have a stronger emotional connection to Chrysler Corp. than Lee Iacocca, father of the minivan and savior for Chrysler during the early '80s. In an article featured in BusinessWeek, Iacocca reveals his feelings and thoughts about Daimler AG's sale of Chrysler to Cerberus Capital Managment, a private equity firm.

In no uncertain terms, Iacocca comes right out and says, "Daimler screwed Chrysler royally." He argues that Chrysler was healthy, even powerful, before the merger, and has been left half dead by Daimler, which retreats back across the Atlantic to Germany as we speak (our eloquent prose, not his). Nevertheless, Chrysler's ex-CEO is optimistic about his old employer's fate, and makes a case for Cerberus being exactly the right kind of private equity firm to buy Chrysler.

Thanks for the tip, Alison!

[Source: BusinessWeek]

Related posts:
Cerberus buying Chrysler for $7.4 billion
LaSorda speaks: We're not breaking up the band!
Jeep employees pissed about Chrysler sale
Chrysler Corp. gives CAW written guarantee jobs are safe
Wolfgang Bernhard will not be a part of the Chrysler deal. Yet!

Continue reading Tell us what you really think: Lee Iacocca slams Daimler

Tell us what you really think: Lee Iacocca slams Daimler originally appeared on Autoblog on Fri, 18 May 2007 16:12:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>cerberuschryslerchrysler corpChryslerCorplee iacoccaLeeIacoccatom lasordaTomLasordawolfgang bernhardWolfgangBernhardFri, 18 May 2007 16:12:00 EST<![CDATA[LaSorda speaks: We're not breaking up the band!]]>http://www.autoblog.com/2007/05/15/lasorda-speaks-were-not-breaking-up-the-band/http://www.autoblog.com/2007/05/15/lasorda-speaks-were-not-breaking-up-the-band/http://www.autoblog.com/2007/05/15/lasorda-speaks-were-not-breaking-up-the-band/#commentsFiled under: , ,

The newly minted Chrysler Corp. held its first press conference today and carryover CEO Tom LaSorda made it clear that all of Chrysler's brands will be kept together after the sale to Cerberus Capital Management goes through. Many have been wondering if Cerberus would pull an Edward Lewis à la Pretty Woman and break up the automaker, selling off its pieces for profit. LaSorda says that won't happen, and in addition his company and Daimler AG will continue to work together in areas such as hybrid technology and purchasing. One would also hope that work done to bring a small B-class car to Chrysler's product portfolio from Chinese automaker Chery is also intact.

LaSorda also said that the purchase will not be followed by more job cuts than were already planned. One job cut we speculate might be considered is LaSorda's own position as CEO of Chrysler Corp. We suspect he'll be given a year or two to improve Chrysler's standing, but ex-Chrysler wünderboy Wolfgang Bernhard is waiting unemployed in the wings. It's likely Bernhard couldn't be named CEO of Chrysler Corp. anyway until his noncompete clause with VW/Audi runs its course. Until that time, you can bet LaSorda will be working to prove his worth to the new suits in town from Cerberus.

[Source: Automotive News - sub. req'd]

LaSorda speaks: We're not breaking up the band! originally appeared on Autoblog on Tue, 15 May 2007 15:04:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>cerberuschryslerchrysler corp.ChryslerCorp.expire-images:2008-5-14saletom lasordaTomLasordawolfgang bernhardWolfgangBernhardTue, 15 May 2007 15:04:00 EST<![CDATA[Chrysler's Tom LaSorda webcast at 1:30 PM EST]]>http://www.autoblog.com/2007/05/15/chryslers-tom-lasorda-webcast-at-1-30-pm-est/http://www.autoblog.com/2007/05/15/chryslers-tom-lasorda-webcast-at-1-30-pm-est/http://www.autoblog.com/2007/05/15/chryslers-tom-lasorda-webcast-at-1-30-pm-est/#commentsFiled under: ,



You too can front like you're a member of the press when Chrysler CEO and President, Tom LaSorda addresses questions from the seething throngs during a press conference today at 1:30 PM EST. Naturally, the topic of conversation will be the sale of Chrysler to Cerberus Capital Management. We're not entirely sure that anything new will be discussed, as the topic has been beaten into the ground after only one day, but regardless we'll pay rapt attention to the Mr. L. And since it'll be after noon, we might try to come up with a drinking game to make it more interesting.

