Dodge Viper Survives Chrysler Transition
Safe for right now, the Dodge Viper has successfully been added to the assets of the good Chrysler, the entity that Fiat SpA acquired in a post bankruptcy sale last week.
Chrysler’s quick exit from bankruptcy and sale to Fiat last week was delayed briefly as the U.S. Supreme Court reviewed the transaction when Indiana pension holders filed papers objecting to the sale. That stay lasted for just one day, with Fiat completing its acquisition on Wednesday.
The Good Chrysler With Viper Included
With the sale, Fiat obtained all of Chrysler LLC’s good assets which were placed in a newly named Chrysler Group LLC entity. One asset that was vulnerable to being left out was the Viper, the halo sports car for the Dodge brand. However, the Viper line wasn’t sold off and is now under the full control of Fiat.
Long before officials from Chrysler LLC went to Washington, DC last November asking Congress for a bail out, the Dodge Viper was on the market. The low volume model was considered expendable to parent Cerberus Capital Management, L.P. expecting to fetch a considerable amount of cash for Viper. However, we learned later on that Chrysler was only asking $10 million for Viper, but rejecting a lowball $5.5 million offer from Devon Motorworks.
Viper Joins Ferrari, Maserati and Alfa Romeo
Fiat has no shortage of sports cars in its portfolio, owning Ferrari, Maserati and Alfa Romeo, cars which compete directly with the Viper. That competition had some worried that Fiat’s flamboyant CEO and now Chrysler chair, Sergio Marchionne, wouldn’t want Viper. However, as the multi-billion dollar deal closed last week, Viper was included with the company’s good assets.
Viper’s ultimate fate isn’t known as the new Chrysler entity seeks to work out a path to viability in the months ahead. For the short term, Chrysler needs to see how it can take Fiat small car technology and use it to build cars in North America while moving forward with updated products sitting on the back burner. The 2011 Gran Cherokee is one of those models that has been delayed, an important next generation flagship vehicle for the Jeep line.
With Chrysler remaining busy with its other products, the Viper could soldier on as is. No new model is being planned, thus no resources need to be expended on the line at least for now. However, if the right person with the right offer steps forth, Marchionne could let Viper go and along with it the car line which has cast its halo shadow over the Dodge brand for nearly two decades.
The Chrysler Viper is the most aggressively brutal slice of Americana ever to hit these shores.