As Chrysler strives to put together its reorganization plans to
satisfy the requirements for its federal loan, the automaker may be in
talks to sell assets to Nissan-Renault or auto parts supplier Magna to possible as part of a restructuring plan.
Previously, Renault-Nissan had been in talks with Chrysler
relating to a potential merger, but those talks had failed. Similar
discussions with General Motors had also failed to produce a feasible
solution to their financial woes.
The current discussions between Chrysler and Nissan-Renault have
reportedly gained ample momentum, with a possible sale of the iconic Jeep
brand in the works. Sources have indicated that Renault-Nissan is
looking into whether such a sale would jeopardize the company’s access
to federal funding.
Although no official comments to any sale of Chrysler assets have
been made, Chrysler Chief Executive Bob Nardelli has repeatedly said
that a sale of the automaker is not currently in the works, which Used Cars Hays
and politicians alike have questioned. Meanwhile Nissan-Renault
executives have implied that spending considerable cash in the current
unstable market is simply unlikely. In addition to selling off entire
brands, one of Chrysler’s goals may be to sell off parts and tooling
assets relating to specific Chrysler models.
With billions of federal dollars at stake, Chrysler is searching for
any option that would enable the automaker to streamline its operations
and boost sales, while used truck St Louis
dealers patiently wait and hope for quick results. This year, Chrysler
sales have dropped 30 percent, with further drops likely.
A relationship between Chrysler and Nissan is not new. In April the
two automakers had entered an alliance, with Nissan building a small
car for Chrysler, and Chrysler helping build a full-size truck for
Nissan. Another possible relationship with parts supplier Magna, which
made a bid for Chrysler when it was sold by Daimler AG, could be in the
works. With decreased interest of the PT Cruiser at Lubbock used cars
dealers and at many other dealers, Chrysler may also be hoping to sell
the PT Cruiser brand and tooling to a Chinese automaker for sale in
China.
Joe Kent is a writer for TK Carsites, an automotive website design and marketing firm in Orange, CA, that specializes in working with car dealers nationwide.
