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post #1 of 35 Old 04-24-2009, 06:38 AM Thread Starter
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Exclamation Is Jeep Dead?

I know it's not new, but US News.com reports one week for Chrysler to make a deal with Fiat or Chapter 11. Any thoughts?
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post #2 of 35 Old 04-24-2009, 06:43 AM
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Chapter 11 may be good for them. Chrysler is owned by a private hedge fund, the government should not be involved in bailing out hedge funds in my view.

Jeep is not dead and is most probably the most desirable marque in the Chrysler stable.
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post #3 of 35 Old 04-24-2009, 06:50 AM Thread Starter
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Jeep Dead?

I agree, Jeep is the mainstay of 4Wheel drive in the US and the oldest continunious model available, but, I'm still not going to replace my hood Jeep letters with FIAT! No way!
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post #4 of 35 Old 04-24-2009, 07:31 AM
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I agree, Jeep is the mainstay of 4Wheel drive in the US and the oldest continunious model available, but, I'm still not going to replace my hood Jeep letters with FIAT! No way!
It'll still be a Jeep, don't worry. Fiat is just a source of $$.
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post #5 of 35 Old 04-24-2009, 07:36 AM
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It'll still be a Jeep, don't worry. Fiat is just a source of $$.
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post #6 of 35 Old 04-24-2009, 07:42 AM
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Jeep will be fine and either find a new home or get worked out, your warrantly, on the other hand, likely won't be.

Obama's plan will take care of the UAW's pension, health insurance and other benefits if Chrysler is forced into bankruptcy but old warranties won't be.
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post #7 of 35 Old 04-24-2009, 07:43 AM
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I still think WE the jeep owner of america should own Jeep. Make it a co-op type deal. I could be done!

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post #8 of 35 Old 04-24-2009, 09:55 AM Thread Starter
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Interesting thought. Possible.....maybe. UAW would screw it up. Naw..., wouldn't work.
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post #9 of 35 Old 04-24-2009, 09:58 AM
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Jeep will be fine so will dodge and chrysler, The bankruptcy plan will likely happen to get the Fiat deal done. All the existing Lifetime warranties will be fine as long as Jeep does not shut down and that will not happen.


Quote:
Important Announcement to all Chrysler Customers

In these difficult economic times, it is important to have peace of mind when
making a significant purchase, like a new car or truck. At Chrysler, we are happy
to inform our customers that on Monday, March 30th, President Obama
announced a plan to provide a government backed "Warranty Commitment
Program".
In summary, the key points from the President's announcement are:
• Government backing of warranty starts with vehicles purchased on or after
March 30, 2009.
• The program will cover the participating manufacturer's warranty on every
new car sold during the company's restructuring period.
• If you buy a new Chrysler, Jeep or Dodge vehicle during this restructuring
period you will be eligible.
• You do not have to do anything to receive the U.S. commitment to your
warranty, it is automatic.
• The U.S. Treasury will back your warranty, and will commit to honoring the
warranty in the event that the manufacturer cannot.
Today Chrysler has the best quality in its 84 year history. 73% of our vehicles
have improved fuel efficiency over the past year. There has never been a better
time than today to purchase a Chrysler, Jeep or Dodge vehicle.

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post #10 of 35 Old 04-24-2009, 10:24 AM
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Jeep will be fine so will dodge and chrysler, The bankruptcy plan will likely happen to get the Fiat deal done. All the existing Lifetime warranties will be fine as long as Jeep does not shut down and that will not happen.
if bankruptcy happens, which is what the Treasury is now pushing for, existing owners' warranties will NOT be a part of the .gov backed warranty program

show me where Obama has said that existing owners will survive the bankruptcy
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post #11 of 35 Old 04-24-2009, 10:26 AM
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As I understand it, the Fiat relationship would only be 30% of overall Chrysler. Unforetunately, though, if they do file Chapter 11, it would wipe out pretty much all the equity holders - including Cerebus...
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post #12 of 35 Old 04-24-2009, 10:33 AM
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I still think WE the jeep owner of america should own Jeep. Make it a co-op type deal. I could be done!
As soon as they reorganize, buy whatever publicly traded stock is available in either the new Chrysler or whatever parent company they end up with. Then you will be one of the owners.

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post #13 of 35 Old 04-24-2009, 11:04 AM
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if bankruptcy happens, which is what the Treasury is now pushing for, existing owners' warranties will NOT be a part of the .gov backed warranty program

show me where Obama has said that existing owners will survive the bankruptcy
He didn't, this press release is to reassure possible consumers that if they buy our product they will be covered. Like I said in the other thread Jeep would have to cease to exist to cancel warranties that have already been issued and that will not happen.

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post #14 of 35 Old 04-24-2009, 11:17 AM
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He didn't, this press release is to reassure possible consumers that if they buy our product they will be covered. Like I said in the other thread Jeep would have to cease to exist to cancel warranties that have already been issued and that will not happen.

Jason
so, what's the point of the .gov warranty program if it's going to remain intact?

it specifically states in the release "during the restructuring"

that's because during restructuring liabilities, such as a warranty, do not have to be covered.

the existing warranties will be junk.... the point of the release is to tell a new buyer that theirs won't be
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post #15 of 35 Old 04-24-2009, 11:21 AM
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the unions have all US automakers by the balls, and BK is the only way to rid the unions control, and allow the company to reformulate under todays scenarios vs the industrial age scenarios. BK is no fun, but can have its positives for viable businesses.

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post #16 of 35 Old 04-24-2009, 11:26 AM
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the unions have all US automakers by the balls, and BK is the only way to rid the unions control, and allow the company to reformulate under todays scenarios vs the industrial age scenarios. BK is no fun, but can have its positives for viable businesses.
not in this case.

