Does Chrysler need a Captive Finance Company?

[XDCX]

Does Chrysler need a Captive Finance Company?


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Sergio Marchionne has allocated six hours of media time on November 4th to review his five year plan for Chrysler.

While the presentation is certain to feature his plans to integrate Fiat's technology with Chrysler's design, a question that will likely remain unanswered is if he has plans to create his own Captive Finance Company?

For reasons that are still unclear to many, the President's Task Force stipulated that Chrysler Finance would no longer provide flooring and retail support for the Chrysler dealers. GMAC entered into an exclusive deal to service the Chrysler dealers for a period of four years.

Does Chrysler need their own Captive Finance Company, or will the GMAC be the better long term solution?

Please take our poll and share your opinion.

[CL Pgh]

Absolutely yes. However... I think we'll see Fiat's on the floor well ahead of this.

[Granch]

6 hours...sheesh!!


who's bringin the coffee?:D

[XDCX]

Absolutely yes. However... I think we'll see Fiat's on the floor well ahead of this.

Great point. The fact that GMAC has a "semi-exclusive" deal for the next three and a half years will make it hard for Marchionne to start his own captive.

Given what Chrysler's been through in the past year it's hard to look three years ahead.