Marchionne Might Merge Chrysler and Lancia
January 20, 2010
The littlest things could reflect the biggest changes. Detroit saw a Lancia Delta with a Chrysler badge. Who knew that it was a sign that Fiat is looking into merging the two badges together.
Fiat CEO Sergio Marchionne announced that it is likely that Chrysler and Lancia will be merging by the year’s end.
“We could see the two converge as early as the end of the year,” said Marchionne.
The move actually makes a lot of sense. Fiat is currently nursing several brands including all of Chrysler’s with many producing similarly positioned vehicles. Lancia is currently one of Fiat’s weaker brands and a merger can probably help offset the stigmas that plague each of the brands.
Besides, didn’t Top Gear consider Lancia the best car maker in history? That should help boost Chrysler’s cred, right?
Chrysler, UAW Deal Paves Way for Fiat Partnership
May 28, 2009
Chrysler LLC and the United Auto Workers managed to get a deal worked out, after long-winded talks that threatened to jeopardize Chrysler’s pending alliance with Italian company Fiat SpA.
“We recognize this has been a long ordeal for active and retired auto workers and a time of great uncertainty,” said Ron Gettelfinger, president of the UAW. “The patience, resolve and determination of UAW members in these difficult times is extraordinary and has made it possible for us to reach the agreement we will present to our membership.”
Chrysler likewise had good words for the UAW, citing the labor union’s “endless determination and perseverance,” according to Al Iacobelli, the chief bargainer and VP of employee relations for Chrysler. Translation: That took long enough. But now, Chrysler can breathe a little sigh of relief.
Chrysler needed to secure the concessions agreement with the UAW by Thursday if the Fiat deal was to push through, which would give the company an additional $6 billion in federal loans.
Source: Detroit News
8 Chrysler US Plants to Close by 2010
May 5, 2009
Chrysler has filed for bankruptcy, so all those viability and drastic cost-cutting measures will start to kick in pretty fast. Bankruptcy documents filed in a New York court revealed that the cash-strapped automaker will be closing down eight US plants by 2010.
These are the plants scheduled for closure: the Sterling Heights Assembly Plant in Michigan, Detroit Axle in Michigan, Conner Avenue in Michigan, St. Louis in Missouri, Kenosha in Wisconsin, Twinsburg in Ohio, and two plants that are already inactive in Delaware and St. Louis.
The source is only a preliminary draft for the bankruptcy documents, a petition prepared by the executive director of one of the groups advising Chrysler. The document further contained plans that there will be a split of the Chrysler group in two. The first is the “OldCo” to take care of the 8 plants and some other liabilities, and then there’s a “NewCo” that will be left over after restructuring.
Interestingly, the Conner Avenue plant in Michigan is the one making the Dodge Viper. Chrysler is currently trying to sell the rights to the car.
Source: Motor Authority
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