Industry Insiders: "Chrysler Is Going Out of Business"

Earlier today, Mopar Muscle Magazine reported that industry insiders believe Chrysler is doomed.

Rumors, credible rumors, are beginning to circulate in the car industry and the automotive press, that Chrysler may not make it another year primarily due to its falling sales and growing financial losses at partner Fiat.

Chrysler sold a 62,197 cars in September, down 42% from the same month last year. The figure was down from 93,222 in August when traffic to dealers was pushed up by the ”cash for clunkers” program.

Chrysler’s problems may only be beginning and, if so, Fiat, the ”managing partner” among Chrysler’s owners may not be able to keep the American company intact.

Analysts assert that the smallest member of the big three no longer has enough market share to cover its cost base. Furthermore, Ford -- the only non-nationalized auto company -- is picking up market share at the expense of both Chrysler and GM.

Taxpayers are likely to lose most of the $81 billion that Congress and the administration sunk into the two companies, according to the Congressional Oversight Panel. Chrysler is expected to lose all $14.3 billion of the taxpayers' money...
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bfghemicuda - 10/6/2009 10:31:14 AM

+2 Boost

Read the article. Its all speculation and I would like to know who The "Industry Insider' is. There are some in that arena that like to spread news like this. Its probably to help sell more magazines.

bfghemicuda - 10/6/2009 12:27:24 PM

+3 Boost

I would like to see Chrysler do well so they can pay back All if not some of our tax dollars [with interest].

SP2Hybrid - 10/6/2009 2:17:05 PM

-1 Boost

... and if I may provide a counterpoint, I hope they capsize as soon as possible, so the Mesiah doesn't blow any more of our money on them. Americans are responding and voting with their wallets: Ford up, GM and Chrysler down. Good riddance, comrades!

Meanwhile, socialism's kiss of death is becoming more evident elsewhere as well: http://www.businessinsider.com/henry-blodget-is-cbs-really-going-bankrupt-2009-10

tango - 10/6/2009 12:58:04 PM

-1 Boost

The American tax payers have lost over $1 trillion dollars in Iraq and Afghansitan with NO end in sight. In the grand scheme of things, if the US govt turned a helping hand to one of its own companies, and a few of its own people, for a change, then $14.3 billion is a drop in the bucket. The cost of keeping a few more plates on tables, and heating in homes is priceless and that 14.3 is looking to be a bargain to me. The problem as I see it that far too many Americans are developing a crab-in-a-barrel mentality. "I will only do for me, and nobody else. And I would rather the government not help anybody than help people who don't have it so they can become like me". When since has selfishness become synonimous with capitalism? And when since has sharing with others become synonimous with communism? Not enough reading going on either.

That said though, Chrysler is in deep trouble and I beleive the solution is to remain calm, sit down, think, then act. Don't go throwing ideas at the public. Use what works. Turn Chrysler into a "what-the-people-want" company. Since Chrysler cannot compete very well in arenas that already exist, then create a niche. Go take a walk to some art schools and some engineering schools. Talk to some students. Take some on staff. Effect the changes they propose and I guarantee you will see a whole new company in a very short time.

inspirion7 - 10/6/2009 2:27:28 PM

+3 Boost

Tango, always the voice of reason. i do agree we have a knee jerk mentality with a dose of Schizoid Keith Oberman freakazoidism about anything American. Here we are in Afghanistan and no one is having a hissy about it. We just shifted the war under different management. We can't help those that live amongst us, but the same wants to free Tibet. What have we become.

morhpthanu - 10/6/2009 8:41:13 PM

+2 Boost

Thank you for speaking up starsearch, I see things the same way you do. If only I could give you a hug. lol

bfghemicuda - 10/6/2009 9:10:17 PM

+3 Boost

No WMDs found ,,,That dosent mean they dont or didn't exist. When the UN Inspectors went to Iraq to inspect for WMDs,, Sadam was the one that restricted there Inspections,, That sent a RED flag. It took 14 months to go through the UN process and in that time WMDs were moved to cerea [hope I spelled that correctly]. This was explained by one of Sadams Generals. And yes Oil was a part of it. You dont let the Sadams of the world gain that kind of control. Sadam paralleled his Leadership after Adolf Hitler. Its to bad there are the Sadams in this world that do not want peace. We have two more on deck.

achiles - 10/6/2009 9:47:58 PM

0 Boost

You guys need to read to on politics, if the bush adm, hadnt sent troops to Iraq, the taliban would not have made a base in Iraq, that trained misguided iraqi civilian into thinking the us was the enemy, Bush should have done his research before sending ppl, there. And what about the oil, Bush did send soldier's to secure Iraq's oil fields, what prevented occupation of the fields was un intervention. Ever had a family killed in that stupid war, I have, ask every soldier out there about ide's.

I'll be honest I vote for bush twice bacause I wanted justice for 911, but Iraq was the right target but not, at the right time.

achiles - 10/6/2009 9:48:44 PM

+2 Boost

Oh and chrysler need a halo car to survive.

85bmw745i - 10/6/2009 10:43:21 PM

-1 Boost

Hmm. Before bush gas was at less than a dollar a gallon. Bush gets in and it skyrockets. bush gets out of office and it goes down by 2 dollars practically overnight. think about it