Chrysler bankruptcy, what it means to our trucks

[Sugarfoot]

All of our truck's existence is in peril. To most of us our 2nd parent, Chrysler, (I believe more of us were built by AMC than by Chrysler) is in dire straits. Bankruptcy may be emanate. A very bad situation.

 

Our trucks are in a restoration status mainly. To all I suggest you get a FACTORY manual, get some good tools, learn your truck and how to work on it. It's not hard. Maintain it, take better care of it. Just playing with it will not cut it. If so your killing it slowly and more than likely sooner than it should be. Granted all things have a RPM failure life cycle. Most of the motors are almost bullet proof but that does not mean the whole truck is.

 

Realize that Chrysler/Jeep will soon not be with us, I personally feel they will be bankrupt by next summer. What will happen? Parts will be very available and some bargains will be had in original MOPAR parts made available via inventory stock sell offs from dealers and company warehouses. Grab these parts while you can! Chrysler/Jeep will go the same way AMC Jeep did. True AMC old stock packaged parts are almost impossible to find. Chrysler parts will be the same way in about 3-5 years. Third party manufactures will stick around a little longer but will slowly die off and prices will go up due to high demand, less manufactured.

 

When Chrysler/Jeep goes away our trucks will go to a lesser value for a period of time. Than they will start coming back up in value again. In another 5 years they will be worth twice or more what they are worth now. Today, many in good shape, sell for what they cost new. We have always been to a certain extent a collectible vehicle due to the very low production numbers we have. The collectors are going to start looking at us more now. NO ONE SHOULD BE SELLING THEIR TRUCK CHEAP NOW. I know times are getting tough and some will need the money but if you sell it I promise you will regret it. I know this for truth as I would love to have my first car at 16 years of age, a 1963 2 door Chevy Impala with the 327 and Powerglide trans, they made a lot more of those than they made of our trucks and today one would pay around 10k for 1 in rough running condition. If restored they are worth 18-20,000. I recall selling mine for 500.00 in 1975. Today true factory GM parts go for some serious money. If your a restorer 3rd party parts will not cut it. Matching numbers is huge.

 

If you truly love your Comanche truck start using preventive maintenance before things break. Seriously start thinking in restoration mode. 5 years from now parts are going to start being an even bigger problem and the price for restoration is going to double/triple. Our endless food chain of Cherokees will disappear from the wrecking yards quicker, stripped of parts to cover the loss of dealer sources. Yard prices for used Chrysler vehicle parts will go up 30-50%. Then they will be gone. It's hard enough to find a Comanche in a yard now, soon in time it's going to be hard to find a Cherokee too. But again for a period of time there will be a surplus of them headed to the yards as those owners will opt out of the escalated price for repair parts from Chrysler who no longer exist and will just go ahead and wreck it out. The insurance companies are going to be much more apt to total them out, due to the fact the parent company no longer exists. This is real true for any Chrysler car built in the last 5 years. Large fleet buyers are already not considering Chrysler products due to a high chance there will be no warranty assistance and replacement part availability.

 

Start thinking now about how to save your truck. Make an investment that will come back to you. Start throwing good factory body parts up in the attic. Cover and protect that good second bed you have outside in the rain.

 

James and "Sugarfoot"

Red 88 Comanche Pioneer 4.0 4x4

[BLHTAZ]

While I understand where you are coming from and what you feel...I don't believe for a minute that things are that bad for Chrylser. I think Ford and/or GM will be in this trouble long before Chrysler. Even if they do file bankruptcy, it will be a re-organization and they will not be gone by any means :cheers: . Do what you feel is right, but try not to worry so much...it'll be OK :thumbsup:

[gogetemturbo]

My bet would be, even if they do go in to BK, that someone (some company) would pick up that name - Jeep. It's to valuable to let die. It's a niche market that no other company really has a strong hold on. Some have a small hold (Toyota w/ FJ Cruiser, GM w/ Hummer H2/3) and I would bet that it would be one of those that would snag it.

 

Not to mention the aftermarket replacement parts companies that have wrapped their entire huge business around Jeep parts like Crown and Omix-ada that will continue to make decent parts for Jeeps. Look at the CJ. It's been gone for over 20 years now, can't get any parts from the dealer for it at all, yet you can build one completely from scratch out of brand new quality parts.

 

Now don't get me wrong, if Chrysler does go into BK, things will change, prices may go up, some parts may get harder to find but I don't think it will be the end of the Jeep world.

[Kenosha Warrior]

Jeep is the cursed company.

 

Misbehaving Foster Child per-se.

 

How many companies have played the Parent Role over the last 50 years?

 

IMHO, Jeep will become the first domestic company owned by an overseas company.

 

Anyone want a Jeep made by Honda?

