GM and FORD talk merger!
GM and FORD talk merger! It was mentioned this morning on WSB channel 2 news Atlanta, GA. that GM and FORD could be merging together in the future. Has anyone else heard this? I know that GM and FORD engineering dept recently worked together to develop a new SIX speed automatic transmission.
Read here:
Automotive News reported early this morning that senior executives within Ford and GM have explored the possibility of an alliance, even a merger, in the near future.
The supposed talks between the two Detroit titans began sometime in July, soon after Rick Wagoner and Carlos Ghosn began investigating the benefits of a GM/Renault/Nissan threesome. The sources cited by Automotive News have not been able to confirm who opened the door to the talks, with one insider saying that Wagoner was the instigator, while another source disputes that assertion. It is known that a possible merger was discussed between the General's CFO, Fritz Henderson and Don Leclair, Ford's own CFO sometime in August.
Although the idea of a Ford/GM alliance may seem odd at first glance, one only needs to look at the tremendous stake each company has in the other's continued existence. The most potentially catastrophic scenario would include GM or Ford declaring bankruptcy, leaving their mutual parts suppliers blowing in the financial winds and subsequently cutting off the other from much-needed materials. It could be argued that both would go down and quickly.
Although it's doubtful anything of this magnitude would come to fruition, the dependency each of the players share may warrant a second look at a union between what's left of the 'Big 3.' At this point however, spokespeople for both GM and Ford are relying on the "no comment" approach to get them through the next few days.
[Source: Automotive News - Sub. Req.]
Read here:
Automotive News reported early this morning that senior executives within Ford and GM have explored the possibility of an alliance, even a merger, in the near future.
The supposed talks between the two Detroit titans began sometime in July, soon after Rick Wagoner and Carlos Ghosn began investigating the benefits of a GM/Renault/Nissan threesome. The sources cited by Automotive News have not been able to confirm who opened the door to the talks, with one insider saying that Wagoner was the instigator, while another source disputes that assertion. It is known that a possible merger was discussed between the General's CFO, Fritz Henderson and Don Leclair, Ford's own CFO sometime in August.
Although the idea of a Ford/GM alliance may seem odd at first glance, one only needs to look at the tremendous stake each company has in the other's continued existence. The most potentially catastrophic scenario would include GM or Ford declaring bankruptcy, leaving their mutual parts suppliers blowing in the financial winds and subsequently cutting off the other from much-needed materials. It could be argued that both would go down and quickly.
Although it's doubtful anything of this magnitude would come to fruition, the dependency each of the players share may warrant a second look at a union between what's left of the 'Big 3.' At this point however, spokespeople for both GM and Ford are relying on the "no comment" approach to get them through the next few days.
[Source: Automotive News - Sub. Req.]
Last edited by gollum; Sep 19, 2006 at 09:13 AM.
Originally Posted by ShevrolayZ28
Holy smokes! Ford must be desparate.
But, maybe if Ford and GM created more quality products, they wouldn't be in the shape that they are in. They need to do something if they want to compete with Toyota and Honda... or it's only a matter of time before both are no more.
They need an overhaul from the inside out - and get people thinking differently about them, when they are different.
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From: Cabot Arkansas
This kind of stuff makes me sick. The thought of GM merging with anything is disgusting. If GM ever merges with nissan like they say they are pondering at that point I would be done with GM vehicles. GM/Ford is like hot and cold for the united states, or has been for quite a few years. There goes more of our market freedom 
Originally Posted by bigleman
find something better to do
Such as.....talk **** about someone posting in the wrong section? Right....
Anyway...I'm not thrilled about any talk of a merger but...... I would rather see a merger than both companies going belly up. It's not looking too good for either right now.
