February 7, 2014

Growing up in the Detroit area, I never thought I'd see the day that Chrysler Corporation would be owned by another business and certainly not one headquartered in Italy. Hey, eventually all things, good or bad, come to an end - or so it seems.

Here's what happened to Chrysler in the last 15 years. In 1998, Daimier-Benz AG acquired control of the company. That relationship was short and only lasted until 2007 when Chrysler was sold to Cerberus Capital Management LP.

Chrysler's problems continued and, during the U.S. bailout, Fiat acquired a controlling stake in a bankrupt Chrysler. Fiat continued to gradually purchase a larger and larger share and on January 29, 2014, Fiat announced the acquisition of 100% of Chrysler Group, LLC.

The new name for Chrysler is Fiat Chrysler Automobiles NV. The new company is incorporated in the Netherlands. For the first time in decades the future of employees of FCA is rosy, particularly in light of the news that no changes are planned for the operating activities in Auburn Hills, MI. It is the same for employees in Turin, Italy.

For generations we referred to Chrysler as one of the big three but no longer. The resentment of foreign owned manufacturers in the automotive business is rapidly disappearing especially with the thousands of U.S. jobs saved.

A recent Detroit News article said:

The old Rouge Steel Co., bankrupt and targeted for elimination by its American rivals, is the North American beachhead of OAO Severstal, the Russian steelmaker that 10 years ago rescued the Dearborn operation and hundreds of jobs. Chinese investors acquired Nexteer Automotive, GM's old Saginaw Steering Division, retained jobs and listed the company's shares in Hong Kong.

Not American you say? Why not?

But the companies live; the jobs are backed with real wages, the wages pay mortgages, taxes and patronize local merchants. Like it or not, foreign investment is a fact of life in a global economy - and it's proven to be the lifeline Chrysler needed at its darkest hour in two generatons.

Mopar is alive and thriving!