GM Sheds 1,100 Dealers
from The Los Angeles Times
 General Motors Corp. notified 1,100 of its dealers that it would not renew their franchise contracts today, effectively pushing out nearly 20 percent of its distribution network. The news, delivered in express mail letters and phone calls to Chevrolet, Buick, Pontiac, GMC and Cadillac dealers, comes a day after Chrysler used Bankruptcy Court to break the contracts with 789 of its nearly 3,200 dealers. More 
Chrysler Identifies Suppliers for After Bankruptcy
from Bloomberg
Chrysler plans to notify about 1,200 suppliers that they’ve been chosen to continue providing parts to the automaker after a new company it’s seeking to form emerges from bankruptcy. The list represents an "overwhelming majority" of suppliers now serving Chrysler, the company said. Those suppliers will also be told how much Chrysler aims to pay them for bills owed before the Auburn Hills, Michigan-based company sought Chapter 11 protection. More
AutoNation CEO: Dealership Cuts to Hit Real Estate
from Reuters
The decision by U.S. automakers General Motors Corp and Chrysler to close over 2,300 dealerships will hurt the commercial real estate market and pressurize vehicle prices, AutoNation Chief Executive Mike Jackson said. "It's extremely painful in the short run and very disruptive. It will be a difficult couple of months for everybody," Jackson said in an interview. More
Volkswagen, Porsche Merger Marred By Protests, Piech Absence
from Bloomberg
Workers at Porsche SE staged a strike to demand the sports-car maker stay independent, in further blow to talks on a planned merger with Volkswagen AG that Europe’s largest carmaker put on hold. "Porsche will remain independent, Porsche has to remain Porsche," Hueck told employees at Porsche’s research and development center in Weissach, Germany. More
UAW Says GM Talks to Intensify as Jobs Issue Looms
from Reuters
The United Auto Workers union expects a crucial round of restructuring talks with General Motors Corp "to intensify this coming week" ahead of an end-of-May deadline set by the Obama administration. In an e-mail message sent to rank-and-file workers, the union also repeated its opposition to GM's plans to close 16 U.S. manufacturing plants and cut about 21,000 jobs while also planning to increase vehicle imports from GM plants in lower-wage economies such as Mexico, South Korea and China. More
Source: Fiat Not Planning Cash Offer for GM Europe
from The Wall Street Journal
Fiat SpA Chief Executive Sergio Marchionne is meeting with advisors and German government officials up until Wednesday, when he will submit a non-cash offer for General Motors's German unit Adam Opel AG, a person familiar with the situation said. Marchionne said Friday he will make the offer by May 20, the German government's deadline. Marchionne wants to buy GM's European operations, including Opel, as part of his bold plan to tap government financing to create one of the world's largest automakers. More
DOD Analysis: New C-17s Not Needed
from Aviation Week
Early indications from the Pentagon’s Mobility Capabilities Requirements Study suggest no need for additional strategic airlift beyond the funded procurements of re-engined C-5s and 205 C-17s already planned, says U.S. Air Force Chief of Staff Gen. Norton Schwartz. More
Chrysler Dealers Prep Legal Fight
from The Detroit Free Press
Chrysler dealers will soon launch their legal opposition to the company’s plan to cut 789 dealerships in less than a month, arguing the company has asked for too much freedom from state laws protecting dealer agreements. Michael Bernstein, an attorney with Arnold & Porter who represents the Chrysler National Dealer Council, said the dealers may offer a number of objections to the plan in U.S. bankruptcy court, and that the case will enter some uncharted legal territory. More
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