Treasury is forcing Chrysler into bankruptcy but is sealing up all of the benefits to the UAW so that they are protected. The UAW is exhibiting more control than ever and will forever be beholden to this administration.
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post #17 of 35 Old 04-24-2009, 12:22 PM
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so those of us that purchased prior to march 30th are screwed, love having a warranty of oh 6000 miles...
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post #18 of 35 Old 04-24-2009, 12:22 PM
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Question

Paragon, Do you really think that Chrysler is going to say FU to all the current owners of their products? I don't, and yes the press release does indicate that new owners are Gov backed so Chrysler can get consumer confidence up. Like I said the company would have to go copletely under for current warranties to be voided, chapter 11 will not void warranties. Obviousley Chrysler can discontinue future lifetime programs.

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post #19 of 35 Old 04-24-2009, 12:35 PM
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so those of us that purchased prior to march 30th are screwed, love having a warranty of oh 6000 miles...
It hasn't happened yet.
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post #20 of 35 Old 04-24-2009, 01:00 PM
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true, but it still leaves me with a very uneasy feeling the government is going to tell a private business to file bankruptcy, kind of like firing the CEO of a company.....we'll be left out
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post #21 of 35 Old 04-24-2009, 01:42 PM
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Paragon, Do you really think that Chrysler is going to say FU to all the current owners of their products?
yes

the .gov is taking over

Do you really think that's not part of the reason that Wagoner was forced out of GM?
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post #22 of 35 Old 04-24-2009, 01:45 PM
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Chapter 11 would be great for Jeep. The over paid union nazi's have forced all american autos into this situation. Chapter 11 would permit them to restructure.

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post #23 of 35 Old 04-24-2009, 01:57 PM
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Chapter 11 would be great for Jeep. The over paid union nazi's have forced all american autos into this situation. Chapter 11 would permit them to restructure.
not so.

Treasury has already cut a deal with UAW to retain much of the benefits and legacy costs.

Here's my tin foil hat explanation of this.

The bankruptcy plan was in place from the get-go for both GM and Chrysler. Obama's team came up with the warranty program as an aside to their main goal here. That goal is to restructure the car manufacturers to suit their political goals... gain control first through forced bankruptcy and pre-plan the structure of the bankruptcy on the front end. Also, they maintain the benefits of the UAW and keep them in their pocket and provide the avenue for the UAW to yield even more power on the back end.

The reason that the .gov will not honor old warranties is because it's their desire for the public to buy new for 2 reasons. One is to generate credit in the market and their version of a push on the economy. The other is to get rid of the market on "gas guzzlers" and the like. Create an environment where it's not advantageous to own your current vehicle.

I would love to be wrong, but no other explanations for the verbage being used and the actions being taken make sense.
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post #24 of 35 Old 04-24-2009, 03:22 PM
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not so.

Treasury has already cut a deal with UAW to retain much of the benefits and legacy costs.

Here's my tin foil hat explanation of this.

The bankruptcy plan was in place from the get-go for both GM and Chrysler. Obama's team came up with the warranty program as an aside to their main goal here. That goal is to restructure the car manufacturers to suit their political goals... gain control first through forced bankruptcy and pre-plan the structure of the bankruptcy on the front end. Also, they maintain the benefits of the UAW and keep them in their pocket and provide the avenue for the UAW to yield even more power on the back end.

The reason that the .gov will not honor old warranties is because it's their desire for the public to buy new for 2 reasons. One is to generate credit in the market and their version of a push on the economy. The other is to get rid of the market on "gas guzzlers" and the like. Create an environment where it's not advantageous to own your current vehicle.

I would love to be wrong, but no other explanations for the verbage being used and the actions being taken make sense.
I agree Paragon about 95%, I do not agree on current warrantee's being voided. The government is getting bigger and bigger as we speak and getting invloved with the private sector to the point of no return.

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post #25 of 35 Old 04-24-2009, 04:15 PM
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not so.

Treasury has already cut a deal with UAW to retain much of the benefits and legacy costs.

Here's my tin foil hat explanation of this.

The bankruptcy plan was in place from the get-go for both GM and Chrysler. Obama's team came up with the warranty program as an aside to their main goal here. That goal is to restructure the car manufacturers to suit their political goals... gain control first through forced bankruptcy and pre-plan the structure of the bankruptcy on the front end. Also, they maintain the benefits of the UAW and keep them in their pocket and provide the avenue for the UAW to yield even more power on the back end.

The reason that the .gov will not honor old warranties is because it's their desire for the public to buy new for 2 reasons. One is to generate credit in the market and their version of a push on the economy. The other is to get rid of the market on "gas guzzlers" and the like. Create an environment where it's not advantageous to own your current vehicle.

I would love to be wrong, but no other explanations for the verbage being used and the actions being taken make sense.
I hear what you are saying, but not in complete agreement. Bottomline, if a company took tarp funds, and they do not have a viable business plan to get themselves out of this pickle, some players need to be removed from the equation. The UAW is the biggest demise for the US auto industry. All the government did by protecting their insurance & pensions is bite off an even bigger hunk of the problem, and shift it to the tax payers-and yes, for down the road political gain. The masses are still in the "honeymoon" stage with the new leader of our country to understand the whole economic blunder that were in. I'm not saying its Obama's fault, as he inherited the problem, but, throwing good money out for bad will not solve things, just puts off the inevitable. Ford took no tarp $$, so they can go BK and come out stronger. GM & Chrysler took funds, with no plan of significant changes, as they still have their hands tied behind their back by the unions.

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Last edited by Mule'Con; 04-24-2009 at 04:36 PM.
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