REPORT: If Chrysler goes down, it could cost Daimler $1 billion
Nerves are frazzled in Stuttgart over the troubles facing Chrysler. Let's not forget that Daimler still has a skin in the Chrysler game, and while everyone natters and frets about whether or not Fiat will prove to be the Savior Of Auburn Hills, execs are also thinking about the worst-case scenario in the halls of Daimler. According to the Detroit Bureau, Bodo Uebber, Daimler's Chrysler guy, reported recently that concerned shareholders are rightfully nervous, as Daimler could be stuck with a $1 billion liability if Chrysler ist kaput. Unfunded pensions and potential claims from suppliers could result in very bad things for Daimler. Cerberus and the German automaker are also duking it out over whether Chrysler's health was honestly disclosed at the time of the deal, tying up any developments with the remaining 19.9 percent of Chrysler that Daimler still owns. Both Uebber and Dieter Zetsche, Daimler's CEO, are actively trying to unload the company's stake in Chrysler to Cerberus, but predictably, that conversation isn't going anywhere at the moment.[Source: The Detroit Bureau | Image: Bill Pugliano/Getty]REPORT: If Chrysler goes down, it could cost Daimler $1 billion originally appeared on Autoblog on Fri, 10 Apr 2009 11:29:00 EST. .
Luxury automobile sales have been hit especially hard during the global economic disaster, and Daimler and BMW may become much closer allies as a result. German magazine Der Spiegel published a report stating that the two luxury giants are working to combine their purchasing power to save hundreds of millions of dollars. But the really interesting cooperation will reportedly happen in the form of a stock swap. Under the alleged agreement, each company would give the other a 7% stake in the other. The move would strengthen the German automaker's new bond and perhaps lead to further cash-saving collaboration down the road. The magazine reports that the Quandt family, who own 46% of BMW, isn't keen on the idea due to Daimler's 1998 takeover of Chrysler. But the German government has allegedly been contacted to gauge the possibility of overriding any opposition to the deal. Talk of a BMW/Daimler tie up have been circulating for years, but the rumor tree has yet to bear any fruit. Due to the shabby state of the global automotive market, that could change quickly.[Source: Automotive News - Sub. Req.]BMW and Daimler consider swapping shares in cross-ownership plan originally appeared on Autoblog on Mon, 09 Mar 2009 10:02:00 EST. .
It's been rumored for some time and the newest comments from BMW CEO Norbert Reithofer is further proof that the propeller people are looking to get in bed with other automakers to cut the high costs of engine development and production.This isn't a first for BMW, which partnered with PSA/Peugeot-Citroen on the engine for the current crop of MINI models, but this newest endeavor could involve one of Bimmer's biggest rivals, Daimler. Mercedes is in need of small, four-cylinder gasoline and diesel engines for its next line of A- and B-class vehicles, and the MINI's mill could be a good fit. The talks aren't exclusive with BMW, however, as Daimler is also sitting down with unnamed Japanese manufacturers to provide petrol and diesel powerplants.[Source: Automotive News - sub. req'd]On again, off again: BMW and Daimler may enter engine partnership originally appeared on Autoblog on Tue, 27 Nov 2007 16:29:00 EST. .
Daimler is apparently getting tired of sourcing its turbochargers from outside companies, so it's enacting a three- to five-year plan than will make it one of the top three producers of our favorite power-adder.The automaker currently gets about 50-percent of its turbos from IHI Charging Systems International in Japan, which produces about seven-percent of snails worldwide. Just Mercedes-Benz diesel models account for over 500,000 turbos used each year, and Daimler is right in thinking that demand for blown engines will continue to grow as consumers look for more fuel-efficient models that create similar power to their naturally aspirated counterparts.The goal is to produce 600,000 units per year - up from 500,000 in 2006 - in a joint effort with a company based in Italy. The move will solidify Daimler as a leader both in manufacturing and technology that should pay dividends as more consumers look to turbocharged offerings in both North America and Asia.Follow the jump for a breakdown of the largest turbo producers and their worldwide market share.[Source: Automotive News - Sub. Req.]
Daimler and Dar, the Kuwait-based investment firm that holds a 50-percent stake in Aston Martin, are reportedly in talks to explore investment opportunities between the two automakers. The folks from Mercedes-Benz' parent company paid a visit to Dar on Tuesday, and the Aston Martin contingent is expected to spend some quality time with its investment firm in the next few weeks, as well.While the term "investment opportunities" is a far cry from joint vehicle development, we'll leave the pontification about what the outcome of these talks will be up to you in the comments below. However, we'll start the rampant speculation with Aston Martin's engineers working on the chassis development of Mercedes' new SLC supercar.[Source: Market Watch via eGMCarTech]Aston Martin and Mercedes, sittin' in a tree... originally appeared on Autoblog on Fri, 07 Dec 2007 15:21:00 EST. .