Chrysler looking to shed assets, too
TEXT OF STORY
Bob Moon: It’s not just Citigroup that’s selling off what it can. Chrysler may be trying to get rid of some assets. The company is said to be in talks with Renault-Nissan. From the European Desk, Stephen Beard reports.
Stephen Beard: Renault-Nissan denies that it’s talking with Chrysler. But there’s no denying the Detroit automaker is under pressure to sell off assets. The company has been required to restructure after a $4 billion bailout loan from the U.S. government. Reuters reports that Chrysler is now trying to sell, among other things, its Jeep division.
David Bailey is an auto industry expert at the Birmingham Business School:
David Bailey: We’re going to see a major restructuring in the world auto industry over the next few years, really. Bigger companies will survive. They may well gobble up the assets of some weaker companies.
Chrysler has talked asset sales with Renault-Nissan in the past. The U.S. automaker is also reported to be trying to sell an assembly plant in Illinois, to Canadian auto supplier Magna.
In London, this is Stephen Beard for Marketplace.
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