Quote:
Originally Posted by Frosty
Oh ok, I thought maybe the place you heard about them only getting half of Chrysler maybe mentioned the status of GMAC.
I still don't know how GM will benefit, then again I'm far from a financial expert...but if one company is losing $$ how could taking over another company that is losing $$ be beneficial?
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GM gets Jeep and Minivans on top of a HQ and some 11 billion dollars in cash. Dealers can be eliminated by lack of sales (as is happening now) as well as sell off the excess plants that have zero to do with GM or GM programs sold off to Foreign automakers such as Renault/Nissan, Fiat (make some of that 2.2 billion back) and even VW.
GM also gets a 10% increase in market share in the US, as well as 2 other companies to enter Europe and China with. Dodge and Chrysler have made small inroads in Europe. Chrysler vehicles would eventually be moved over to GM platforms, there for lessening excess capacity in current GM factories.