Chrysler’s Robert “Fed Cheddar” Nardelli knows his automaker needs $5B, but what about that other once-lucrative side business turned new economy shakedown, Chrysler Financial? Having copped $1.5B back in January, ChryFi’s been slamming record incentives ever since, and now the buzz is wearing off. Which has Nardelli sounding decidedly thuggish. “We have gone back to Treasury and said ‘we need to re-up that amount,’” he tells Bloomberg. “We saw the evidence of how that works.” For real, dawg? What about the fact that sales are down 50 percent since ChryFi took its last tasty hit of government cheese? Fuhgeddaboutit. See, if you look at Chrysler’s retail sales and compare them to declines in the broader market while getting high off your own supply, things don’t look so bad for the Pentastar Posse. Reportedly. The irony is that if Nardelli really was hustling hard drugs on the street corner, well, he’d be selling something.
Generally speaking customers do not want to buy their cars. We are moving from a business model to a Soviet era state run corporate model.
Too bad our elected representatives have the power to take our wealth and give it to failed businesses. if Cry-co were worth saving, the private company that owns them would pump cash in of their own. The fact they won’t tells all we need to know.
Generally speaking customers do not want to buy their cars. We are moving from a business model to a Soviet era state run corporate model.
If this were a Soviet model, the government would actually be exercising some control. Currently, they’re doing no such thing: they’re just writing cheques to avoid having to make a decision one way or the other. It’s governance by least effort. Pathetic.
Since when did “The Great Experiment” become utter, complete cowardice?
Otherwise, yes, you’re entirely right about Chrysler being too far gone precisely because Cerberus won’t sink a dime to save them.
Bob’s clearly hooked on that government crack, he can’t get enough. As long as he’s got a steady supply he’s never going to get clean. Chrysler and GM both need to figure out what it’s going to take to stay going —WITHIN REASON—, they need to go bare bones and drop some weight, and they need to be given one last toke before being dropped into the bankruptcy rehab program.
Great picture! You guys (RF?) have a real talent for that.
Nothing like OPM (Other People’s Money) to get you hooked.
I’m just waiting for Barksdale Bros and Prop Joe from the east side to roll by in their 300 rollin’ 22s.
Unlike Chryslerbus they are profitable and have product that is in demand.
Nardelli calls for more money to finance loans
March 18th, 2009
by Bill Cawthon
Chrysler CEO Bob Nardelli is asking the government to supply more funding to Chrysler Financial so it can fund more consumer loans.
While standards have loosened somewhat from the fourth quarter of 2008, many consumers with average credit are having trouble getting new vehicle loans financed or are being required to come up with cash down payments of five to fifteen percent of the new vehicle price, a hardship in the current economy.
Nardelli does not want to see a return to the too-lax standards that were a major contributor to the credit crisis, but says the current conditions are making it more difficult than necessary for automakers to sell new vehicles.
http://www.allpar.com/news/index.php/2009/03/nardelli-calls-for-more-money-to-finance-loans/