[gogetemturbo]

That wouldn't surprise me one bit. Come to think of it, you might be on to something with Honda. I was thinking that it would be Toyota, but Honda could snap it up to compete against Toyota's FJ.

 

The funny thing is, the Misbehaving Foster Child analogy is good, buuuuut the Foster Child has outlasted most of those companies that have parented it...

 

Time will tell.

[BLHTAZ]

Actually...Nissan, Renault & Hyundai have all officially expressed interest in Chrysler as a whole, so they would be the more likely scenario if it came to that, but I really don't believe it will.

[jtdesigns]

Well you all know Id rather see Honda have the corp

[Sugarfoot]

Today George said and I quote from Yahoo home page.

 

"I am concerned about the viability of the automobile companies," he told reporters on the South Lawn. "I am concerned about those who work for the automobile companies and their families. And likewise, I am concerned about taxpayer money being provided to these companies that may not survive."

 

Hyundai has more money and is in a much better position to buy out Chrysler. But I doubt they have an interest in the Jeep "niche" market and would more than likely let it go. They would be out for the manufacturing facilities and assets more than anything. The cars themselves can go away. I mean if your in the car business why would you want to buy a generally loser line? We all know Jeep screwed up when they dropped the XJ as we know it. Liberty, Commander? totally missed the niche target they were after.

[gogetemturbo]

BLHTAZ - didn't know that, interesting.

 

Sugarfoot - You have a good point. It's really hard to say what will happen.

 

It just sux that Chrysler got away from DC (who hurt the "niche" that Jeep had) just to have more issues. It seems right now, anything goes for every company out there , automotive or not. And all we can do is wait and see.

[mvusse]

IMHO, Jeep will become the first domestic company owned by an overseas company.

 

It already has been. Jeep is owned by Chrysler, and Chrysler in turn has been owned by Daimler-Benz, while they owned Jeep.

 

Daimler-Benz is German and therefore overseas.

[thejum57]

When I bought my 76 J-10 in 2000, parts were difficult to find. You had to be relentles, and resorsefull. In the past years some members of the IFSJA have been re-manufacturing some parts, comming up with new part sorces. What I'm trying to say is, oue Jeep comunity will most likely pull thrugh. Just my $.0.02.

[Kenosha Warrior]

IMHO, Jeep will become the first domestic company owned by an overseas company.

 

It already has been. Jeep is owned by Chrysler, and Chrysler in turn has been owned by Daimler-Benz, while they owned Jeep.

 

Daimler-Benz is German and therefore overseas.

 

I sit corrected!

 

I just want another MJ, 2010 model :)

[papastork]

seems to me that chrysler asked for a bail out about 25 years ago..... is history repeating itself? as for jeep dying off.......wasn't it originaly a "willys"? i used to have a '52 cj3 and it didn't say 'jeep' anywhere on it.....

anyways, i personally don't think that jeep is going to go to far away, if it goes at all.

[BLHTAZ]

seems to me that chrysler asked for a bail out about 25 years ago..... is history repeating itself?.

Yep... We need another Lee Iacocca :thumbsup:

[pingpong]

OK .. I don't know how many of you have been following the hearings on CSPAN. I have. Ford says they have enough Cash to make it till March. Chrysler is owned by a Private Equity firm that has 20 billion reserves (CEO didnt know how that money was made up) GM or more specificly Wagner Said Gm only has enough cash to make it the rest of the month. I won't go into what will happen to the big 3 if one of them file bankruptcy, or if one of them fail. I will say that all this talk about them going bankrupt has changed my wife and I choice for our next car.

 

 

Also lets keep in mind that this economic downturn is hitting every industy. I work in the Paper Making Industry ( I make the paper that makes boxes), and currently the company I work for has Shut down either temporarily (defined restart time) or indefinately shut down(don't think will be restarted) 7 facilities across The United States. I am currently lucky to still be working... lets see what happens in another year.

[GirsMJ86]

GM is the one that is in the worst position out of the big three. They even reported that for this bailout plan, where all three CEOs of all three companies are asking for money, that they are asking for the most both straight off and down the road. Ford seems to be sitting much better off, being able to last till next summer atleast, but GM is the closest to needing for file.

 

But I see no need to worry, this economic upset is effecting every aspect of business. Toyota just laid off a bunch of jobs nationwide yet you don't hear much about that because as a whole they are sitting pretty when placed next to the American auto companies. But right now anything linked to American industry right now is hurting. If they refuse to bail out the big three the economy will only get worse from all the jobs that would be lost if they went under, but don't count on it. There are some other options they have, if not able to clean things up as fast as a bailout, that will keep them going till the market picks back up across the board.

 

Just my honest insight on this matter.

 

Alex

[papastork]

yeppers: lee would do the trick. look how he helped ford when it was struggling in the early sixties: helped come up with the mustang... and mustang is still going strong. then when he joined chrysler: another turn around... even paid off the loan early (i can remember people complaining about the early payoff, saying that the government wasn't getting a fair return on the loan they gave chrysler) I say: lets vote lee iacocca for president.

