DaimlerChrysler ignoring Kerkorian bid?
Is DaimlerChrysler deliberately snubbing Kirk Kerkorian? Word has it the company is sending one of its top executives to New York to meet with potential buyers, but Kirk isn't on the list. Kerkorian, as you may know, has already made a $4.5 billion offer for Chrysler.According to the Wall Street Journal, DaimlerChrysler's Rudiger Grube is set to arrive in New York on Wednesday, but Kerkorian's Tracinda Corp. isn't on the itinerary. Companies that have made the list include Blackstone Group, Centerbridge Capital Partners LP and Cerberus Capital Management LP. Grube should also be meeting with reps for Canadian auto-parts supplier Magna International Inc. and private-equity firm Ripplewood Holdings Inc.
Kerkorian's absence could be explained by the fact that his offer is reportedly much lower than the others. That and the fact that it came with a laundry list of conditions, including that DaimlerChrysler would still be on the hook for pension and health care responsibilities for Chrysler. There's also the matter of the offer being opposed by labor unions. Even with all of that, The Wall Street Journal report said DaimlerChrysler wouldn't discriminate against Kerkorian, if he improves his bid.
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