This past week’s bankruptcy announcement for Chrysler means the decisions will be coming hard and fast. The carmaker has already confirmed that overlapping models and some slow-sellers will be dropped but there will also be a lot more cutbacks as revealed by new bankruptcy documents filed with a court in New York.
The documents revealed that up to eight plants in the U.S. will be closed but it appears no employees will be retrenched. Speaking with Automotive News, Chrysler spokeswoman Dianna Gutierrez said the alliance with Fiat would allow the carmaker to “retain substantially” all of its employees.
Furthermore, Chrysler expects the alliance with Fiat, which is subject to modification by the bankruptcy court, to add about 5,000 employees, Gutierrez explained. Current employees would be offered employment in the new company.
Chrysler is yet to confirm the plant closings, as the information revealed was sourced from a preliminary draft bankruptcy petition prepared by Robert Manzo, executive director of Capstone Advisory Group, one of Chrysler's advisers. The document also revealed that Chrysler would be split itself into two legal entities - an "OldCo" that would retain these eight plants and other liabilities not and a "NewCo" that would remain after the restructuring.
Sadly, one of the plants included - Conner Avenue – is responsible for the Dodge Viper, which Chrysler is currently trying to sell the rights to.
Here’s the complete list of facilities that will be closing according to Chrysler's bankruptcy filing:
-- Sterling Heights (Mich.) Assembly Plant
-- Detroit (Mich.) Axle
-- Conner Avenue (Detroit) Assembly
-- St. Louis (Mo.) North Plant
-- Kenosha (Wisc.) Engine
-- Twinsburg (Ohio) Stamping Plant
-- An idled plant in Newark, Del.
-- An idled plant in south St. Louis
Retained under a restructured Chrysler for long term operation will be:
-- Toluca and Saltillo plants in Mexico
-- Brampton and Windsor plants in Ontario, Canada
-- Toledo North and Toledo Supplier Park in Ohio
-- Warren Truck and Jefferson Avenue in Michigan
-- Belvidere in Illinois
-- Van operation in Ladson, South Carolina
The documents revealed that up to eight plants in the U.S. will be closed but it appears no employees will be retrenched. Speaking with Automotive News, Chrysler spokeswoman Dianna Gutierrez said the alliance with Fiat would allow the carmaker to “retain substantially” all of its employees.
Furthermore, Chrysler expects the alliance with Fiat, which is subject to modification by the bankruptcy court, to add about 5,000 employees, Gutierrez explained. Current employees would be offered employment in the new company.
Chrysler is yet to confirm the plant closings, as the information revealed was sourced from a preliminary draft bankruptcy petition prepared by Robert Manzo, executive director of Capstone Advisory Group, one of Chrysler's advisers. The document also revealed that Chrysler would be split itself into two legal entities - an "OldCo" that would retain these eight plants and other liabilities not and a "NewCo" that would remain after the restructuring.
Sadly, one of the plants included - Conner Avenue – is responsible for the Dodge Viper, which Chrysler is currently trying to sell the rights to.
Here’s the complete list of facilities that will be closing according to Chrysler's bankruptcy filing:
-- Sterling Heights (Mich.) Assembly Plant
-- Detroit (Mich.) Axle
-- Conner Avenue (Detroit) Assembly
-- St. Louis (Mo.) North Plant
-- Kenosha (Wisc.) Engine
-- Twinsburg (Ohio) Stamping Plant
-- An idled plant in Newark, Del.
-- An idled plant in south St. Louis
Retained under a restructured Chrysler for long term operation will be:
-- Toluca and Saltillo plants in Mexico
-- Brampton and Windsor plants in Ontario, Canada
-- Toledo North and Toledo Supplier Park in Ohio
-- Warren Truck and Jefferson Avenue in Michigan
-- Belvidere in Illinois
-- Van operation in Ladson, South Carolina
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