News about DC money loss...

[Brad Manhattan Beach]

Rumors have been floating around about Daimler's financial problems (before their acquisition of Chrysler). It is also rumored that they bought Chrysler to tap their cash to pay off Daimler's debts. This is supposedly one of the major reasons that Kerkorian and the ex-Chrysler execs are suing the crap out of DC. There were even rumors about taking Chrysler independent again.

Can anyone substantiate these rumors?

 

[Robert Dyck]

<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by mnichols:
Daimler Chrysler lost 1.25 billion in the fourth quarter??? After a 500 million loss in the third quarter?? Anybody know more??

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<HR></BLOCKQUOTE>

I read today where DC is blaming Chrysler for recent loses .. has to do with the expense of producing and promoting so many new products .....made me wonder if this will affect the Gen3, which is still a couple of years away ... or the racing programs.

 

[CAS]

This is BAD news. I heard that they are having trouble making their existing models sell. I don't see how that is.

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Apparently, PT Cruisers are backordered for around tow years. And everyone praises DC because of their ability to yield excellent designs right off the showstand. I don't get it, unless they are having a ton of internal trouble. I hope and pray they don't cancel the Le Mans and ALMS racing seasons, along with the debut of the new Viper!!

 

[Rich Detert]

At the time of the merger (hahaha) Chrysler had 9 Billion dollars as a cash reserve to be used in times of a market slow down (like whats happening now).

Daimler has gone on a spending spree after the merger (hahaha)and the cash reserve is now only 2 Billion dollars, which everyone seems to say is not enough. Daimler got greedy and tried to take over too much too fast. Now Chrysler is paying the price (hopefully not the ultimate price

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).