Follow this link to watch the press conference live.

Chrysler's Tom LaSorda webcast at 1:30 PM EST originally appeared on Autoblog on Tue, 15 May 2007 11:09:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>cereberuschryslerdaimlerchryslertom lasordaTomLasordaTue, 15 May 2007 11:09:00 EST<![CDATA[Chrysler to build new plant in Michigan]]>http://www.autoblog.com/2007/04/17/chrysler-to-build-new-plant-in-michigan/http://www.autoblog.com/2007/04/17/chrysler-to-build-new-plant-in-michigan/http://www.autoblog.com/2007/04/17/chrysler-to-build-new-plant-in-michigan/#commentsFiled under: , ,


With all the news surrounding the possible sale of Chrysler, it's nice to know that the forlorn automaker is still looking to the future and revamping aging production centers.

An announcement is expected later this week regarding a new axle plant that will supposedly be built somewhere northeast of downtown Detroit. The $700 million plant, designed to replace another axle plant in Motown, is expected to be in operation by 2010 and will employ some 900 workers.

Information about the factory comes via the Detroit News, who's union sources indicate that the work rules for the new plant are up for a vote today, while at the same time, the Michigan Economic Growth Authority is mulling over tax incentives for Chrysler. If all goes according to plan, expect an announcement this Wednesday, as Governor Granholm, UAW Pres Ron Gettelfinger and Chrysler's CEO, Tom LaSorda take to the podium.

[Source: Detroit News]

Chrysler to build new plant in Michigan originally appeared on Autoblog on Tue, 17 Apr 2007 07:12:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>axle plantAxlePlantchryslerdaimlerchryslerdetroitjennifer granholmJenniferGranholmmichiganron gettlefingerRonGettlefingertom lasordaTomLasordauawTue, 17 Apr 2007 07:12:00 EST<![CDATA[BREAKING: Tom LaSorda spams the troops to pick up morale]]>http://www.autoblog.com/2007/02/22/breaking-tom-lasorda-spams-the-troops-trying-to-pick-up-morale/http://www.autoblog.com/2007/02/22/breaking-tom-lasorda-spams-the-troops-trying-to-pick-up-morale/http://www.autoblog.com/2007/02/22/breaking-tom-lasorda-spams-the-troops-trying-to-pick-up-morale/#commentsFiled under: ,



There are plenty of reports today that morale at Chrysler is in a tailspin right now due to all of the rumors swirling about the potential sale of the company. Having been through several buyouts and mergers (both attempted and successful) in the past 15 years, I know that one of the worst things that can happen to productivity is rumors about the company's fate. Whenever this happens, people spend their days polishing resumes, calling headhunters and speculating about what's going to happen.

This morning Chrysler CEO Tom LaSorda sent out a mass e-mail to all employees trying to minimize this impact. He starts off by explaining that management cannot comment on anything that might happen, for legal reasons. He then goes on to tout the support given by the management board to the latest restructuring plan, all the new products in the pipeline and how this crisis is different from all the previous Chrysler meltdowns. It's understandable that LaSorda felt he needed to send this message, but the reality is that it will make no difference whatsoever. Anything short of a definite announcement that either a deal is done, or an unequivocal statement that Chrysler is not on the market, will likely only make things worse. The entire e-mail message can be read after the jump.

[Source: Chrysler]

Continue reading BREAKING: Tom LaSorda spams the troops to pick up morale

BREAKING: Tom LaSorda spams the troops to pick up morale originally appeared on Autoblog on Thu, 22 Feb 2007 12:33:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>e-mailemailmoraletom lasordaTomLasordaThu, 22 Feb 2007 12:33:00 EST<![CDATA[Chrysler Group announces Recovery and Transformation plan]]>http://www.autoblog.com/2007/02/14/chrysler-group-announces-recovery-and-transformation-plan/http://www.autoblog.com/2007/02/14/chrysler-group-announces-recovery-and-transformation-plan/http://www.autoblog.com/2007/02/14/chrysler-group-announces-recovery-and-transformation-plan/#commentsFiled under: , , ,



Project X has now officially been renamed the Recovery and Transformation plan by the Chrysler Group, which plans to reduce its workforce by 13,000 people between now and 2009. About 11,000 employees will be hourly workers, while 2,000 will be salaried employees. In addition, total production capacity for the Chrysler Group will be reduced by 400,000 units per year, aided by the immediate elimination of shifts at its Newark Assembly Plant and Warren Truck Plant, along with cancelling a shift at its St. Louis South Assembly Plant in 2008. In 2009, the Newark Assembly Plant will be completely idled. There's also the standard restructuring moves you'd expect in the plan, like reducing the number of dealers, selling less to fleets, and offering retirement and attrition packages to current workers not affected by the layoffs.

