Skip to: Content
Skip to: Site Navigation
Skip to: Search
THURSDAY, NOVEMBER 26, 2009
| Subscribe to Newser's RSS feeds RSS | Follow Newser on Twitter Twitter


0

Chrysler Loss Deepened After Daimler Split

Filing shows a $2.9B loss in Aug.-Sept. '07, big bonus to CEO

Share

(Newser) – Chrysler lost nearly $2.9 billion in a 2-month period last fall, after its split from Daimler, a filing by the German company shows. The filing by Daimler, which retains 19.9% of the automaker, offers a rare look at how costly the company's reorganization effort has been since it was taken private by Cerberus Capital Management in May, the Wall Street Journal reports.

Daimler also gave then-Chrysler CEO Tom LaSorda a bonus of approximately $15.7 million—an amount that could irk leaders of the United Auto Workers, which agreed to significant cuts to revive the flagging Detroit icon. Current CEO Robert Nardelli told employees in December the now-private company was "operationally" bankrupt and would lose $1.6 billion in 2007.

Chrysler LLC Vice Chairman and President Jim Press stands next to the company's logo at the automaker's headquarters in Auburn Hills, Mich. The company lost $2.9 billion in an eight-week period last year.
Chrysler LLC Vice Chairman and President Jim Press stands next to the company's logo at the automaker's headquarters in Auburn Hills, Mich. The company lost $2.9 billion in an eight-week period last year.   (Associated Press)
Chrysler Vice Chairman and President Tom LaSorda earned a 10.4 million euro bonus last year.
Chrysler Vice Chairman and President Tom LaSorda earned a 10.4 million euro bonus last year.   (Getty Images)
Unsold 2007 300 sedans sit at a Chrysler dealership in the southeast Denver suburb of Centennial, Colo., on Sunday, Feb. 3, 2008. Chrysler LLC plans to significantly reduce its product lineup and number of dealerships.
Unsold 2007 300 sedans sit at a Chrysler dealership in the southeast Denver suburb of Centennial, Colo., on Sunday, Feb. 3, 2008. Chrysler LLC plans to significantly reduce its product lineup and number...   (Associated Press)
« Prev« Prev | Next »Next » Slideshow
OFF THE GRID
11.24.09
Murdoch and Microsoft: The Mice Are Trying to Roar
11.23.09
Books Are Bad for You
0 comments
VIEWING:
 
LEAVE A
COMMENT Comment Policy
Facebook ConnectPost this comment to Facebook?

After connecting you will have the option to post your comment on your Facebook profile.

 

Related Newser Stories

122 Stories

Recession Crushes
White-Collar Michigan

Layoffs, property price plunge leaves middle-aged workers in limbo

Sep 17, 09 1:26 AM CDT
(Newser) - Tens of thousands of middle-aged white-collar workers have been left jobless and stranded in Michigan by the recession, the Wall Street Journal reports. Auto industry veterans laid off by the Big Three are finding themselves competing against against younger people for a smattering of job openings. With property prices down... More »

MORE ABOUT:
Chrysler • General Motors • Detroit • Michigan • recession • Ford • unemployment • auto industry • Big Three • white collar

 Done Deal: Fiat Buys 
 Chrysler Assets 

Administration triumphs as bankruptcy effectively ends

Jun 10, 09 10:31 AM CDT
(Newser) - Chrysler finalized its sale of assets to Fiat with a government wire transfer this morning that gave Chrysler $6.6 billion in funds to exit bankruptcy, the New York Times reports. The sale is good news for the Obama administration, which sought an “efficient” restructuring for Chrysler. It may... More »

MORE ABOUT:
Chrysler • bankruptcy • General Motors • Detroit • automaker • auto industry • Big Three • wire transfer • Fiat • Obama administration

(AP) - The Supreme Court has cleared the way for Chrysler's sale to Fiat, turning down a last-ditch bid by opponents of the deal. The court late today rejected a plea to block the sale of most of Chrysler's assets to the Italian automaker. With the court's move, the deal can now... More »

MORE ABOUT:
Chrysler • Detroit • mergers and acquisitions • auto industry • Fiat

122 Stories


Strike hits key Chrysler supplier
AFP

Chrysler owner gets a tough look
International Herald Tribune


Business 
TwitterFollow @NewserBusiness on Twitter

 
Chrysler • United Auto Workers • DaimlerChrysler • Detroit • earnings reports • Robert Nardelli • Tom LaSorda

from our news partners