Sat, Jul 04, 2009
Chrysler, now privately held, is considering strategic options for non-core assets, including the plant that makes the Viper SRT10, above.
courtesy of chrysler

Business

Chrysler weighs sale of Viper sports car line

By Tim Higgins
Detroit Free Press
Tucson, Arizona | Published: 08.30.2008
DETROIT — Chrysler LLC indicated that its Dodge Viper sports car line could be sold as the company continues to spin off non-core assets.
The Auburn Hills, Mich., automaker, a year into private ownership, announced in a statement this week that it is preparing to explore "strategic options for the Dodge Viper business."
"We have been approached by third parties who are interested in exploring future possibilities for Viper," Bob Nardelli, Chrysler CEO, said in a statement. "As the company evaluates strategic options to maximize core operations and leverage its assets, we have agreed to listen to these parties."
The automaker stressed in the statement that the review is "unique to the Viper specialty vehicle" and emphasized that Chrysler "has not set a definitive timetable for completion of the review of its strategic options, no final decision has been made with regard to the Viper business, and there can be no assurance that any transaction will take place as a result of this process."
The Viper is hand-built at the Conner Avenue Assembly Plant in Detroit.
The first sign of trouble for Viper came about a year ago when the UAW negotiated a new four-year labor contract with Chrysler, and the Viper plant was left out of a plant closing and sale moratorium.
The UAW told members at the time that the "Dodge Viper continues through the product life cycle. No future product identified. ... Company plans to close facility during term of agreement."
According to Chrysler, 115 employees work at the Conner Avenue plant.
The Viper was introduced as a concept car during the Detroit auto show in 1989; it came out as a production vehicle in model year 1992.
Since Chrysler was acquired by Cerberus Capital Management, the automaker has undergone dramatic changes as it has been remade into the first privately held major U.S. automaker in more than 50 years.
Chrysler has eliminated four products, including Dodge Magnum and Chrysler Pacifica.
Earlier this month, Tom LaSorda, a Chrysler president and vice chairman, said the automaker had identified more than $1 billion in non-core assets that could be sold to help generate cash and that about $500 million of those assets had already been sold.