i've been told quite a few times within the last 48 hours that mitsubishi was going to be going out of business real quick.

i had no idea they were in trouble! i mean, i could figure out real quick that no one wanted to spend 38 grand on an Evo, but i had thought that their eclipse and lancer lines were doing pretty decent.

where did they go wrong, and when are they going to finally fold (or be baught out?)

 

The problem is they aren't making any money on their higher volume cars. They loose money almost with every sale, then they are incentivizing the crap out of them to move them off the lots.

Mitsu has had crappy resale value for at least the last 10 years, that's just the icing on the cake I guess.

 

The dealership that my mom bought her Mazda 6 from also handled Mitsubishi.

Due to how upside down she was in the Cavalier, they were really trying to push her into a Mitsubishi Galant. Besides being a hideously ugly car (almost makes the Malibu look nice............ almost), the build quality was attrocious. The paint looked like a semi gloss finish. There was this awful plastic panel warping where the rear bumper cover met the metal body (this was on every one we saw). The plastics on the car did not match the paint on the metal parts. The headlights and taillights had to be some of the ugliest on the market.

Yes, they are cheap............ and look it.

After looking at the Mazda 6, my mom would have bought a Focus before she would have been seen in something as awful as that Galant.

I fully expect Mitsubishi to get out of the car business in the near future. If and when that happens, what will DXC do???

 

Mitsubishi lost a ton of money on their financing. Remember all their ad campaigns geared at young people and the promise of no payments for a year and 0% financing. I've read they lost a ton on that promotion.

 

really?
wasn't some of that money from when they pulled their racing program?

 

I heard that Dalmier-Chrysler(the Chrysler people mainly) gave some bail out money and bought a larger stake in Mitsubishi(Chrysler before the Mercedes take over owned part of Mitsubishi) Then all the stockholders of Dalmier-Chyrsler became really upset and wanted the heads of the CEOs over this whole matter. Or that's what I've heard. I could be wrong though.

 

DCX owns 25% of mitsubishi motors.

 

Doesn't help that the brass at Mitsu was embroiled in a HUGE scandal not too long ago....but I think they will survive. Think about it, it really takes A LOT for a car company to go out of business....

 

DC pulled the plug on Plymouth, and GM olds...wouldnt be hard for DCX to pull the carpet and backing of Mitsu from under them and go belly up..I know I know have DCX buy out Mitsu motors totally and remane it Plymouth

 

Theres alot more to Mitsubishi then the automotive side. DCX refusing them finacing won't decide their demise. That already happeneded and they got the 4 billion elsewhere.

Drove a Ralliart awhile ago--nice car.

Still I have to wonder.......

 

I don't think you guys realise just how GINORMOUS Mitsubishi Corp is. Believe it or not, but the Auto unit is just a small piece of the Mitsu Corp's revenue.

The only way Mitsu Auto is going out of business is if Mitsu Corp as a whole is in trouble. Not saying that can't be the case, but it's unlikely.

http://www.mitsubishicorp.com/en/about/index.html

 

New gen of mitsu cars riding on a joint platform should help them a bit. We had a new 00 galant, damn nice car. the new galant looks good, cept the front end, argh, the previous gen diamante was great classy looking, but didnt have enough power.

 

except the division can be shut down and/or sold off.

just look at daewoo for an example of this.

 

http://www.detnews.com/2005/autosins.../C01-50450.htm

http://www.aiada.org/article.asp?id=23970

 

exactly...though as part of a bigger company I think DCX onws just the 25% of the car devision..