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Chrysler to file for bankruptcy

Cold Highway

Dispenser of Negativity
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Just got it via a CNN alert text message, when I get an article Ill post it. This should've happened long before but of course Obama wanted to see if he could be the savior of Chrysler. Guess I wont be getting that Jeep Liberty.
 
Just got it via a CNN alert text message, when I get an article Ill post it. This should've happened long before but of course Obama wanted to see if he could be the savior of Chrysler. Guess I wont be getting that Jeep Liberty.

They have been talking about it on CNBC. It was the bond holders that would not agree. The union agreed to a deal where they would own 55% of Chrysler.
 
Obama will be announcing this.


WTF is he doing announcing the bankruptcy of a private company.


They all should be allowed to go bankrupt. A stronger, better us Auto industry will rise from the ashes of this over unionized crap fest.
 
They've been prolonging the inevitable. The biggest hurdle in all of this was the UAW.

They will not survive, even after restructuring. US automakers cannot compete against non union foreign labor.
 
They've been prolonging the inevitable. The biggest hurdle in all of this was the UAW.

They will not survive, even after restructuring. US automakers cannot compete against non union foreign labor.

Actually it was the bond holders that not come to an agreement.
 
So what you all are saying is that it is all the unions fault that these 2 car makers are failing?
 
So what you all are saying is that it is all the unions fault that these 2 car makers are failing?
I dont believe anyone said that it was ALL the unions' fault.
But then, if you didnt have straw men to beat down, you'd have no reason to post.
 
Actually it was the bond holders that not come to an agreement.

The bond holders were the secondary story. Fiat has been holding out because the UAW wasn't making enough consessions.

The chief executive of Fiat, Sergio Marchionne, put pressure on trade unions at Chrysler on April 15, saying that the venture plan had only one chance in two of succeeding because progress had not been made in negotiations to cut pay.

IndustryWeek : Fiat Ready with 'Plan B' if Chrysler Deal Fails

I've said it time & time again, you cannot pay someone $75.00 an hour to screw 4 lug nuts on a wheel, and compete against foreign labor that is being paid $75.00 a week to do the same job.

This is the second time in less than 30 years we're bailing Chrysler out.
 
So what you all are saying is that it is all the unions fault that these 2 car makers are failing?

No, the US automakers share equally in the blame. While Toyota has a waiting list to sell their hybrid Prius, Cadillac is touting it's hybrid Escalade.

Epic Fail.
 
I dont believe anyone said that it was ALL the unions' fault.
But then, if you didnt have straw men to beat down, you'd have no reason to post.

Sorry but so far here we have had:

The biggest hurdle in all of this was the UAW.

They will not survive, even after restructuring. US automakers cannot compete against non union foreign labor.

And
They all should be allowed to go bankrupt. A stronger, better us Auto industry will rise from the ashes of this over unionized crap fest.

While others have corrected this and said it is due to the bond holders, then there is no mention of why the car companies are in this state other than the usual blaming of the unions.

Considering that the truth is more complicated to say the least, and in that truth the unions are hardly to blame for all or even a majority of the problems of the 2 car companies. That is of course not saying that they are without blame. The main reasons GM and Chrysler are in the pickle they are in, are pure and simple.. crap product and woeful strategy for decades and poor leadership. Out of this poor leadership came the union contracts that the right seem to blame for everything.

It is sad to see Chrysler go down, and will be even more sad to see GM, the pilar of the American industrial machine and the American dream go belly up, but lets face it.. it is all their own doing and blaming a 3rd party is a pathetic excuse.
 
Sorry but so far here we have had:



And


While others have corrected this and said it is due to the bond holders, then there is no mention of why the car companies are in this state other than the usual blaming of the unions.

Considering that the truth is more complicated to say the least, and in that truth the unions are hardly to blame for all or even a majority of the problems of the 2 car companies. That is of course not saying that they are without blame. The main reasons GM and Chrysler are in the pickle they are in, are pure and simple.. crap product and woeful strategy for decades and poor leadership. Out of this poor leadership came the union contracts that the right seem to blame for everything.

It is sad to see Chrysler go down, and will be even more sad to see GM, the pilar of the American industrial machine and the American dream go belly up, but lets face it.. it is all their own doing and blaming a 3rd party is a pathetic excuse.




Putting emotions in business decisions is never advised.
 
Hmmm. So has our bailout handout we gave them just evaporated into thin air? Did it help one iota?
 
Hmmm. So has our bailout handout we gave them just evaporated into thin air? Did it help one iota?
I, too, wonder how much of that loan will need to be paid back.
 
Hmmm. So has our bailout handout we gave them just evaporated into thin air? Did it help one iota?

