Goodbye Mitsubishi cars?

[drdingo21]

I pulled this off another site. But If you've been following auto industry news for the past week or 2, you might have read about Mitsubishi Motors' terrible financial condition. It has been widely assumed that DaimlerChrysler would bail them out and take a majority stake in the company. This was officially supposed to happen on April 30.

I just read news that has made my jaw drop. Heres the article:
DaimlerChrysler to quit Mitsubishi
DaimlerChrysler AG said on Thursday it was pulling out of Mitsubishi Motors, leaving its bid to become a global carmaker in disarray and throwing the future of the ailing Japanese firm into doubt.

The group said that it had decided not to participate in a rescue capital increase planned by Mitsubishi Motors Corp. because it could not agree on an acceptable deal with other shareholders in the loss-making company.

It also said it would not provide any further financial support to Mitsubishi, Japan's only unprofitable carmaker.

"This clearly means separation," a DaimlerChrysler spokesman said.

The decision came after an extraordinary meeting of the DaimlerChrysler supervisory and management boards on Thursday.

"This could be the end for Mitsubishi if nobody else injects fresh capital," said one industry source.

DaimlerChrysler bought the stake in Mitsubishi over three years ago with a view to expanding its presence in Asia. It has since worked to establish closer production ties between the Japanese firm and its other problem child, U.S. automaker Chrysler, to cut costs.

[pdiggitydogg]

Where did you find this article at?
If you know about japanese business and how it functions youd find this a little hard to believe (I do)

[Wren57]

Bye bye mitsu... can't say I'd be too upset, I haven't liked any of their cars since the 2g eclipse...

[drdingo21]

The article was from autonews.com

STUTTGART, Germany -- DaimlerChrysler AG said on Thursday it was pulling out of Mitsubishi Motors, leaving its bid to become a global carmaker in disarray and throwing the future of the ailing Japanese firm into doubt.

The group said that it had decided not to participate in a rescue capital increase planned by Mitsubishi Motors Corp. because it could not agree on an acceptable deal with other shareholders in the loss-making company.

It also said it would not provide any further financial support to Mitsubishi, Japan's only unprofitable carmaker.

"This clearly means separation," a DaimlerChrysler spokesman said, adding that the 37 percent stake would be booked as discontinued business until a buyer could be found.

Mitsubishi representatives could not immediately be reached for comment.

The decision came after an extraordinary meeting of the DaimlerChrysler supervisory and management boards on Thursday.

Supervisory board sources said earlier that the company had discussed selling its 10 percent stake in South Korea's largest carmaker Hyundai Motor Co. Ltd., worth about 850 million euros ($1 billion), to help fund the Mitsubishi rescue.

Mitsubishi, Japan's fourth largest and only unprofitable carmaker, had been planning to present details of a 700 billion yen ($6.39 billion) bailout to shareholders on April 30.

Reeling from losses generated by a disastrous strategy of offering cheap car loans in the U.S., Mitsubishi is expecting a net loss of 72 billion yen for the 12 months to March 31. It had a profit of 37.36 billion yen the previous year.

Mitsubishi Motors' net automotive debt stood at around 726 billion yen six months ago, while total interest-bearing debt was 1.141 trillion.

"This could be the end for Mitsubishi if nobody else injects fresh capital," said one industry source.

DaimlerChrysler bought the stake in Mitsubishi over three years ago with a view to expanding its presence in Asia. It has since worked to establish closer production ties between the Japanese firm and its other problem child, U.S. automaker Chrysler, to cut costs.

[ebpda9]

oh well, i wasn't too fond of them either till i found out they are one of the heavyweights in the WRC, but now they suck big balls there too.

[IALuder]

mitsu was never at the top of anything. there cars sucked and always will. they break down faster then a tiburon and a GEO.

personally im glade to see them go!:yes:

[pdiggitydogg]

:foot:
well alright...Im surprised and confused

[Kyle]

yeah...i think i heard about that a couple of weeks ago...i'm not erally bothered by it but it was a suprise

[biker's back]

cant say any of their cars are even worth talking about... so long

[KwikR6]

Originally posted by biker's back
cant say any of their cars are even worth talking about... so long

[Rob]

Originally posted by biker's back
cant say any of their cars are even worth talking about... so long
you don't think the Evo is worth talking about? :crazy:

[KwikR6]

Originally posted by AccordinStyle
you don't think the Evo is worth talking about? :crazy:
Here comes the argument...I would rather an STI!

