AUTO MOTIVES; AREA CHRYSLER, MERCEDES FANS BACK MARRIAGE.Byline: Enrique Rivero and Jesse Hiestand Daily News Staff Writers Dealers, salespeople and enthusiasts in the car-buying capital of the world said Wednesday that a marriage between Mercedes-Benz and Chrysler is likely to prove a blissful union. Long known for its prolific production, Chrysler can bring its mass-marketing know-how to the pairing, they say. Meanwhile, Mercedes-Benz can bring its highly vaunted vaunt v. vaunt·ed, vaunt·ing, vaunts v.tr. To speak boastfully of; brag about. v.intr. To speak boastfully; brag. See Synonyms at boast1. n. 1. engineering skill and reputation to the altar. ``Merge those things together and what negative could come out of that?'' said John Woodward John Woodward may refer to:
German industrial giant Daimler-Benz AG, which owns the Mercedes-Benz nameplate, is expected to announce today that it will acquire Chrysler Corp. in a $36 billion deal that would be the largest industrial takeover in history as well as the biggest acquisition of a U.S. company by a foreign buyer. Industry analysts said the merger will allow Mercedes to build vehicles cheaper at Chrysler facilities that aren't at capacity. Mercedes will also benefit from cheaper labor since German auto workers are among the most well-paid in the world. For Chrysler, the merger opens new markets, especially for its best-selling minivans. Although the deal was struck for a variety of behind-the-scenes reasons, car enthusiasts and dealers spent Wednesday talking about the front-of-the-showroom effects such a merger could have. For example: Will Chryslers start appearing on Mercedes lots, or will Benzes pop up at Chrysler dealerships? ``Absolutely not,'' said Mercedes dealer John Stiegler Sr., owner of Auto Stiegler Inc. in Encino. But the union could bring Chrysler drivers - and thus, new customers - through his door. So the deal makes business sense from his perspective. ``Let's open our horizons, let's let them see the reason for buying a Mercedes-Benz,'' Stiegler said. Mercedes-Benz's reputation for top-notch engineering is sure to rub off to clean anything by rubbing; to separate by friction; as, to rub off rust s>. See also: Rub on Chrysler, much to the latter's benefit, said David Ellis, owner of David Ellis Chrysler-Plymouth Inc. in Canoga Park. ``It's a win for Chrysler in that respect, because Mercedes is perceived to be a high-quality product - not that Chrysler isn't high quality,'' he said. Both companies can learn from each other and the teamwork can result in a better product overall, added Mark Toczynski, Ellis' general sales manager sales manager n → gerente m/f de ventas sales manager n → directeur commercial sales manager sale n → . ``I think it sounds like a great opportunity,'' he said. Despite misgivings about the merger, some Chrysler loyalists say it may be in the best interest of both companies to pool their strengths in the international market. ``It looks like a pretty good fit because they don't market the same types of vehicles,'' said Paul Rose Paul Rose may refer to the following people:
Valley, southern California, U.S. Northwest of central Los Angeles, the valley is bounded by the San Gabriel, Santa Susana, and Santa Monica mountains and the Simi Hills. . ``Mercedes really has no low-priced cars and Chrysler has virtually abandoned the luxury car market. I think it's being done with an obvious eye to the future for survival.'' CHRYSLER`S ROAD TO ACQUISITION Chrysler Corp., the U.S.'s third-largest automaker, is in talks to be acquired by Germany's Daimler-Benz AG in a transaction valued at more than $30 billion, possibly the largest industrial takeover yet. A look at some important events for Chrysler: 1925 -- Chrysler founded by Walter Chrysler Walter Percy Chrysler (April 2, 1875 – August 18, 1940) was a German American automobile pioneer.[1] He was born in Wamego, Kansas and grew up in Ellis, Kansas. He also lived in Oelwein, Iowa, where there is a small park dedicated to him. , a former General Motors Corp. executive. 1978 -- Lee Iacocca Lido Anthony "Lee" Iacocca (born October 15, 1924) is an American industrialist most commonly known for his revival of the Chrysler brand in the 1980s when he was the CEO. Among the most widely recognized businessmen in the world, he was a passionate advocate of U.S. is named president of Chrysler to help turn the troubled automaker around, after being fired by Henry Ford II as president of Ford Motor Co. in July. 1979 -- Iacocca becomes chairman. 