Chrysler debunks rumours of assets sale

15 January 2009

The third largest US auto maker Chrysler debunked rumours of being in talks with Renault, Nissan Motor and auto parts supplier, Magna International, to sell its assets as well as the PT Cruiser brand to Chinese automakers and its marquee Jeep nameplate to Renault-Nissan.

Reacting to a Reuters report on Tuesday, Chrysler held a press conference yesterday to put a lid on the rumours about the company selling its brands or factories or winding up but said it was open to acquisition, which it was looking for anyway since the past few months.

Speaking at the impromptu press conference, Tom LaSorda, vice chairman and president of Chrysler and also in charge of the company's asset sales and acquisitions said "I'd love to tell the press directly what's going on, instead of people putting out rumour-based reporting, which at this point is not healthy for the industry."

He said that the company was not selling any brands individually like the Jeep nor did Chrysler have any plans or designs to separate any brands from the company.

On rumours that the company may wind up, he said, ''This company is going to be around. We are not going under."

LaSorda also debunked the story that his company was in discussions with Renault SA, which owns 44-per cent stake in Nissan Motor and added that any sale of the company had to come with the approval of private equity firm Cerberus Capital Management, Chrysler's owner.