The announcement of the sale of Chrystler is no suprise. But they said it was purchased for 36 billion 9 years ago and sold for a little over 7 billion?? How is that possible..? Am I missing something. That is a huge loss...
I don't know why mercedes got into bed with that trash in the first place. You lay down with the dogs and you wake up with transmission problems...
Charles
I keep seeing crystal meth...
as for losses and such.. I am confused where you got that...
I don't see how they could have gotten that big of a loss....
DiamlerChrysler still has 19.9% of Chrysler. But, all of the $7 billion went to support the operations of Chrysler. In addition, Diamler Chrysler put some its own money in to support the company. And made a $400 million loan to Chrysler. All in all, instead of have $7 billion going into DiamlerChrysler's coffers, there was a total of $758 million or so going into Chrysler's coffers from Diamler Chrysler's coffers. It was like DiamlerChrysler was paying the private equity firm $768 million or so to take Chrysler off their hands (including something like $13 billion in pension and health care libability).
Jeff
try to BUY AMERICAN then sell it after 3 years - you will incur a similar loss ( percentage wise) hehehe
"tom418" ...
WOw.. and I felt bad about my Lebaron..
The Germans must have been on Crystal meth when then did the deal 9 years ago..
They had 9 years to set things right. Apparently they are not as smart as they thought they were.
Ed
When I first met my wife, she had a LeBaron GTS as a company car. It seemed like a nice car until we got married. The driver's inner door panel fell off, the carpeted Masonite on the side of the center console fell off, and the car started idling at about 2500 RPM so she had to ride the brakes whenever she wanted to go less than 30 MPH. Of course the brake rotors warped so they had to be changed. She took it to a Chrysler dealer, who couldn't figure out why it idled so fast, I took it to 2 Chrysler/Toyota dealers in my district who couldn't figure it out, then I just fixed it myself. I made an idle speed control valve taker outer by removing the porcelain from an old spark plug and cutting the sleeve.
After she was done with that car, she was able to get a car allowance form her company and we used it for an employee lease car for her.
Mergers usually fail, unless the companies are either 100% alike (Like Mobil and Exxon)or 100% different.
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