1983 -- Chrysler pays back federally guaranteed loans of $1.5 billion seven years early. It becomes first automaker to introduce minivans. 1985 -- Chrysler buys Gulfstream Aerospace Gulfstream Aerospace Corporation is a producer of several models of private jet aircraft. Gulfstream Aerospace Corporation has been a unit of General Dynamics since 2001. Gulfstream's main facility is located in Savannah, Georgia, United States. Corp. and FinanceAmerican. 1987 -- Chrysler buys American Motors American Motors Corporation (AMC) was an American automobile company formed on January 14 1954 by the merger of the Nash-Kelvinator Corporation and the Hudson Motor Car Company. At the time, it was the largest corporate merger in U.S. history, valued at US$198 million ($1. Corp., acquiring the Jeep brand name and product line. 1990 -- Chrysler posts fourth-quarter loss of $664 million. 1991 -- Chrysler sells stakes in Gulfstream, Diamond-Star, FinanceAmerica and E.F. Hutton Credit Corp. as it again struggles with losses. 1992 -- Chrysler announces loss of $795 million. Iacocca leaves. 1993 -- Robert Eaton, president of General Motors Co. Europe, becomes chairman, chief executive and president. 1995 -- Chrysler reports record profit of $3.71 billion, or $10.11 a share. 1995 -- Tracinda Corp., controlled by billionaire investor Kirk Kerkorian Kerkor "Kirk" Kerkorian (Armenian: Քըրք Քըրքորյան) (born June 6, 1917) is an American billionaire, and president/CEO of Tracinda Corporation, his private holding , says it intends to acquire the remaining 90 percent of Chrysler shares it doesn't own for $20.51 billion, or $55 a share. Iacocca is part of the group that will make the bid. 1996 -- Chrysler and Kerkorian settle after the automaker agrees to put one of his allies on its board and increase its stock buyback Stock buyback A corporation's purchase of its own outstanding stock, usually in order to raise the company's earnings per share. stock buyback See buyback. program to bolster share price. 1997 -- Chrysler unveils its new Dodge Durango The Dodge Durango is an SUV from Chrysler's Dodge brand. It debuted in the 1998 model year and was redesigned for 2004. It fills the gap in the Dodge lineup since the cancellation of the Dodge Ramcharger in 1993. sport utility vehicle. 1998 -- Chrysler and Daimler-Benz AG (founded in 1926, one year after Chrysler Corp.) confirm they are planning a marriage that could create the world's fifth-largest automaker. BIG PAYOFF FOR KERKORIAN Las Vegas billionaire Kirk Kerkorian got even wealthier Wednesday as his company's stake in Chrysler Corp. grew by $658 million. His closely held A phrase used to describe the ownership, management, and operation of a corporation by a small group of people. In a closely held corporation, the same people often act as shareholders, directors, and officers, and no outside investors exist. investment company, Tracinda Corp., owns 13.74 percent of Chrysler stock, making Kerkorian the automaker's single largest investor. So when Chrysler jumped 7 3/8 to 48 13/16 on news of the possible merger with the maker of Mercedes-Benz luxury cars, Kerkorian was the single largest beneficiary. --- Bloomberg News THE AUTOMAKERS AT A GLANCE The planned merger between Daimler-Benz and Chrysler is valued at more than $35 billion. The two would form a joint company. DAIMLER-BENZ Employees worldwide: 300,068 Total revenues in billion $: 79.0 Vehicles sold, units worldwide: 1,132,439 CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. : Juergen Schrempp Headquarters: Stuttgart, Germany CHRYSLER Employees worldwide: 122,000 Total revenues in billion $: 61.1 Vehicles sold, units worldwide: 2,864,329 CEO: Robert J. Eaton Headquarters: Auburn Hills, Michigan Auburn Hills is a city in Oakland County in the U.S. state of Michigan. The population was 19,837 at the 2000 census. The city was formed in 1983 from the now defunct Pontiac Township. Auburn Hills is home to the world headquarters of Chrysler, the Walter P. , USA CAPTION(S): 6 Photos, Box PHOTO (1) Walter Chrysler (2--Color) Lee Iacocca (3--Color) Robert Eaton (4--Color) Kirk Kerkorian (5) BENZ (6) DAIMLER BOX: CHRYSLER`S ROAD TO ACQUISITION (see text) Knight-Ridder Graphics Network |
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