Viper killed off on purpose???
Discussion
Viper, killed off on Purpose?
"Congressional letter alleges Nardelli and Chrysler failed to disclose more lucrative offers for Viper"
"Congressional letter alleges Nardelli and Chrysler failed to disclose more lucrative offers for Viper"
Autoblog said:
In a letter from California Congressman Darrell Issa to Chrysler's Bob Nardelli, the Auburn Hills executive is charged with failing to disclose information regarding the sale of the Dodge Viper line.
According to the letter obtained by Autoblog from a source close to the situation, the Republican congressman cites Nardelli's explanation as part of the automaker's bankruptcy proceeding that there was "a lack of 'purchaser interest in response to the offering of Chrysler's Connor Avenue Viper manufacturing plant for $10 million." And yet, the letter states, "The Committee has conducted interviews and reviewed materials that clearly show there was in fact one purchaser willing to pay $35 million to purchase the Viper line."
The communication indicates that discussions were held as early as February between Chrysler's emissaries and Joseph Moch Sr. and Joseph Moch Jr. to buy all of the company's Viper-related assets. Further, an oral agreement was reportedly reached in April, with an acquisition agreement drafted later that month for $35 million – substantially more than the $10 million Chrysler was reportedly seeking for the Connor Avenue plant.
Despite the offer from Moch and apparent interest from other companies, the letter notes that Chrysler only reported a single bid for its Viper business to the bankruptcy court's Judge Arthur Gonzalez – the much smaller $5.5 million offer from Devon Motor Works reported last week. In the letter, Congressman Issa warns Nardelli:
"Failure to make this disclosure may have been illegal if you knowingly made false statements in response to questions under oath."
Perhaps the central question is: Why would Nardelli and Co. fail to disclose the Moch offer? Issa's letter offers a theory:
As you know, the Fiat group includes Ferrari, a Viper competitor in the sports car market. If it is the case that Fiat used its "hard-fought" superior bargaining position to establish as a condition of the merger a requirement that Chrysler allow the Viper brand to disappear in order to reduce competition for Ferrari, this too must be presented to the court.
Issa goes on to urge Nardelli to "disclose all legiimate offers for Viper to the court at the hearing," (which is slated to occur today, June 5) as well as "all records and communications between Chrysler and its agents with Joseph Moch Sr., Joseph Moch Jr., and their legal representatives."
So... did Nardelli and Chrysler really fail to disclose more lucrative offers for the Viper – possibly because of pressure from new parent Fiat? Stay tuned.
Link to ArticleAccording to the letter obtained by Autoblog from a source close to the situation, the Republican congressman cites Nardelli's explanation as part of the automaker's bankruptcy proceeding that there was "a lack of 'purchaser interest in response to the offering of Chrysler's Connor Avenue Viper manufacturing plant for $10 million." And yet, the letter states, "The Committee has conducted interviews and reviewed materials that clearly show there was in fact one purchaser willing to pay $35 million to purchase the Viper line."
The communication indicates that discussions were held as early as February between Chrysler's emissaries and Joseph Moch Sr. and Joseph Moch Jr. to buy all of the company's Viper-related assets. Further, an oral agreement was reportedly reached in April, with an acquisition agreement drafted later that month for $35 million – substantially more than the $10 million Chrysler was reportedly seeking for the Connor Avenue plant.
Despite the offer from Moch and apparent interest from other companies, the letter notes that Chrysler only reported a single bid for its Viper business to the bankruptcy court's Judge Arthur Gonzalez – the much smaller $5.5 million offer from Devon Motor Works reported last week. In the letter, Congressman Issa warns Nardelli:
"Failure to make this disclosure may have been illegal if you knowingly made false statements in response to questions under oath."
Perhaps the central question is: Why would Nardelli and Co. fail to disclose the Moch offer? Issa's letter offers a theory:
As you know, the Fiat group includes Ferrari, a Viper competitor in the sports car market. If it is the case that Fiat used its "hard-fought" superior bargaining position to establish as a condition of the merger a requirement that Chrysler allow the Viper brand to disappear in order to reduce competition for Ferrari, this too must be presented to the court.
Issa goes on to urge Nardelli to "disclose all legiimate offers for Viper to the court at the hearing," (which is slated to occur today, June 5) as well as "all records and communications between Chrysler and its agents with Joseph Moch Sr., Joseph Moch Jr., and their legal representatives."
So... did Nardelli and Chrysler really fail to disclose more lucrative offers for the Viper – possibly because of pressure from new parent Fiat? Stay tuned.
Edited by RT/10Dave on Monday 8th June 10:44
I think it is a pretty big stretch to think FIAT are going out of their way to kill of Viper as a competitor to Ferrari, especially as its not really a competitor in the first place.
One thing i felt certain of was that if viper was sold then it would no longer be Viper, at best it would slowly change to something else(maybe acceptable) but most likely the facilities and platform would be used to build something very not viper like and viper would be dead forever.
From what i am reading the Viper plant and brand will now go to the new Chrysler/fiat and there is a chance we may get to see a new viper one day.
I may be spewing b
ks but we will just have to wait and see.
One thing i felt certain of was that if viper was sold then it would no longer be Viper, at best it would slowly change to something else(maybe acceptable) but most likely the facilities and platform would be used to build something very not viper like and viper would be dead forever.
From what i am reading the Viper plant and brand will now go to the new Chrysler/fiat and there is a chance we may get to see a new viper one day.
I may be spewing b
ks but we will just have to wait and see. 
No way was that to protect Ferrari the cars and the market are too different, I am more likley to believe that an 8 litre car in the current climate holds little interest for prospective buyers, if it was a hybrid or alternate power then it would be attractive.
That coupled with even more stringent emmission testing coming up in the US may in fact be the reason.
That coupled with even more stringent emmission testing coming up in the US may in fact be the reason.
viper paul said:
No way was that to protect Ferrari the cars and the market are too different, I am more likley to believe that an 8 litre car in the current climate holds little interest for prospective buyers, if it was a hybrid or alternate power then it would be attractive.
That coupled with even more stringent emmission testing coming up in the US may in fact be the reason.
If the world is to die due to the consumption of the planets resources then let my place of rest be a VIPERThat coupled with even more stringent emmission testing coming up in the US may in fact be the reason.
(Neil Williams 09,06,2009)
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