Yes and my german friends tell me Daimler stock is up 35%, however
don't *ask* what it was before this debacle.
That and Daimler according the WSJ actually will pay out 500M euros
as a net loss by the time the paperwork
is signed due to the 7.5B going directly into Chrysler operations,
financing and debit. So although 7.5B exchanges hands there
lurked folks looking for 8B of money first before Daimler sees a penny.
Still Cerberus gets 18B or something of health-care/pension debt.
Wonder how they will shed that....
I wonder if the 19.9 % ownership is to keep a handle on the old
mercedes technology that has crept into various
Chrysler products over the last couple of years.
On May 14, 2007, at 12:59 PM, [EMAIL PROTECTED] wrote:
Subject: Re: [MB] Chrysler "Sold"
DCAG just announced that it will sell Chrysler to an investment firm,
Cerberus, for $7.5 billion. The deal is complicated, as DCAG (to be
renamed Daimler
AG--whatever happened to Benz?) will keep a 19.9-percent interest
and loan
money back to Chrysler Holdings, a subsidiary of Cerberus. This
isn't the deal
that the unions wanted, but they didn't get their employee ownership
dealtogether fast enough.
The net of the deal seems to be that nobody gets much significant
money, but
Cerberus will end up being able to ditch some of Chrysler's money-
losing
operations, and Daimler can go its merry way building Mercedes-
Benzes again.
