08/03/07
As lawyers from Cerberus Capital Management and DaimlerChrysler AG push to complete their Chrysler deal, officials at the Auburn Hills automaker are beginning to remove "Daimler" from some signs and are making plans for a celebration next week. The deal to wrap up Cerberus' acquisition of Chrysler could occur Monday or Tuesday of this week, with a celebration tentatively planned for Aug. 1 at Chrysler's Auburn Hills headquarters, people familiar with the planning told the Free Press.
They cautioned, however, that the exact date remains uncertain because of the army of lawyers employed by both Chrysler's current parent, DaimlerChrysler, and its soon-to-be owner, Cerberus. No major issues are expected to arise, they add, but crossing all of the T's and dotting all of the I's could take a little longer than expected.
Meanwhile, the signs at Auburn Hills headquarters are already being changed. "Daimler" was removed in recent days from an external granite sign at the Technical Center building, for example. Frank Ewasyshyn, Chrysler executive vice president for manufacturing, said the changeover of signs will be gradual, in large part to save money. He noted that the large signs at
Chrysler's
plants can cost about $30,000 apiece, putting aside the costs of all the
smaller DaimlerChrysler signs throughout buildings. Chrysler has about 30
production facilities in North America. "We're not
going to do a big Day One sign thing. We'll get them cleaned up as time goes
on," Ewasyshyn said last week. "There is a lot of signage. They're not
cheap."Cerberus officials have said they want to close the deal in the third quarter. One factor that could be pushing the deal to completion next week is a traditional German summer vacation period during the first part of August. On Friday, Chrysler Chief Executive Officer Tom LaSorda said the deal was close to being done. "We're very, very close," he said. "The commitments are there from the banks." Peter Duda, a spokesman for Cerberus, declined comment Monday beyond emphasizing the stated goal of a third-quarter closing. A DaimlerChrysler spokesmen declined comment.
The cost of becoming a U.S. company free of Daimler comes with costs. Signs, stationery, business cards and everything else branded with DaimlerChrysler AG will need to change. "To me it's another chapter. It's an opportunity to do things that we've never been able to do," Ewasyshyn said.
In May it was announced that Cerberus, a private equity firm, would spend $7.4 billion to acquire 80.1% of Chrysler. DaimlerChrysler, which plans to drop the word Chrysler from its name in the near future, will keep 19.9% of the American company. Chrysler and Daimler, officials say, will continue with some sharing.
Chrysler's new official name has not been announced. A memo from a senior Chrysler executive obtained shortly after the May announcement said the Chrysler Pentastar is being brought back as the corporate logo, something the company has not commented on officially.
The DaimlerChrysler breakup comes after nine years. The original merger cost Daimler-Benz AG about $36 billion in 1998.
The beginning of the merger was a huge event, costing tens of millions for the Day One celebration, according to people who remember the day. The event being planned for Aug. 1 in Auburn Hills will be much quieter, company officials insist.
Big party or not, Chrysler workers are eager for their company to be a stand-alone automaker again.
"They're glad it's going to be a U.S. company and getting rid of the Daimler on the name," Gerry Dettling, 48, of Clarkston, who fabricates prototype parts for Chrysler, told the Free Press earlier this summer. Added Chrysler worker Steve McCaffrey, 40, of Wixom: "Everybody is saying we're getting our name back. It will be exciting to see what happens."
Tigers/White Sox Road Trip
The Richmond Optimist Club is hosting a road trip to see the Detroit Tigers
play the Chicago White Sox at U.S. Cellular Field in Chicago. Cost is $225
for 2 days/1 night double occupancy. For more info contact Linda Simko at
586-727-7577.
Chrysler Imperial canceled,
but Dodge Challenger ready for 2008
Though officially the Imperial was to have seen
production in 2009, and has since been cancelled, it is possible that a
long-wheelbase LY car will still be produced, after 2009, for the fleet/limo
market. The Imperial or New Yorker would have been created with a three inch
longer wheelbase than the 300C, mostly using the same components. Test mules
were built in 2007. Chrysler’s Ed Saenz blamed rising gasoline prices and
tougher fuel-economy regulations; the expected popularity of the Challenger may
also have been an issue, as all would have competed for production in the same
factory. The extra cost
of engineering and testing the Imperial or New Yorker
may have been deemed unnecessary to keep the factory at full use with the
Challenger coming online, or the engineering resources may have been needed more
for the upcoming small cars to be built in China. Challenger
production for the first year (2008) is to be only 5,000 units and they are
planned to be identical in equipment with few color choices. The following year
they will be offered in higher volume with lower line equipment packages,
engines and prices. They are programmed to be a short life production so those
who want one should get their name in quickly. We only expect to get a handful
of the first years production. See your salesman for details.
Fitness Center Update
Boot Camp is coming to the Plaza Fitness
Center this fall. Details to follow shortly.
Employee
Recognition
The Huvaere Group
would like to recognize those associates with employment anniversaries in
August: Sam Azar, 4
years; Sam Catanzaro, 4 years; Jerry Cummings,6 years; Josh Gutierrez, 1 year;
Dan Howard, 6 years; Jeremy Nicklow, 2 years; Michael O'Connell, 1 year; Pete
Persha, 2 years; Brick Sherlock, 2 years; Casey Studier, 3 years; Diane Uhl-
Schweiger, 3 years. Congratulations!
Huvaere Group employee area at APBA Silvercup Regatta, Algonac
The APBA Silvercup Regatta is scheduled for August 18
and 19, 2007 in Algonac. As a sponsor of the Regatta, we will have an employee
tent located on the riverfront. Stop by with your family and watch the races!
Need a new Mortgage or Re-Mortgage?
Contact Mark Ptaszek, Mortgage Consultant,
and tell him you are a Huvaere Group Associate for special consideration.
Blue Star Mortgage
11815 Lancer
Sterling Hgts, Mi 48313
586 709 6943
bluestartaz@hotmail.com
Paul Axon
Service Technician
Paul's family:
Paul has 4 daughters; Amanda, Alexandria, Alicia, and
Anna.
If he wasn't at work, Paul would be:
Still working, he has 2 full-time jobs.
Paul's hometown:
Yale Michigan
Paul's favorite place to travel:
England
Paul's first job:
Dishwasher at Awong Tong Palace
Paul's favorite television
show is:
Ice Road Truckers
Paul's favorite place to dine is:
Anything Mexican
Paul's favorite vehicle is:
2009 Camaro
Something you may not already know about
Paul:
Paul is also a full-time Paramedic.
Thank you Paul for being such an asset to The Huvaere Group!
Today's Motivational Quote
"Well-timed silence
hath more eloquence than speech."
Martin Fraquhar Tupper