Chrysler Group hopes the R&T plan will return the company to profitability as early as 2008. It's main weapon is cost reduction by the aforementioned layoffs and plant closings. The idea seems to be that if the company can reduce costs enough, its operating profit can offset the quarterly losses it will be facing in the near term.

It's not all slash and cut though, as Chrysler also announced a $3 billion investment in new engines, transmissions and axles that will focus on producing more fuel efficient power and drivetrains. One such product will be a dual-clutch transmission it's commissioned Getrag to produce and a new V6 engine dubbed "Phoenix". There's a slew of BLUETEC diesel vehicles on the horizon, and the 2008 Dodge Durango will host the company's first two-mode hybrid, as well.

One item of note in the press release issued is DaimlerChrysler CEO Dieter Zetsche's statement that, "we do not exclude any option in order to find the best solution for both the Chrysler Group and DaimlerChrysler," which some analysts have taken to mean that selling off the Chrysler Group wholesale is still on the table as a viable option.

Check out the Chrysler Group's full press release after the jump for all the nitty gritty details, and let us know in the comments whether or not you think the Recovery and Transformation plan has what it takes to turn Chrysler around.

[Source: Chrysler Group]

Continue reading Chrysler Group announces Recovery and Transformation plan

Chrysler Group announces Recovery and Transformation plan originally appeared on Autoblog on Wed, 14 Feb 2007 10:09:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>chrysler groupChryslerGroupdieter zetscheDieterZetscheplanproject xProjectXrecovery and transformationRecoveryAndTransformationrestructuringtom lasordaTomLasordaWed, 14 Feb 2007 10:09:00 EST<![CDATA[Chrysler's "Project X" calls for 10,000 jobs cuts, two closed plants]]>http://www.autoblog.com/2007/02/05/chryslers-project-x-calls-for-10-000-jobs-cuts-two-closed-pl/http://www.autoblog.com/2007/02/05/chryslers-project-x-calls-for-10-000-jobs-cuts-two-closed-pl/http://www.autoblog.com/2007/02/05/chryslers-project-x-calls-for-10-000-jobs-cuts-two-closed-pl/#commentsFiled under: ,



We have more details on the rumored restructuring plan that the Chrysler Group is expected to announce on February 14th. First, it's dubbed internally as "Project X", which must mean it involves chimpanzees and large doses of radiation. In addition to radiated chimps (we're kidding, click the link for the punchline), Automotive News is reporting that the plan will likely involve cutting 10,000 factory jobs and closing the Newark Assembly Plant that builds the Dodge Durango and Chrysler Aspen, as well as the an engine plant in Detroit that we believe makes the 4.7L V8 motor for Jeep and Dodge. The ultimate goal is reportedly to make the Chrysler Group smaller, more efficient and more closely alligned with Daimler-Chrysler and Mercedes-Benz. The restructuring plan sounds similar to those currently being implemented by General Motors and Ford, though smaller in scale. For its part, Ford learned a valuable lesson not cutting deep enough the first time around, so we're eager to see if the Chrysler Group comes back for a second round of cuts, as well.

[Source: Automotive News]

Chrysler's "Project X" calls for 10,000 jobs cuts, two closed plants originally appeared on Autoblog on Mon, 05 Feb 2007 13:57:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>chrysler groupChryslerGroupdieter zetscheDieterZetscheProject XProjectXrestructuringtom lasordaTomLasordaMon, 05 Feb 2007 13:57:00 EST<![CDATA[The buzz is wrong: LaSorda says no Hornet from China]]>http://www.autoblog.com/2007/01/03/the-buzz-is-wrong-lasorda-says-no-hornet-from-china/http://www.autoblog.com/2007/01/03/the-buzz-is-wrong-lasorda-says-no-hornet-from-china/http://www.autoblog.com/2007/01/03/the-buzz-is-wrong-lasorda-says-no-hornet-from-china/#commentsFiled under: , ,



Despite early assumptions, it looks like the Dodge Hornet has been swatted down for now. The news comes out of a talk Chrysler's media-only Firehouse blog recently had with Chrysler Group President and CEO Tom LaSorda.

