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Old 03-28-2012, 03:33 PM   #1
steve_biegler
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Default Could Chrysler buy Ally?

http://www.autonews.com/apps/pbcs.dl...maker-for-ally

Interesting thought. Maybe Sergio could get a low interest loan from the U.S.
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Old 03-28-2012, 04:03 PM   #2
XDCX
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Very interesting....

In my opinion every major OEM should own their own captive - the profits from the finance side of the business help stabilize the parent company during the tough times and allows the OEM to support certain vehicles that need extra incentives to compete in the market.

Concerning Ally, call me a skeptic, but I don't think the Treasury (The taxpayers own 74% of Ally) cares what the Chrysler dealers want. My bet is this is a pre-scripted play and Ally will be "sold" to GM at a subvented price so GM can accelerate their buy-out and allow the Federal Government to get out of the car business.
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Old 03-29-2012, 10:40 AM   #3
XDCX
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Default Marchionne once commented he doesn't believe OEMs should own captives

It would take some digging for me to find the quote, but I remember shortly after the CF to GMAC transition Marchionne made the comment that he was happy with GMAC and didn't believe OEMs should own their own captive.

His logic was OEMs with captives were too likely to rely on revenues/profits from the finance side of the business and that clouded their vision as it related to building great cars that customers wanted to buy.

Frankly, I didn't believe that was his true belief when he made the comment and I doubt he feels that way today. I think he was just trying to put a positive spin on Chrysler's relationship with GMAC.
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Old 03-29-2012, 01:23 PM   #4
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Quote:
Originally Posted by XDCX View Post
Frankly, I didn't believe that was his true belief when he made the comment and I doubt he feels that way today. I think he was just trying to put a positive spin on Chrysler's relationship with GMAC.
A factory executive Lie? NEVER
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Old 04-02-2012, 04:11 PM   #5
XDCX
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Quote:
Originally Posted by steve_biegler View Post
A factory executive Lie? NEVER
It wouldn't be the first time and it certainly won't be the last time a CEO lied to the public.

That said, as I recall I cut Marchionne some slack when he made that comment and compared it to a husband who knew he was going to divorce his wife but couldn't do it for two years - no sense in fueling the fire two years early.

I think the Chrysler dealers need and deserve a captive that is tied to their OEM, but I don't think Ally's going to be the answer.
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Old 04-02-2012, 05:39 PM   #6
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Originally Posted by XDCX View Post
That said, as I recall I cut Marchionne some slack when he made that comment and compared it to a husband who knew he was going to divorce his wife but couldn't do it for two years - no sense in fueling the fire two years early.
Here's the post I made back in December of 2010:

Quote:
Originally Posted by XDCX View Post
In my opinion there's no question that Chrysler needs their own captive if they're ever going to be a major player again. That said, it's largely a moot point since the Task Force gave GMAC/Ally exclusivity to Chrysler for three or four years.

Marchionne has said before that Chrysler doesn't need a captive and he doesn't think OEMs should rely on financing for profits. Frankly, I take everything Marchionne says with a HUGE grain of salt. My bet is he'd shoot Ally in the head if he thought he could make an extra buck.

To his credit, I can't fault Marchionne for his outward support of GMAC/Ally. There's no benefit to revealing his future plans for a captive finance company. It would be like a telling someone you're going to divorce your wife in three years - it might make for a rocky relationship.
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