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Old 03-12-2009, 08:18 AM   #1
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Question Chrysler grew some Balls

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Originally Posted by Autoblog View Post
Chrysler LLC President and Vice Chairman Tom Lasorda spoke to Canadian Members of Parliament during a hearing in Ottawa on Wednesday, and based on the account published by ReportOnBusiness.com, it seems like it was really just a venue at which Lasorda was able to read off a list of demands from his employers.

They were:

1. The Canadian feds must provide the Pentastar with $2 to $3 Billion USD in bailout loans.
2. The CAW needs to visit the barber to the tune of a 25% reduction in pay and benefits.
3. The Canadian Revenue Agency must essentially surrender in its tax battle against the automaker, taking no additional action against it. Presently, the CRA has a half-billion dollar lien against the Brampton plant and has withheld hundreds of millions more in tax rebates.

Failure to meet these demands means that Chrysler starts killing hostages leaves Canada entirely and moves those jobs to the U.S. or Mexico. Lasorda's exact quote was, "The current success and long-term viability of Chrysler's manufacturing operations in Canada is very much dependent on [those] three critical factors." For his part, it sounds like Lasorda's confident that our neighbors to the north will capitulate, saying he feels the criteria presented can be satisfied, and that "we'll be here for a long time once they are addressed." Thanks to Pat for the tip.

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Umm....., wow this is not going to end well, and if this not a bluff CAW is in trouble


For them to do this, they must have something up their sleeve
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Old 03-12-2009, 08:37 AM   #2
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Wish they had to the balls to talk to our congress that way. You know the one's that are hell bent on forcing them to build european styled bs green vehicles.
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Old 03-12-2009, 08:44 AM   #3
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Wish they had to the balls to talk to our congress that way. You know the one's that are hell bent on forcing them to build European styled bs green vehicles.
Like that would happen, if they do leave Canada Chrysler has two plants setting idle in the us, not to mention the jobs it would create ( not alot but somethin )
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Old 03-12-2009, 08:46 AM   #4
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But it's the US Congress..not the Canadian Parliment.

Yeah. The connections those asshats have are scary.. it's like a legalized mob.
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Old 03-12-2009, 08:51 AM   #5
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Wish they had to the balls to talk to our congress that way. You know the one's that are hell bent on forcing them to build european styled bs green vehicles.
What do you think talking to the Canadian government like that is going to get him? I'll tell you - it's a whole pound of buh-buy! As if the Canadian government is going to give in to the demands of a privately owned company whose parent company has very deep pockets.
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Old 03-12-2009, 08:53 AM   #6
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What do you think talking to the Canadian government like that is going to get him? I'll tell you - it's a whole pound of buh-buy! As if the Canadian government is going to give in to the demands of a privately owned company whose parent company has very deep pockets.
Wouldn't that be a Kilo of "Buh-Bye Eh?"
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Old 03-12-2009, 08:55 AM   #7
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Wouldn't that be a Kilo of "Buh-Bye Eh?"
I stand corrected....
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Old 03-12-2009, 09:37 AM   #8
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Old 03-12-2009, 11:44 AM   #9
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If chrysler had done that to the US Congress tehy wuold have been in chapt. 7 liquidation by now.

If they even do survie they will mostly be selling rebadge Fiats.
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Old 03-12-2009, 12:17 PM   #10
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Well, odds are chrysler will get the same deal that the CAW agreed to with GM. As for the taxes, give them the loan, then they can pay the taxes, oh and Chrysler should ask for an extra half billion to cover the cost. Yes, that is bass ackwards but its Chrysler talking to the Government so it should make sense for all parties involved.

They should also make it clear how much income tax their workers collectively pay, and see if the government would like to see that money go away.

At any rate, I think this is more of a bluff than a threat. Chrysler's best vehicles are built in Canada, the 300/Charger/Challenger and the minivans. Hell, they're only good products. I can't see them simply moving them to Mexico, next product lifecycle maybe. But I still doubt it. Canadian labour costs are less than in the US (mostly from reduced healthcare cost) for equal or superior quality, something that can't be said for Mexico. Thats why we crank out 2x as many cars and trucks per capita than you do. Its in Chryslers best interest to stay here.
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