[papastork]

on a side noter here, i work in a gold mine running big toys made by CAT. we cannot get new equipment with out waiting at least 2 years. the new mine going in next to us, has had their haul trucks ordered for over 2 years and they aren't going to be delivered until next summer at the earliest. tires are the same way: when we buy loader tires (new: around 50k$, black market: 100k$) we have to be put on a waiting list. they simply cannot make tires fast enough for the demand. what has this to do with this subject? plenty I think, as I don't think that every industry is facing this recession in the same manner. and then: if it is, are we next in line to ask the government for a bail out? I say: the government won't bail me out, so why are they bailing out the rest of the world???????????

[BPB]

yeppers: lee would do the trick. look how he helped ford when it was struggling in the early sixties: helped come up with the mustang... and mustang is still going strong. then when he joined chrysler: another turn around... even paid off the loan early (i can remember people complaining about the early payoff, saying that the government wasn't getting a fair return on the loan they gave chrysler) I say: lets vote lee iacocca for president.

 

Haha :agree:

 

I think that the bailout will do nothing. Capitalism is like evolution, survival of the fittest. That is how it needs to be. There is no benefit for the nation to have the tax payers to give a multi-billion dollar check to a company with a failing business plan. They will be back again for more money. I wouldn't have a problem with bonds or a structured loan stipulating on a massive reorganization. I just hate to see everything becoming socialized. Car companies come and go. Yes, one of the big three going down will cause many people find themselves out of a job. This is inevitable, even if they all pull through many jobs have to go. It is simply stupid for companies to be tooled and staffed to produce 10+ times then the actual demand. Look at the banking bailout, the odds for the average American getting a mortgage are slim to none.

The answer is not to print funny money to give big business. It is not to get banks loaning money. Both of these are short term fixes that will hurt us in the long run. Americans need to focus on "owning" their assests. For our dollar to gain in strenght and our economy to become stable We need to stop financing our lives and live with in our means. Just my thoughts. Not that it would ever happen, but in a perfect world........

[1990 Pioneer 4x4]

 

I just want another MJ, 2010 model :)

 

 

I've been out shopping for a new DD and the sales people at different Jeep dealerships, are talking about a truck hitting the showroom fllors "sometime soon". Some are saying in the next year.

[BPB]

It is a new JK based scrambler. If they last that long lol

[HOrnbrod]

yeppers: lee would do the trick. look how he helped ford when it was struggling in the early sixties: helped come up with the mustang... and mustang is still going strong. then when he joined chrysler: another turn around... even paid off the loan early (i can remember people complaining about the early payoff, saying that the government wasn't getting a fair return on the loan they gave chrysler) I say: lets vote lee iacocca for president.

 

Man, he would sure get my vote, even though he's 84 now. :eek: One of my all-time American heros. He was also responsible for Mopar's acquisition of AMC in 1987, and might have saved the JeeP division from possible extinction.

[ocean]

Chaptler 11 isn't the end. Its a restructuring. Chrysler is in desperate need of this as they do not have the clear focus needed to hold the reigns of Jeep to begin with.

 

Jeep is an icon and the parts as we have seen are fairly interchangeable. The Jeep crowd has always been independant and resourceful. Its not a game ender for us, no way.

 

There really is nothing out there like Jeep... Personally I would be happy if Ford would take it back.

 

But I know many would never agree.

 

:cheers:

[pingpong]

What Multipurposemj said is 100% correct. The big 3 in particular have held onto the notion that every needs a new car every yr :nuts: GM especially has relied way to much on SUV and Truck sales to keep thier company afloat. Also lets face it.. GM has way too many cars and trucks that look alike except for the trim badging. I don't think Chrysler needs the money.. I think the PRIVATE EQUITY FIRMthat owns them just wants their money back. Especially considering they have 20 billion in assets. I think Ford has approached this right. They are basically saying.. we have money.. but if the econemy doesnt trun around.. we are going to need some.

 

 

Just a point.... Honda has plants in the South were they pay workers 18 bucks an hour. The big 3 have plants in the North.. pay workers 28 bucks an hour. According to Gettlefinger (UAW President) labor only makes up 10% of a cars price... so that means it takes 1500 to build my truck.. where it takes 4500 to build the 1 ton model.... that doesnt make sense.. when the only difference is the motor :nuts:

[GirsMJ86]

What Multipurposemj said is 100% correct. The big 3 in particular have held onto the notion that every needs a new car every yr :nuts: GM especially has relied way to much on SUV and Truck sales to keep their company afloat. Also lets face it.. GM has way too many cars and trucks that look alike except for the trim badging.

 

:agree:

That is all. :D

 

Alex