Magna hires Wolfgang Bernhard; fuels talks of a Chrysler sale
From the article: “Magna International Inc., a Canadian auto supplier that previously expressed an interest in buying Chrysler, has hired Wolfgang Bernhard — the former chief operating officer of Chrysler and a veteran automotive executive — as a consultant, the Free Press confirmed Tuesday.
Bernhard also worked with Cerberus Capital Management in its bid to acquire majority control of Chrysler from then DaimlerChrysler AG in 2007.
The news of Bernhard’s hiring came on the same day that Reuters news service, citing anonymous sources, reported that Chrysler is in talks with both Magna and Nissan-Renault to sell “key assets” to both companies.
Late Tuesday, Chrysler, its majority owner, Cerberus, and Magna declined to comment on the report.”
Magna’s hire fuels talk of a Chrysler sale - freep.com
January 14th, 2009 at 6:25 am
Well, Magna should’ve bought Chrysler in the first place. At least they wouldn’t have stripped and flipped it like Cerberus is allegedly preparing to do. I just hope there’s some resemblance of the company left to keep my family employed at their dealerships.
January 14th, 2009 at 9:02 am
All this flipping and stripping is doing one major thing! KILLING CAR SALES.
Cerberus needs to sit back and develope the product and stop trying for the fast buck.
January 14th, 2009 at 9:30 am
“Cerberus needs to sit back and develope the product and stop trying for the fast buck.”
Exactly what do you think private equity companies do? Usually they prop up the P/L with deep cuts and reductions. Make the company look as good as possible and then sell off the assets in what ever manner generates the greatest profit. The bad economy has put a bump in the road but that is the normal course. Magna would have been the best option to begin with but Daimler has been plundering Chyslers since day one with there less than 1% majority. Thanks BOB Eaton
January 14th, 2009 at 10:42 am
Go Magna Go! Private equity is the worst thing that ever happened to American industry. Short-term thinking and an anything for a buck mentality never produced long term success.
January 14th, 2009 at 3:12 pm
“All this flipping and stripping is doing one major thing! KILLING CAR SALES.”
Uh, what flipping and stripping? If anything CHRYSLER (under Cerberus) has been working as best they can improving what they have until new products are ready. New interiors either here or on the way, rationalizing option package choices to streamline production efficiency, continuing to work on new product and drivetrains… Seems to me there is a lot more evidence of their working for Chrysler’s success than for “stripping and flipping.”
January 15th, 2009 at 10:52 am
Have you ever looked at a Consumer Reports they only like three maybe four domestic vechiles. The fact that one person opinion can carry that much weight is so wrong. I don’t like the plastic grainy interior on the Sebring/Avenger. Which auto maker doesn’t use a grain plastic interior?
January 16th, 2009 at 7:08 pm
Wolfgang was better than Dieter and when he was at DaimlerChrysler our quality was vastly improved.
Many said they would improve quality–remember Dieter said we would top Toyota by 2007–but few delivered.
Wolfgang delivered.
My favorite Wolfgangism—”We are not going to take chit from chitty suppliers. If they build chit they won’t be paid chit.”