Q - Will this car mean the death of the Hornet, the muscular small car concept that we saw at the Geneva auto show this year?
Tom - "The Hornet is a great statement of our design. It is also a statement that it's something that we're going to continue to take a look at, and depending on the business case going, we'll look at that independently from this particular project."

So that puts us back into the guessing game as to what the Chinese Chrysler product from Chery will be. Or even if it will be a Dodge.

LaSorda confirms, however, that the Chery-built car will be B-Class-sized. He goes on to address concerns about the level of quality we can expect from Chinese-built cars as well as political repurcussions of choosing to build a new car in a foreign country instead of the U.S.

Read the entire interview after the jump.

Continue reading The buzz is wrong: LaSorda says no Hornet from China

The buzz is wrong: LaSorda says no Hornet from China originally appeared on Autoblog on Wed, 03 Jan 2007 09:34:00 EST. Please see our terms for use of feeds.

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Chrysler Group CEO Tom LaSorda travelled to DaimlerChrysler's headquarters in Stuttgart, Germany, last Wednesday to present a restructuring plan to the company's management board. The Detroit News reports that the plan will involve job cuts and and the closing of at least two plants in the U.S. The plan will be reviewed by the DCX management board and likely announced in February when the company reveals its performance numbers for 2006, which analysts expect to be billions in the red.

Just like Ford with its Way Forward restructuring plan, Chrysler needs to trim down the production side of its business to meet lower demand for its vehicles that led to a loss of $1.5 billion in Q3 of 2006. In addition to shrinking its production capacity, any analyst will tell you that Chrysler also needs more small cars in its lineup, which at the moment is overrun with trucks, minivans and SUVs.

Though the Chrysler Group is still run by Tom LaSorda, many are speculating that Dieter Zetsche wants to bring back his guy pal Wolfgang Bernhard, current head of the Volkswagen brand, to run the stumbling automaker. Other initiatives that are already happening include bringing in executives from Mercedes-Benz to the Chrysler Group reduce the cost of each vehicle it produces by $1,000. Clearly DaimlerChrysler is putting effort into fixing what's broken at the Chrysler Group, though some analysts speculate that the restructuring plan announced in February will be its last attempt before selling off the automaker it had "merged" with back in 1998.

Chrysler to present restructuring plan in February originally appeared on Autoblog on Tue, 26 Dec 2006 13:03:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>dieter zetscheDieterZetscherestructuringrestructuring planRestructuringPlantom lasordaTomLasordaturn aroundTurnAroundTue, 26 Dec 2006 13:03:00 EST<![CDATA[LaSorda recognizes Chrysler's ads are lame]]>http://www.autoblog.com/2006/12/11/lasorda-recognizes-chryslers-ads-are-lame/http://www.autoblog.com/2006/12/11/lasorda-recognizes-chryslers-ads-are-lame/http://www.autoblog.com/2006/12/11/lasorda-recognizes-chryslers-ads-are-lame/#commentsFiled under: , , ,

During a meeting with Detroit-area dealers, Tom LaSorda, Chrysler group's CEO, expressed his displeasure with the current advertising route employed by the Detroit New York offices of BBDO.

He specifically singled out the ad where a stranded motorist enlists the help of a Nitro driver to jump his car. You've seen the rest, so we're not going to bore you with a description.

The one Nitro ad we would have pointed to is the "Planet" piece, where the SUV is dropped from a crane, falls through the ground, travels through the underworld accompanied by the happy, go-lucky sounds of a 70s-era lounge lizard and then pops out in China. Both ads are so lame, we didn't want to post them after the jump, but we did.

Jason Vines, the Chrysler group spokesman, has gone to BBDO and told the execs, in so many words, to do better. We'd hope so Jason, for both your good and ours.

[Source: Automotive News - Sub. Req.]