[GT40FIED]

The Evo is cool...but they're on what...the Evo 7 or 8 and it's just NOW getting here? Maybe if they'd been a bigger player in the market before they'd still have a leg to stand on.

[Rob]

Originally posted by Black Del Sol
Here comes the argument...I would rather an STI!
alright...I'll give you that....but THAT'S not a Mitsubishi......;)

[AzCivic]

the turbo eclipse is still hands down one of the easiest/cheapest imports to make fast, and thats worth talking about.

[pbateson]

No more EVO? -_-

[Whiteclipse99]

Originally posted by SFKing
mitsu was never at the top of anything. there cars sucked and always will. they break down faster then a tiburon and a GEO.

personally im glade to see them go!:yes:



Ditto!! I've had more problems with my Eclipse than I'd like to admit. :no:

[biker's back]

Originally posted by AzCivic
the turbo eclipse is still hands down one of the easiest/cheapest imports to make fast, and thats worth talking about.

eclipse is to heavy to make 'fast'

actually i'm not even going to talk abotu this anymore.. it just isnt worth it. when their gone it wont be any different then it is now.

[Racing Rice]

Heres the article from CNN.

http://money.cnn.com/2004/04/23/news/international/daimler_mitsubishi.reut/index.htm

[AzCivic]

Originally posted by biker's back
eclipse is to heavy to make 'fast'

actually i'm not even going to talk abotu this anymore.. it just isnt worth it. when their gone it wont be any different then it is now.

you might wanna let all the people doing it in on this.

[AzCivic]

Originally posted by Whiteclipse99
Ditto!! I've had more problems with my Eclipse than I'd like to admit. :no:

you got the dodge neon engine, what'd you expect?

[CD5Passion]

I won't miss em, the only car that actually was decent was the Evo, and i say this only because a friend of mine got one and it's just beautiful but thats it. Sick of eclipses ( no offense to anyone who owns and likes theirs) but man..after F&F my view on them shifted quite a bit as everyone and their mom tried to mod theirs around here
"Oh snap I got me a eclipse so I can be like Paul"....:o

[GT40FIED]

Originally posted by biker's back
eclipse is to heavy to make 'fast'

actually i'm not even going to talk abotu this anymore.. it just isnt worth it. when their gone it wont be any different then it is now.

I'll agree with that to an extent. The problem isn't the power, it's the potential. I've seen some wicked quick Eclipses...but their transmission gearing seems to be so high that they top out way too early to be what I'd consider "fast". My brother used to own a Talon Tsi that was insane off the line but you'd start to run out of steam around 110mph or so.

[AzCivic]

Originally posted by GT40FIED
I'll agree with that to an extent. The problem isn't the power, it's the potential. I've seen some wicked quick Eclipses...but their transmission gearing seems to be so high that they top out way too early to be what I'd consider "fast". My brother used to own a Talon Tsi that was insane off the line but you'd start to run out of steam around 110mph or so.

was it the gearing or the really small stock turbo?

[VR4_Craver]

Originally posted by AzCivic
you got the dodge neon engine, what'd you expect?

no...its not the neon engine...its a 4g63 the new neon has the A853.

My brother used to own a Talon Tsi that was insane off the line but you'd start to run out of steam around 110mph or so.

maybe so. But do oyu do 110 everyday? ;) well nevermind you probably do dont you gt??:yes: j/k

[AzCivic]

Originally posted by VR4_Craver
no...its not the neon engine...its a 4g63 the new neon has the A853.


no it IS the neon engine, the GS(non turbo!) came with a neon engine. the turbo model came with the 4g63.

[GT40FIED]

Originally posted by AzCivic
was it the gearing or the really small stock turbo?

Sure...granted the stock turbo is way too small, but if I remember right (it's been about 6 years or so since he ditched the car) around 120mph or so you were bumping into the redline area.

No, VR4, I don't go cruise around at 110mph. Hehe...but that would be sweet. But I like knowing that if I wanted to I could.

[VR4_Craver]

Originally posted by AzCivic
no it IS the neon engine, the GS(non turbo!) came with a neon engine. the turbo model came with the 4g63.

i thought you were talking about the srt-4 sry..


I don't go cruise around at 110mph. Hehe...but that would be sweet

lol

[thermal]

hmmmm..... I do like "some" DSM's. The 2nd gen Eclipse GSX are nice. I like the EVO VIII but I prefer the STi.....