Chrysler - did Cerberus blow it?

Nope, eventually a fine car. My '95 still runs as new.

Not quite, but they made too many. Doesn't sell here, many new 2006s for 30% off.

Styling for kids. Good functional design though.

UGH! Honda Fit competition?

Reply to
Some O
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Based on what Cerberus did with their involvement with the Air Canada recovery, they will tighten up everything and will try higher prices for a slightly premium product. Less volume higher prices. This could mean the dumping of some vehicle lines, just as A/C gave up some less profitable routes.

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Reply to
who

Because everybody who's tried this has been so successful, right? GM with Cadillac, Ford with Volvo, Nissan with Infiniti...

Good think you're not being paid for advice.

Oh BS. Chrysler has never competed in the Mercedes market, and nobody in the market for a Mercedes or BMW would even consider Chrysler.

Reply to
Lloyd

messagenews:VbX2i.2$ snipped-for-privacy@newsfe02.lga...

The losses at DC were due to the Chrysler group; Mercedes and truck groups are profitable.

Appparently investors and advisors like it:

"The stock of DaimlerChrysler may continue the rise that began last year, freed from the burden of Chrysler, Barron's reported in its May

21 edition.

The shares of the new Daimler, whichis likely to trade under that name soon, change hands at around $86 but could hit $100 or more in a year, the magazine said."

"Citigroup's John Lawson maintained his "Buy" rating and boosted his price target for the company to $98 from $84.80, predicting that the company's shares will continue to rise.

"We believe the time is right to move to a post-Chrysler valuation of DaimlerChrysler as the sale of the unit progresses to completion in third quarter 2007," Lawson wrote in a note to investors.

"DaimlerChrysler excluding Chrysler appears to us to be a much higher quality asset, which should command higher multiples," he added.

Reply to
Lloyd

And Chrysler's not?

"With just its Mercedes-Benz luxury brand, it will go from being the third- or fourth-largest car seller in the USA - it's been seesawing with Toyota, depending on the month - to the 12th. But it also likely will make more money: On Tuesday, the automaker said Mercedes posted $1 billion in earnings for the first quarter, while Chrysler lost nearly $2 billion"

Reply to
Lloyd

Charger is outselling 300 so far this year:

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25,000 sales so far this year isn't peanuts.

Reply to
Lloyd

It is going to take more than that, Daimler spent 500 million to sell Chyrsler after all the money was spent (most of it went back to Chysler Financail) and you do you spend a extra 500 milion to sell a company unless it stands to cost you a lot more to keep it. Chysler has major labor cost problems and either they reduce them a lot with major consesions or they go out of bussiness because there will be no

3rd option here.

----------------- TheSnoMan.com

Reply to
SnoMan

Generally you're correct, but I've heard a number of hemi buyers say they changed from Mercedes to Chrysler because that drive train was almost half the price of the Mercedes.

However most Mercedes buyers don't buy for performance, just image. We have many Mercedes vehicles around here and they just put along in the city and seldom are seen on the highway.

Reply to
who

DC could afford to pay to dump Chrysler, they sucked cash out of Chrysler after the take over. That Chrysler cash got DC profitable again.

DC will still own part of Chrysler so I expect they will still benefit from Chryslers higher parts volume and lower costs. Also I expect Chrysler will still benefit from what they get from Mercedes. So both sides should be happy; at least for a while.

Reply to
who

Well, we lived in Germany for five years and Mercedes, in Germany, are not de-tuned as they are for America. Over 100mph is not unusual on the Autobahn, although it may be slower today. I am sure that there are many Mercedes owners, in America, who do not know how to drive a Mercedes. But I never drove a Mercedes in Germany, I drove an E-Type Jaguar, so what do I know.

Reply to
Billzz

Not de-tuned here, but hopefully tuned for our driving speeds else the mileage at our much lower speeds is poor. Germany needs to put some limits on the Autobahn speeds. which are very bad for the environment and unfortunately sometimes bad for those in the very fast moving cars.

I shake my head and chuckle when I see someone here driving a car designed for twice our speeds, just tooling along here. What a waste of money and a misapplication of technology.

It's not how to drive a Mercedes, it's just that the rich who buy them here are gentle mature drivers who seldom even go on the highway and never in snow; thankfully.

Reply to
who

They lost their arse with that purchase and made nothing off of it. Bought it for 35 billion and sold it for a bit over 7 billion. Chysler has got not cash to carry them through unless they get major concessions and many industry analists agree too.

Only one side is happy here and it is not Chysler. I will be really surprized if they are still around in a few years. Not that I want them to fail but the deck is stacked against them right now.

----------------- TheSnoMan.com

Reply to
SnoMan

To compare a Chysler hemi to the quality of a Mercedes motor and drive train is very wishful thinking. The Hemi is well below it in refinement.

----------------- TheSnoMan.com

Reply to
SnoMan

And on average S-Class Mercs put in very high annual mileages because senior execs use them.

DAS

For direct replies replace nospam with schmetterling

Reply to
Dori A Schmetterling

Now that IS poppycock.

  1. Germany does not NEED to put in general speed limits. The environmental impact is not as great as some people like to think. Anyway, huge chunks of the German motorway network are already limited (to 130 km/h or less) and much of the time in certain sections traffic is too heavy to go much above the speed limit.

Furthermore, stretches of motorway have a guide max of 130 km/h. Whilst that is not a legal limit, it could have insurance payout implications when having an accident above that.

  1. Mercedes is not only for the rich. It is for everyone. Even omitting the A and B Classes, in Germany the C is a top-selling car and has been for years, as is the BMW 3. (around number 5 or better).

DAS

For direct replies replace nospam with schmetterling

Reply to
Dori A Schmetterling

100+ mph is still the norm on rural autobahn for the larger cars, the ubiquitous econoboxes kept around 120kph, and speed limits in the cities. I was there last month, rented a BMW 3-series *diesel,* what a great car that was. Had it up to 228KPH (about 140mph) at one time but usually I kept it around 160-170KPH (100mph) and still returned about 26mpg. The only cars passing me were the big Audis and Mercedes.

No diesel smell, no clattering, very smooth. When will these diesels be available in the US?

Reply to
Matt Macchiarolo

Well, you can sure say Mercedes owners don't buy for styling. Mercedes hasn't used any. If styling was important, Mercedes would have gone out of business 40 years ago.

Reply to
Joe

I'd have to disagree with that. Most Mercedes (other than the "SUV's") look great. You don't think an SL500 looks sharp? Even the little 230 Kompressor looks pretty hot.

Reply to
Dan C

So? You can get a V8 in a Chevy Impala for less than a Cadillac, or in a Crown Vic for less than a Jag.

You knoweth not of which you speak.

You knoweth not of which you speak.

Reply to
Lloyd

That is patently false. Chrysler _had_ no cash.

BS. DC was profitable before the merger and except for 1 year, it's been Chrysler dragging down the profits ever since.

Yep, those low cost Compass and Caliber interiors.

Reply to
Lloyd

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