Chrysler Sale Is Pending
The automotive news over the past several weeks has been dominated by news that DaimlerChrysler is in the process of selling of its Chrysler Group. General Motors initially showed interest as has Magna International, the Canadian auto parts giant.
Today, it appears that the list of suitors has been narrowed down to two private equity groups. One group is headed up by a team pulled together by Cerebus, the other by a team organized by Blackstone. Regardless of who comes out front, you can expect several months of due diligence by the leading suitor before a deal is signed. In addition, DaimlerChrysler could still retain significant minority ownership in the automaker to help ease the burden of health care costs and pension liabilities the new owner would face.
Source: The Sydney Morning Herald
You Can Achieve Better Fuel Mileage
Gas prices topping $3 per gallon has many motorists up in arms. We’ve been accustomed to cheap fuel for so many years, so much so that the recent run up in oil prices has many people worried and wondering how they can save on fuel. Don’t count on prices dropping anytime soon, so other than trading in your current set of wheels for a hybrid or diesel powered vehicle, you need some sensible answers on how to save money. Let’s take a look at several ways you can squeeze better gas mileage out of your vehicle.
Inflate Your Tires - If you don’t regularly check your tires, you could be spending more on gas than what is necessary. Keep your tires properly inflated and you could reverse a drop in fuel economy measuring somewhere between 5 and 15%.
Change The Oil - An efficiently running engine eats less fuel, pure and simple. If you haven�t changed your oil in some time, do it today.
Change The Air Filter - Again, if your air filter is clogged, it will cause a drag on your engine making it work harder. Replace the paper air filter with a cotton gauze-based performance filter (reusable) to maximize fuel economy. You’ll pay a little more up front, but it’ll be the last air filter your car will ever need.
Check The Spark Plugs - If you haven’t had a tune up in some time, consider changing the spark plugs and adjusting the timing. A misfiring engine eats up more fuel.
Leave It Off The Top - If you can, avoid placing things on top of your car when you take your next trip. The wind drag alone can reduce fuel mileage by as much as 5%.
Lighten The Load - Every 100 lbs. or so of stuff in your car can cause fuel economy to drop by 1-2%. If you don�t need to bring it, then leave it behind.
Running Like A Rabbit - Jackrabbit starts burn up gas, so lighten your foot’s hold on the accelerator and avoid driving like your favorite NASCAR pro.
Highway Sensibility - Stay within the posted speed limit, use an overdrive gear, and turning off the air-conditioner whenever possible will also save you precious fuel.
Simply Cut Back - Not an easy task for most, but driving less obviously means you will expend less fuel. If you can’t cut back on your usage, consider combining trips and errands in order to save fuel.
Lastly, if you are planning on replacing certain parts, consider performance parts that not only produce more power, but can help your engine run more efficiently. Cold air intakes, performance exhaust systems, and reusable air filters are some of the products on the market that can achieve great results. Yes, you’ll pay a bit more now, but your overall savings on fuel and replaceable parts will drop especially if you plan on keeping your vehicle for a long time.
Keep your car running and looking its very best with genuine, quality replacement parts from Vibrant, Iceman, and JBA.
The Auto Writer Mailbag
From time to time I will publicly answer a question from a reader, thus this feature: The Auto Writer Mailbag. Feel free to send your nontechnical questions to my email address.
Q. What do you think will become of Chrysler?
A. That’s a good question, one that is should be answered this week or next depending on the bids received by three or more investment groups. There doesn’t seem to be another automaker genuinely interested in Chrysler although it did seem that GM was going to make a legitimate offer for the company. Instead, GM’s price fell well short of what DaimlerChrysler wanted, so you can take GM out of the running.
I was thinking that Hyundai or one of China’s upstart automakers would make a bid for Chrysler, but it appears that Hyundai has its hands full with their own operations while no China automaker is large enough to gobble up Chrysler.
I fully expect that one of three groups of equity investors will snap Chrysler up. One is led by Magna International, a Canadian company, but they only want to retain a minority stake in the new venture.
Ideally, Chrysler would go it alone, but the financial backing from investors is necessary and could prove beneficial in the long run should the revamped Chrysler seek a new partner down the road.
-
Custom Search