Chrysler to get out of leasing business - Page 2 - Machine Underground -Tractor & Commercial Equipment Discussion Forum

**Ducati996** · 07-31-2008, 07:37 AM

Quote:

Originally Posted by PaulChristenson

Because Chrysler is a privately held company, Cerberus Capital Management LP...very difficult to raise MORE capital...

not sure if a i follow you - Ford and GM are public, and its appears they are almost out of capital - and teatering on Ch11. If that happened they could be picked up by foreign entities, or assests sold off and no more Company.

**Ducati996** · 07-31-2008, 07:41 AM

Quote:

Originally Posted by LarryRB

Chrysler was not bailed out by the govt as you and many others say. Chrysler was given a loan guarantee back up by the gvt in case they faulted on the loans. Ioccaca paid off the loans 3 yrs ahead of schedule and not once asked the govt for back up.. It is the identical set up as VA loans which are guaranteed to a certain figure, Also against many who think Mercedes did them a favor, they did not,, I can't think names right now,, there is one guy, 53% of the stock, who sent each and every share holder a personal letter not to listen to Waggoneer and vote to allow mercedes to take it over, At the time Chrysler and it's dealers were doing the best they ever did. By the first month of Mercedes taking them over, they were paper backrupt and it only went down hill from there, Funny that they would can Waggoneer and he was taken over by GM, who under his watch is the worse they have ever been, this is before high gas prices and slipping sales.

I agree LarryRB Mercedes was the worst of the worst moves for Chrysler - they never recovered under them.
And yes Chrysler was never bailed out by the Govt - the offer was there, but never needed.

LarryRB · 07-31-2008, 08:52 AM

what Mercedes is famous for and they did to Chrysler was, after obtaining Chrysler they went after Penske/Detroit Diesel and Western Star trucks,,,, When they got the go ahead to get Western Star they threw the bill at Chrysler,, My in-laws were Chrylser-Dodge dealers 53 years and told me watch what happens now, chrysler will go down the tube and take the dealers with them,, If I negotiated to buy you out and you finally agree, even after arrangements and certain "guaranties" were agreed to, then I have your company, and a month later I decide to take over the next small tractor dealer or whatever business you had,, I'd look you in the eye and say, we now are a comglomerate and your new sister company is,, and your paying the mortgage,, When that one is up and running it goes on and on... Plus Mercedes did the worse thing any company can do and that was to (NOT STUDY) the past of chrysler and in fact un-did all the Iaccoca did.. An example is zone offices. THere was one in Boston, Albany, Syracuse, Buffalo, etc, etc,,, One zone could handle 60 or so dealers, One zone kept titles and could sign them off and a lot more,, Mercedes closed them all down and made one, on Dallas Tx where, no one can speak understandable English and to get your vehicle paid off, new title say for registering in a new state or other,,,, you're screwed,, It is one big mess now, And Cerbus who just bought 50% doesn't have the capital or know how behind them to get it straightened out again. This was one of the key problems in 78 when Iaccoca was taking over,,,

Deanster · 07-31-2008, 01:17 PM

Larry - sounds like you are up on your Chrysler trivia.

With the Mercedes merger, did Chrysler have much of a choice on that?

Mickey · 07-31-2008, 02:32 PM

Quote:

Originally Posted by Ducati996

not sure if a i follow you - Ford and GM are public, and its appears they are almost out of capital - and teatering on Ch11. If that happened they could be picked up by foreign entities, or assests sold off and no more Company.

Yep, was reading some news last week and mentioned neither Ford or GM have had a profitable yr since 05 and on paper both are nearing bankruptcy.

Seem to recall a couple yrs back before the Chrysler/MB split, Chrysler was sending people to MB to help them out on qlty issues. I've had a soft spot for Chrysler for many yrs but they have done a lot of foolish things that have hurt them. I hope they can find a way to hang in there and find their way back to the yrs they were prospering.

**PaulChristenson** · 07-31-2008, 03:16 PM

Quote:

Originally Posted by LarryRB

what Mercedes is famous for and they did to Chrysler was, after obtaining Chrysler they went after Penske/Detroit Diesel and Western Star trucks,,,, When they got the go ahead to get Western Star they threw the bill at Chrysler,, My in-laws were Chrylser-Dodge dealers 53 years and told me watch what happens now, chrysler will go down the tube and take the dealers with them,, If I negotiated to buy you out and you finally agree, even after arrangements and certain "guaranties" were agreed to, then I have your company, and a month later I decide to take over the next small tractor dealer or whatever business you had,, I'd look you in the eye and say, we now are a comglomerate and your new sister company is,, and your paying the mortgage,, When that one is up and running it goes on and on... Plus Mercedes did the worse thing any company can do and that was to (NOT STUDY) the past of chrysler and in fact un-did all the Iaccoca did.. An example is zone offices. THere was one in Boston, Albany, Syracuse, Buffalo, etc, etc,,, One zone could handle 60 or so dealers, One zone kept titles and could sign them off and a lot more,, Mercedes closed them all down and made one, on Dallas Tx where, no one can speak understandable English and to get your vehicle paid off, new title say for registering in a new state or other,,,, you're screwed,, It is one big mess now, And Cerbus who just bought 50% doesn't have the capital or know how behind them to get it straightened out again. This was one of the key problems in 78 when Iaccoca was taking over,,,

Larry the other point you did not mention was that when MB acquired Chrysler it was a CASH RICH company...and after they gutted it of money...it wasn't...

DUC...would you invest large sums of money in Cerberus Capital Management LP???

LarryRB · 07-31-2008, 04:05 PM

in a around about way I did by saying Chrysler and all its dealers were doing the best they every did.. MB took care of that in short order,