Continue reading LaSorda recognizes Chrysler's ads are lame

LaSorda recognizes Chrysler's ads are lame originally appeared on Autoblog on Mon, 11 Dec 2006 11:05:00 EST. Please see our terms for use of feeds.

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It's been almost two months since we last talked about Dodge's rumored partnership with Chery. So we thought we'd bring you an update. It now looks like Western Europe is being tabbed as one of the key markets for this small Dodge when it launches. Chery Automobile of China is still the most likely partner on the project, according to Chrysler group CEO Tom LaSorda. LaSorda actually said the choices have been narrowed to two, with rumors that the company is also looking at PSA/Peugeot-Citroen or perhaps even Hyundai. He added that a decision should come by the end of the year at the latest.

After Western Europe the small car should head to Mexico and Canada, with U.S. sales a possibility after that. DaimlerChrysler had previously told us that it really needed a partner if it were going to succeed at the low-margin end of the lineup, where Chery can certainly help with one of its small car platforms. The most likely vehicle coming out of this partnership would be a production version of the Dodge Hornet concept, shown above at the recently held Beijing Motor Show in China. Dodge wants to be more competitive globally and Chery has the ability to produce the subcompacts and superminis Dodge would need to be a real player. Chery has also wanted to establish itself in the U.S. to help build some credibility for the company, so this might be good for both parties.

[Source: Automotive News Europe, sub req]

Western Europe will be first to get small Dodge originally appeared on Autoblog on Mon, 27 Nov 2006 18:58:00 EST. Please see our terms for use of feeds.

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Bill Ford, Rick Wagoner and Tom LaSorda have been twiddling their thumbs since May waiting for the White House to confirm a date for the Detroit trio to meet with George Bush, the D.C. decider. Tentative times have come and gone, and as each one passed, the perception that the current administration cares little about the challenges facing domestic automakers continued to grow. In reality, those challenges that include health care costs and the price of imported raw materials like steel, just didn't make for good pre-election prattle.

Not a day after the midterm elections have passed, the White House has announced that George Bush will meet with Ford, Wagoner and LaSorda next Tuesday. No additional details were given about what time the meeting would take place or if an agenda of talking points had been set.

Most of us on the Autoblog team are apolitical when it comes to cars, but since the Republicans have lost control over both houses of Congress, we can't help but wonder if Detroit should instead sit down for a chat with someone like N ancy Pelosi (D - CA), the presumptive Speaker of the House, or Harry Reid (D - NV), the soon-to-be leader of the Senate's majority.

BTW - if you'd like to talk politics in the comments, feel free. Keep it civil, though, or we'll be forced to turn the comments off.

[Source: The Detroit Free Press]

Meeting of the Minds: Big Three and Bush to talk on Tuesday originally appeared on Autoblog on Thu, 09 Nov 2006 19:58:00 EST. Please see our terms for use of feeds.

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Thinking that top executives had perhaps gotten out of touch with what the real world buyer of their cars is experiencing, Chrysler CEO Tom LaSorda is sending 250 top executives out to test drive some used cars. He has them driving three-year-old DaimlerChrysler products because he wants them to learn about reliability issues and the experience consumers face a few years down the road of ownership.

Executives will turn in their own vehicles for two 10-day periods. In exchange, they will be given something from a fleet of used Jeep Grand Cherokees, Chrysler Town & Country minivans, Dodge Caravans, Chrysler Pacificas and Dodge Ram pickups. Apparently LaSorda practices what he preaches. He has been seen driving an old Grand Cherokee lately.

"Our CEO, Tom LaSorda, has always been pushing us to become more customer focused: to eat, sleep, walk and talk like an average customer," said Steve Walukas, vice president of corporate quality. "In our positions we're pretty fortunate that we typically get to drive new cars. I know in my own situation, my friends, neighbors and relatives say, 'You wouldn't know what it's like to drive a car with a lot of miles on it.' This is a true way to understand."

The executives will be asked to evaluate each vehicle regarding first impressions and then follow up with impressions at the end of each 10-day trial. The program, which began in August, will run for another two months.

[Source: Detroit Free Press]

Slummin' it: Chrysler execs testing used vehicles originally appeared on Autoblog on Mon, 16 Oct 2006 16:25:00 EST. Please see our terms for use of feeds.

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