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and it's a real stretch to say it's an ad homimem. I attacked the quality of your message, not you personally. Maybe you are sensitive? ;) |
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Let me spell it out for you: If the Chinese cannot make safe children's toys, there is no way that anybody in this country would buy a car from them--even if it was called a "Dodge". |
If I ran Cerebus..I would be looking at that chinese deal. since it is an independent company, why would the US gov have any say? Dealers too? they are franchisee's, not owners. The real thing to realize is that at the end of the day, Cerebus is there to make $$ for their investers... and doing a deal like this really is a sound buisness decision imho.
I suspect that they got a more favorable deal than GM. I still beleive that their longterm ownership is doubtfull and that they are surely shopping it around, now more than ever since they just unloaded the UAW job banks and retirements back on the UAW. |
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keep digging but bring a ladder, that hole is gonna get deep real soon!:D |
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As for dealers, they don't have direct say. But as I said above, they can vote with their feet. I believe they will. Now is not the time to bring new Chinese products to market. Dealers aren't stupid, and they will bail. Keep in mind that no matter how much money the automakers themselves lose, the dealerships are always profitable. If they were not, they would switch makes far more frequently than they do. |
well for one, they already have chinese product at alot of us dealers...
also, since it would not be a merger, rather a sale, no much can really be said. I stand by my prediction. |
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Cerberus could give a rat's ass about public opinion. Various regulators and especially Congress (as I said before) would be the ones to block any deal because of public opinion. If regulators are smart, they would understand that Congress is going to override them. I'm not sure that they are that smart, but there is a chance. Who stopped the port deal? Regulators--right after Congress started making threats. SmileWavy |
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That is sooooooome world you live in. When Daimler bought/merged with Chrysler, it was a publicly traded company. You do know there's a difference between public and private companies and resulting regulatory controls, right? Also, do you REALLY think the public is going to all up in arms about this? Before or after they pick up their Salad Spinners at Walmart? and you think that Congress is going to step in on Cerberus' deal, on behalf of an OUTRAGED public? WOW!:eek::eek::eek::eek::eek::rolleyes: http://forums.pelicanparts.com/uploa...1192109951.jpg |
Pretty sure Cerebus just increased their value by offloading the job banks and UAW retirement.
The chinese can start with a small portion of chrysler with an intent to increase ownership over a period of time. Surely if porsche can do that with VW and circumvent the german laws in place to protect the company - the chinese can do the same. BTW - they said the same things about the Koreans. and before that the Japanese... They won't sell that crap here - "those that don't learn from history are doomed to repeat it..." |
Shaun, you are showing your cluelessness with every post. Regulators have to approve takeovers/buyouts. It's been that way since the first anti-trust law was passed a hundred years ago when Teddy Roosevelt was president. The goal of regulatory approval is to prevent monopolies/collusive oligopolies from forming. Regulators have been asleep at the wheel the past two decades, but some things do get their attention. One of them (sometimes) is the public screaming. Another thing that always does is Congress screaming.
And yes, the public, "after they pick up their Salad Spinners at Walmart", will notice that the "dern Chinese" are buying Dodge (it was mentioned during a NASCAR race) and be outraged by it. So will the soccer moms, after taking their kids back from the doctor for treating lead poisoning. |
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http://forums.pelicanparts.com/uploa...1192111029.jpg |
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as for the walmart buying, nascar lovin' fans being outraged? they may say they are, but they will buy em'...just like the do at walmart; because they are cheapo . if they were as loyal to USA goods, they would never shop walmart anyway...I don't. |
Poor Shaun.
I suggest you read some headlines on mergers. The three-letter acronyms mentioned refer to regulatory agencies. For example, the Sprint-Nextel merger required FCC approval and FTC approval. |
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CEREBUS OWNS CHRYSLER... THERE ARE NO CHINESE CAR COMPANIES IN THE USA THERFORE ANTI TRUST LAWS WOULD NOT APPLY |
A few points/questions.
A pet peeve - people it is Cerberus. Pronounced 'Sir-burr-us'. How much gov't approval was required for Lianxiang to buy IBM's PC division? After the deal, did the computers still say "IBM" on them? How about a brand new one? Does it still say IBM on it? Where are they produced, today versus say, five or so years ago? How much production remains in the US? Of the production in the US, can you name the number one reason that remaining amount is still produced here? Every question above is relevant to any speculation on selling pieces of Chysler to China. I think some of you are misinterpreting how such a deal would take shape. (I also don't think a mass exodus of Chrysler dealers to Ford/GM would work - they're weak enough as it is). If you don't know the answers to these questions...well...it will be difficult to make a compelling argument here. |
my bad
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