GM-Chrysler merger, a denouement next

Nothing goes to the 'Big Three' American automotive and problems they have begun well before the current crisis that has shaken the financial economy planet a whole.

It does not need more to see appear many hypotheses concerning associations, TARGETED agreements or mergers between these last. Certainly, there are approaches between GM and Ford, but they are unsuccessful. However, it is the negotiations between GM and Chrysler, which attracted the attention of analysts and especially the journalistic world fauna.

Hooked atoms

Well yes, there are at least two missing links between the two companies yet so different. On the one hand, the bottom Cerberus owner has height 80.1% of the assets of Chrysler, also owns 51% stake in the company GMAC Financial, a very lucrative business and there is no doubt that this background is more than interested in take total control of GMAC. For its part, the General Motors-if it were to merge with Chrysler, it could have liquidity which totaled $ 11 billion.

Carlos is not very far away, on the contrary

Carlos Ghosn, the master has to think of the Renault-Nissan group recently concluded agreements with all Chrysler plan to jointly produce complementary products each brand. Thus, Nissan will produce for Chrysler cars in compact, under the base of the model versa, while Chrysler will develop a truck that will claw Nissan. Ghosn dreamed for a very long time to conclude such agreements with at least one American manufacturer, and no question for him to put an end to this approach as desiree. Recall that Chrysler product in recent months has its Windsor, Griffee Volkswagen Routan minivan.

A denouement next

It is said in some quarters that a deal could be concluded by November 4, election day for our neighbors to the south.

Many job losses

Although such a merger would be perceived as a consolidation between two entities on the decline. Unfortunately, we can not ignore the duplication of assembly lines, competitive products and concessions that would cause. And it will go quickly degreasing mode by closing factories, to end the production of dozens of models and redraw the list of thousands of franchises, including rating Chrysler.

So, go in two weeks to see if such a merger between GM and Chrysler is feasible, if not a must-what do you think to save the North American auto industry from bankruptcy ...