Yea, it kept them afloat long enough for the UAW to grab 55% control of Chrysler. Another handout is on the horizon to keep them treading water until they can screw the bond holders, paying them pennies on the dollar.

Think of the US automakers as the current version of the now extinct US TV manufacturers.
 
Sorry but so far here we have had...
...no one saying that it was ALL the unions' fault, as per your statement.
The quotes in your post prove this. Thank you.

Considering that the truth is more complicated to say the least, and in that truth the unions are hardly to blame for all or even a majority of the problems of the 2 car companies.
What level of blame do you place on the unions, and why?
 
Sorry but so far here we have had:



And


While others have corrected this and said it is due to the bond holders, then there is no mention of why the car companies are in this state other than the usual blaming of the unions.

Considering that the truth is more complicated to say the least, and in that truth the unions are hardly to blame for all or even a majority of the problems of the 2 car companies. That is of course not saying that they are without blame. The main reasons GM and Chrysler are in the pickle they are in, are pure and simple.. crap product and woeful strategy for decades and poor leadership. Out of this poor leadership came the union contracts that the right seem to blame for everything.

It is sad to see Chrysler go down, and will be even more sad to see GM, the pilar of the American industrial machine and the American dream go belly up, but lets face it.. it is all their own doing and blaming a 3rd party is a pathetic excuse.

(How many "centrists" do we have who reliably spew the left-wing view of things? Why can't you people just say what you are? What do you have to hide?)

When the car company which sells the most cars in the world -- GM -- can't compete with the other companies because their labor contract obligations are so much higher, where does that blame go?

Yes, GM was also a poor market adapter. But despite that, it still sells more cars than anyone. And the fact of the matter is, their labor costs are much, much higher than the competition. If they were comparable, they'd be profitable.

That's simple math.

Labor unions, like any other big organization, CAN be greedy, they CAN have too much power, and they CAN be to blame for a company's failure.

To turn your own "reasoning" around on you, are you saying that they never can? If not, why couldn't it be in play here?
 
Some blame the unions. Some blame Bush. Some blame Obama.

I blame Chrysler itself. Why? Because, while other automakers were designing for the future, Chrysler continued to assume that the buying public still wanted big cars that could pass everything but a gas station.

Chrysler deserved what happened to them. A company that cannot keep up in the marketplace, and is unwilling to change with the times, deserves to go under.
 
Some blame the unions. Some blame Bush. Some blame Obama.

I blame Chrysler itself. Why? Because, while other automakers were designing for the future, Chrysler continued to assume that the buying public still wanted big cars that could pass everything but a gas station.

Chrysler deserved what happened to them. A company that cannot keep up in the marketplace, and is unwilling to change with the times, deserves to go under.

There was a retired engineer from Chrysler who basically said the same thing on NPR this morning. He said the PT Cruiser was over weight and had a crappy engine with low mileage.
 
And the taxpayer is forking over $8billion for the bankruptcy. That is more than the $6.9billion the government and creditors were haggling over. BO and Congress are completely useless.
 
Here's the article for those interested. Color me shocked and surprised.

How are you shocked or surprised about this? This has been pretty much a sure thing ever since the government loaned them all that money with the restructuring obligations.

It should be noted that this is I believe Chapter 11 Bankruptcy Protection and not Chapter 7. I discussed this here a week ago.

"It should be noted here that while Chrysler is pretty much for sure going to file Chapter 11, some are starting to predict that it will still ultimately end up filing Chapter 7, which would put a lot of people out of their jobs and be a large contributor to the second wave of the crisis that is about to commence in a few months."
 
There was a retired engineer from Chrysler who basically said the same thing on NPR this morning. He said the PT Cruiser was over weight and had a crappy engine with low mileage.

The PT cruiser is a complete piece of crap.

Low millage over heating problems in a lot of them, cramped engine space, etc.

A common thread I've seen in American named (most American manufactures aren't making in America anymore) is a very tight engine space that you can barely work in.

My 4 banger Japanese car has plenty of space to work on the engine in.
 
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A common thread I've seen in American named (most American manufactures aren't making in America anymore) is a very tight engine space that you can barely work in.

My 4 banger Japanese car has plenty of space to work on the engine in.

I highly doubt that has any barring on the sales performance of a car. If you purchased an Audi, BMW, Lexus, or Aston Martin you wouldn't have any workable space under the hood either.

Pretty much any new car you can't do much to anyway unless you have the computer hookups to perform the chip upgrades and service updates.
 
Finally. Let them all fail. I don't want my tax dollars being spent to help companies will failing policies. I'd rather the US have no domestic based auto companies then government backed failing companies.
 
Finally. Let them all fail. I don't want my tax dollars being spent to help companies will failing policies. I'd rather the US have no domestic based auto companies then government backed failing companies.

It isn't failing.
 
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