Thursday, February 15, 2007

DCX May Partner On Chrysler

Daimler Weighs Chrysler OptionsPartner Might Be Sought
Or Unit Sold as Job Cuts,Plant Closing Are Set
By STEPHEN POWER, DENNIS K. BERMAN and GINA CHON
Staff Reporters of THE WALL STREET JOURNAL,February 15, 2007; Page A3

DaimlerChrysler AG's acknowledgment yesterday that it may have to find a partner or spin off its ailing Chrysler arm underscores the depth of the crisis facing Detroit's auto makers -- but also could present an opportunity for a rival seeking a greater presence in North America.

The German-American auto titan, which reported a 40% drop in fourth-quarter net income as a result of a €124 million ($161.7 million) operating loss at its Chrysler arm, outlined a sweeping restructuring plan that includes cutting 13,000 jobs in the U.S. and Canada, closing one auto-assembly plant, additional production cuts and the elimination of some slow-selling models from its product line...continued