Mitsubishi in Trouble

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Old Apr 23, 2004 | 08:14 AM
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Mitsubishi in Trouble

Uh-oh
Old Apr 23, 2004 | 08:24 AM
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Japan's only unprofitable carmaker
Sucks.
Old Apr 23, 2004 | 08:37 AM
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Wow... didn't know there worldwide operations were so hamstrung. Mitsu of america has been hurting from putting 20 year olds into Eclipses and Monteros and then guaranteeing they were $10k upside down in a year though...
Old Apr 23, 2004 | 08:51 AM
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Originally posted by BAN SUVS
Mitsu of america has been hurting from putting 20 year olds into Eclipses and Monteros and then guaranteeing they were $10k upside down in a year though...
Are you just saying that Mitsu gives bad financing? I don't understand what you said.
Old Apr 23, 2004 | 09:21 AM
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The funny thing is no matter how much mitsu motors is in trouble, I dont think they will ever go away unless Mitsubishi decides to get out of the auto industry. Mitsubishi is a HUGE corporation so they will always have money to funnel into the motors dept. as long as they see it as a viable division.
Old Apr 23, 2004 | 09:35 AM
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Maybe they are the only unprofitable Japanese car company because their cars are too much like American shlt. Maybe it's because they have the exact same models as Dodge who happens to be theeeee worst of American car producers.

I remember the day I popped the hood of my friends eclipse and saw a Mopar insignia on one of the belts in his car. I laughed so hard I cried, and then I just cried for him...

Lo n behold, his brand new car gave him tons of problems over the years while my 6 yr old Civic kept running with no issues... Oh yeah, and it was slow, and couldn't handle either.
Old Apr 23, 2004 | 10:15 AM
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Originally posted by mexicanpizza
Are you just saying that Mitsu gives bad financing? I don't understand what you said.
I think he was talking about fast depreciation of the vehicles
Old Apr 23, 2004 | 10:17 AM
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I got that...but why would that hurt Mitsu? Those dumb kids are still on the hook for the money.

It's obvious that their problem is on the business end mostly, if all the other Japanese makers can make cash, they're just doing something wrong. Sure it might be making crap cars, but I don't think that's it.
Old Apr 23, 2004 | 10:35 AM
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Originally posted by NZO
Mitsubishi is a HUGE corporation so they will always have money to funnel into the motors dept. as long as they see it as a viable division.
a 10B LOSS, is not a viable division, no matter how you cut it or look at it... i see mitsubishi going under a HUGE revamp or completely disappearing, because right now their business isn't working...
Old Apr 23, 2004 | 10:36 AM
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Originally posted by mexicanpizza
I got that...but why would that hurt Mitsu? Those dumb kids are still on the hook for the money.

It's obvious that their problem is on the business end mostly, if all the other Japanese makers can make cash, they're just doing something wrong. Sure it might be making crap cars, but I don't think that's it.
The Mitsu 0/0/0 thing, combined with a highly youth-oriented marketing campaign, combined with "loose" credit requirements put a LOT of people with no business financing a new car behind the wheel of a Lancer, Galant, Eclipse, or Montero. Mitsu was left holding the note on a crapload of repos and defaulted loans when people suddenly had to cough up $400 a month after having a "free" car for a year. Kids would realize the car they borrowed $22,000 to buy was now worth $13,000, and they would just not pay it until they repossessed it. Not to mention the initial hit they took by letting so many cars go with no cash in return. It was one of the dumbest corporate-level decisions in the history of the industry.
Old Apr 23, 2004 | 11:10 AM
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Does this mean the Lancer might be a collectors car soon?
Old Apr 23, 2004 | 11:33 AM
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