For DaimlerChrysler, the future looks like Rover's past
Article Abstract:
Daimler-Benz AG's $38 billion merger with Chrysler Corp. reflects Bayerische Motoren Werke AG's 1994 acquisition of Rover Group of the UK. The merger of Daimler-Benz with Chrysler would combine a luxury auto maker with a mass market producer. Like BMW and Rover, Chrysler and Daimler-Benz have no overlapping operations. However, looking at the BMW and Rover deal, Rover still has to turn a net profit despite its strong sales in Germany. According to European automotive analyst with Salomon Smith Barney, John Lawson, if Daimler can also boost Chrysler's sales in Europe like what BMW did with Rover, then the deal has a future.
Comment:
Will merge with Daimler-Benz in a $38 billion deal
Publication Name: Wall Street Journal. Europe
Subject: Business, international
ISSN: 0921-9986
Year: 1998
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Road worthy: after a long skid, Mercedes regains much of its prestige
Article Abstract:
Daimler-Benz AG intends to acquire Chrysler Corp. for $38 billion. The move comes after Daimler's recovery from dropping sales. In 1993, Toyota Motor Corp.'s Lexus reaped greater sales than the German luxury car in North America, and Bayerische Motoren Werke AG, Daimler's German competitor, overshadowed it in total volume. Daimler saw a rebound, however, after introducing sporty new models, taking on a pragmatic attitude and reducing prices. Mercedes-Benz of North America recently reported that vehicle sales in June 1998 increased 82% from the previous year to 15,134 units, with six-month sales rising by 68%.
Comment:
Intends to acquire Chrysler Corp for $38 bil
Publication Name: Wall Street Journal. Europe
Subject: Business, international
ISSN: 0921-9986
Year: 1998
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German union plans to give up a DaimlerChrysler seat to UAW
Article Abstract:
Daimler-Benz AG's senior union member Bernhard Wurl, said that IG Metall union which sits on the firm's supervisory board, is willing to give one of three seats to a United Auto Workers (UAW) representative. Wurl, who also sits on Daimler's supervisory board aside from the German metal-workers union, said the decision is part of Daimler's $38 billion merger with Chrysler Corp. He guaranteed the move to be legally possible and implied that the issue is as much a priority for the German union as for the US-based UAW.
Comment:
IG Metall union is willing to give one of three supervisory board seats to a United Auto Workers representative
Publication Name: Wall Street Journal. Europe
Subject: Business, international
ISSN: 0921-9986
Year: 1998
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Comment about this article or add new information about this topic:
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