Amazingly, Chrysler is paying off its bailout. This is a good thing and to be fair Chrysler is only refinancing debt to pay off the Government. Let’s look back to 2009 and at the height of the recession two of the big three where in trouble. GM was given to the UAW in a nice little payoff to the unions for his election. To be fair to the White House I will say the deal was 17.5% of GM Stocks for the health benefits of union retirees and an option to buy 2.5% more. These shares do not have voting rights though. Chrysler was sold to Fiat on the condition that the car company bring a high mileage 500 to the American market. The 500 is rated at about 30/38 average and is a small car with a $16,000 price tag. But what the President did not expect was what would happen next.
Chrysler did come back from the brink with Fiat as a partner but the 500 is just now getting to the American market and it will be introduced in “boutique” dealers. The real story of the resurrection of this once great American car company is a great American vehicle. The Sport Utility Vehicle. What brought Chrysler back from the brink was a stylishly designed Jeep Grand Cherokee and the return of the updated Dodge Durango. My guess is that Obama is having a huge hissy fit having to take back the Government funds from Chrysler-Fiat early and on the back of two gas guzzling SUV’s. Now isn’t that appropriate.
Here is the most ironic twist. Fiat is so enamored with the success of the Dodge SUV rebuilt they are going to brand a few SUV’s in Europe too. With names like Maserati and Alfa-Romeo. Imagine that. The President of the United States picks a European company that produces, not a hybrid or electric car but, a high mileage small car to run Chrysler. Now they are going to build big cars in Europe and only tentatively introduce the 500 here in America.
It seems Fiat has learned more about American buying habits in 2 years of business here than Barack Obama has learned in his entire life. That could be because he never ran a business or actually worked. Fiat found out quickly that the market for small high mileage daily runners is minimal in the US and wisely played to the market. Obama sees us driving SUV’s and wants us to take high-speed rail or drive 100 miles and stop to recharge. Barack is not stupid, he is just ignorant through delusion. If you were lied to all of your life you would believe the lies are the truth. That is the current situation with our President. He does not know the truth. Only what has been fed him since his youth.
I wish Fiat all the success in the world with their new car company. I hope GM can get out from government holding and actually build a car people will buy. The Volt is not it. Either way only one of the big three really survived. Congratulation Ford for being the only car company left in the United States the Government did not screw up or try to.