GM to buy Chrysler?

[cosworth151]

This is no joke. Maybe it should be.

General Motors is in early talks with Cerberus Capital Management LP's Chrysler LLC about a merger or partnership, five people with direct knowledge of the discussions said.

It's not clear an accord will be reached, said the people, who asked not to be identified because the matter is private. While Cerberus also is meeting with automakers including  Renault SA, the GM talks are the most serious, one person said.

GM spokesman Tony Cervone, Cerberus spokesman Peter Duda and Renault spokeswoman Nathalie Bourotte declined to comment.

Most of us here in the States have been waiting for the other shoe to drop since Cerberus bought Chrysler from Mercedes. Cerberus is an acquisitions firm with little or no interest in building cars.

I think I've heard of this kind of merger before. Maybe they could name the combined firm "American Leyland."

[TheStig]

Great report,cosworth.

Chrysler took over the old Roots group which gave us the Sunbeam Rapier,The Humber Hawk just to name a few.They went on to build Kit Cars to be exported to Iran,Which was the death nell for Humber as Company.

Peugeot took over but they have now gone from producing cars here.

They(Chrysler) always have a finger in the pie in the motoring world,from what i have seen it always leads to disaster.
TheStig

[cosworth151]

The Roots deal was part of Chrysler's attempt to match Ford and GM in Europe. The other half of Chrysler Europe was Simca. The whole thing collapsed in the 70's and was sold to Puegeot in 1978.

The Chrysler takeover of Roots also meat the end of the Sunbeam Tiger. After all, it wouldn't do to have a Chrysler product featuring a Ford engine!

Chrysler was never quite sure how to market there European cars internationally. The differing attitudes about the cars can be seen in the names put on them in different markets. What was called the Avenger in the UK was called the Cricket over here!