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GM/Chrysler merger in the works???

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That would have been some crazy thought a while ago. But apparently, the 2 companies have been talking for a month.

Not sure what 2 huge brands in trouble could accomplish.
And if that doesn’t work, Chrysler is rumored to also be talking to Renault/Nissan.

For more on this, read the New York Times article by clicking on the title…

Conversation 17 comments

  1. mmmm………..what is the point? Two companies with emphasis on big cars, truck and SUV’s. Lots of debt, declining market share and slow on the uptake with new small fuel efficient cars. Strange, GM would have been much better served keeping strong ties with Fiat.

  2. This sounds like an absolute nightmare scenario. Two floundering giants combining forces. It didn’t work with Benz and Chrysler. GM is so cash strapped they may have to sell their offices at RenCen. They are burning the furniture to heat the house. But bad ideas are what GM seems attracted to most. My advice for GM, steer clear of anything owned by a private equity chop shop run by an incompetent greedmonger named Bob Nardelli who was fired as ceo of Home Depot after yearly stock declines and still managed to walk away with $210 million of the company’s money as severance.

  3. I think not. GM would be more looking to close US plants and rely more on the overseas manufacturing. Chrysler has nothing to benefit GM. Cerberus may be begging for someone to take Chrysler off thier hands in this market. Unless this econmy shows some turn around for the good Ford or Chrysler are doomed unless an Indian or Chinese co wants thier world market intro.
    THE GOOD, fuel costs are comming down so people will buy SUVs and larger profit vehicles again.

  4. It’s too bad that some car maker like Citroen-Peugeot or VW can’t buy up Chrysler. This sounds incredibly stupid on GM’s part if it goes throgh.

  5. G.M. and Chrysler together would control more than 35 percent of the United States vehicle market, hmm they did this all by themselves at one point or another ! i see no point in a merger at all, cerberus just needs to kick back and wait for chrysler to get on a roll again to make any money on it. actually im quite sure cerberus is kicking themselves in the ass right now for ever buying chrysler ! the only thing cerberus can gain for this is owning a large stock of 2 companies instead of one and hope to sell it at a huge profit in a few years. Gm makes alot of very bad business decsions so im sure this merger will probably happen !
    Hey GM Cerberus wants to use you and screw you over ya gonna let it happen ??????

  6. I’m hoping that Renault-Nissan will adopt Chrysler (Chrysler-Dodge-Jeep) as their child (aquire them).
    Though that’s a bit too many brands:
    Dacia, Renault, Nissan, Infiniti then add Chrysler-Dodge-Jeep. So if this does happen, keep one or two of them and sell the other one(s). Jeep is quite valuable, so they could either sell it off and get some ca$h, or keep it and sell whichever brand fits in the least with their portfolio (aka competes with a brand they already have). On one hand you have Jeep vs. Nissan, and on the other you have Dodge/Chrsler vs. Nissan/Renault.

  7. Ford should be happy about this, two of their closest competitors will combine to create the most catastrophic collapse in automotive history.

    What dumb and dumber don’t realize is that tastes for American cars have changed, few people “lust” for models made by GM or Chrysler. People don’t want lackluster, poor quality American products. Their loyalties are to brands like Toyota and Honda because of proven reliability and low cost of ownership in the long term. I am sorry but GM and Chrysler have both had their chance for decades to prove they can build more efficient and reliable vehicles. What did they do? They built trucks and put out monstrosities like the Chevy Mailbu Maxx and the Saturn Ion! I have little sympathy for them, their imminent bankrupcies could have been prevented if their management didn’t have their heads in the sand for almost a quarter century. Guess what finger I am holding up GM?

  8. Chrysler is hardly a competitor..They are the most primitive car maker and might compete well with Buick.

    I doubt Chrysler will even sell 100,000 cars this month.

  10. GM’s Market Cap is $3B and they want to buy Chrysler?

    This sounds like a taxpayer bailout thing happening…A way for the private equity company to get a taxpayer’s teat.

  11. The best thing about their failure…The UAW monkeys will have to get jobs where they can’t gang-up and threaten their employers.

  14. I don’t know why GM just doesn’t delist from the USA and go somewhere else where they are not murdered by government laws and taxes and their murdering UAW maggots. The American is too stupid and childish to live free so GM needs to leave if they want to survive.

  15. GM does really well everywhere but the USA…Maybe they should move to Dubai where there is no voting so the little voting parasites can’t steal from them.

  16. This is a very interesting scenario. There would be very little upside to this happening, except that Cerebus gets out of the car business. There are too many reasons why this shouldn’t happen. The above blogger about SUVs coming back…uh…it’s not going to happen anytime soon. The oil prices are a hiccup currently. Gallons will be back to $4.00 eventually. The race is on for the electric hybrid/plug-ins that use as little gasoline as possible. So called hybrids that only get 4-6 added MPG will not cut it. CAFE says that we need to have 35 MPG, and SUVs can’t do that. Please note that GM is one of the 30 stocks that make up the Dow. If GM goes south, then buy cases of Spam…you’ll need them.The thing to remember here is that US jobs need to stay in the US, in order for the US economy to stabilize. The US domestic car companies need to give consumers worldwide great products which they will spend their money on, and have excellent value. There’s not enough current models to do just that, so that’s why the Japanese and Korean car companies are killing the US companies.Here’s some food for thought:https://en.wikipedia.org/wiki/Automotive_industry

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