Our friends at PickupTrucks.com are reporting that General Motors has filed documents in court in an attempt to get "New" Chrysler to honor its full pre-bankruptcy debt of $531,275 (of which Chrysler has so far only agreed to pay back about a third) for work on the sophisticated Two-Mode hybrid powertrain that was jointly developed by the two American automakers along with Daimler and BMW.
Lee Iacocca loves him some Chrysler. He cared enough about the Pentastar to rescue the automaker from bankruptcy back in 1979, and now in retirement as the honorary chairman of the National Chrysler Retirement Association, he's offering his support for his former employer post-bankruptcy. Iacocca, along with 19,000 Chrysler retirees, took out a full page ad in the Detroit News offering any means of support necessary to help the new Chrysler succeed. The ad offered help in "any way capacity you m
In spite of pleas from the White House and the Justice Department, the Supreme Court yesterday put a hold on Chrysler's sale to Fiat. On one side are Indiana pension funds who want to protect their investment. On the other side are Chrysler and Fiat, who want to protect Chrysler's very existence, and the government which wants to protect the economy and jobs. In between all of that is the la
After the suggestion of Congressional hearings on the matter, Chrysler's Jim Press assured Senator Kay Bailey Hutchison (R-TX) that Chrysler dealers with leftover inventory after June 9 would "receive a fair and equitable value." It appears that Chrysler is making good on that promise.
The sale of Chrysler's assets to Fiat have been delayed by Supreme Court Justice Ruth Bader Ginsburg after three Indiana state pension funds lost their case in New York and filed papers with the highest court the land. Early reports indicate that this is only a temporary stay, with Ginsburg saying the sale is "stayed pending further order." Chrysler's lawyers have said the stay could
What automaker has a lower owner satisfaction score in the UK than Chrysler? The one and only company that makes automobiles less tasty to UK consumers is Fiat. Both brands, which are soon to be joined at the arm rest, scored significantly below both the industry average and survey champ Lexus, which enjoyed its ninth year topping the charts. The rest of the top five are Honda, Mercedes-Benz, Skoda, and Toyota.
As the movie Hoosiers amply demonstrated, Indiana natives don't quit. That's also true for three Indiana state pension funds who have fought Chrysler's bankruptcy all the way to the federal appeals court in New York and, having lost their case there, are filing papers with the Supreme Court today.
On a recent episode of The Chrysler Files, customers who purchased Chrysler vehicles that were later officially certified as lemons were being reimbursed by the company with checks... that bounced. The snafu stemmed from the fact that while said claims were made before Chrysler's bankruptcy, after the automaker's Chapter 11 filing, the judge had to clear the funds to be pa
Late Sunday night, U.S. bankruptcy Judge Arthur Gonzalez approved the sale of Chrysler's remaining good assets to a group that includes the UAW VEBA health care trust, Fiat, and the U.S. and Canadian governments. The union will get a 68% stake, Fiat gets 20% and the governments split the rest. Gonzalez over-ruled virtually all objections to the deal on the grounds that the best chance of preserving any value in the assets was to move ahead with the sale. The only other viable alternative was liq
The situations with GM and Chrysler are beginning to look like what happens after a fumble in an NFL game: a dozen men pile on top of each other all trying to get the ball. The difference in the case of GM and Chrysler is there are far more than two teams struggling for the prize. The latest to hop on and shove a hand in is the Senate Commerce Committee, which wants the CEOs to testify "early next month" regarding the planned dealership closings.
A story in the New York Times shines a light on some reasons for the Committee of Chrysler Affected Dealers to challenge the car company's bankruptcy efforts. The element common to all of the dealers profiled is that they did extraordinary things Chrysler asked them to do, such as buy too many cars and combine franchises at their own expense, on
Joseph Heller's novel Catch-22 is an assault on bureaucratic circular logic, and when talk turns to Chrysler's bankruptcy, you can almost picture the book's character, Yossarian, shaking his head about the latest developments surrounding warranty claims. Current Chrysler owners might find themselves owning vehicular orphans whether or not the company manages to stick around in some form. Chrysler's bankruptcy deal, where there's an upside and a downside to the Schwartz, could see the ne
Found in the "What have you done for me lately?" bin, Chrysler is apparently asking former CEO Lee Iacocca for the keys to his company cars. According to a FOX report, as part of their Chapter 11 bankruptcy filing, Chrysler isn't allowed to provide vehicles to former execs, even if those execs once famously saved the company from bankruptcy. Therefore, poor Lido is being asked to return his minivan and Chrysler 300, or pay fair market value to keep them.
Click above to view and explore Chrysler's dealer rejections nationwide and in your town
Click above to view and explore Chrysler's dealer rejections nationwide and in your town
Chrysler's top ten creditors are owed about $400 million, and the top two creditors account for nearly $130 million of that. The company first in line for payment is Ohio Module, which is a subsidiary of Hyundai Mobis, which is in turn a publicly traded subsidiary of Hyundai. Ohio Module makes chassis for the Jeep Wrangler and Chrysler has run up a $70 million tab with the firm.
When President Obama announced that Chrysler LLC would be filing for Chapter 11 bankruptcy in late April, he mentioned that the beleaguered automaker could emerge after 60 days. "Well, that's not so bad," we all thought. Turns out that as details of Chrysler's reemergence begin to surface, the actual time table for bankruptcy to be completed could be as much as two years, not two mon
History could eventually reveal that Chrysler declaring bankruptcy may have just been the easy part. According to CNN, affidavits taken from Chrysler engineers and executives do a pretty good job of showing that things will get really tough when it's time for the automaker to start making cars again, the theme being that downtime will prove even more costly than running time.
Attorneys from Jones Day law firm representing Chrysler during bankruptcy have taken the unusual step of asking the judge to "give their fees special priority." Two reasons have been hypothesized for the move: the lawyers don't think there will be any money for trade debts from the leftover pieces of Chrysler; or the maneuver could be a ploy to get secured lenders to accept the proposed sale of Chrysler as is by suggesting that what's on the table now is as good as anyone is going to get.
