Chrylser goes for less than a third of what Mercedes paid in 1999

The numbers for the Cerberus buyout of Chrysler are out and they don't make for pretty reading.

The New York-based equity group has purchased Chrysler from Daimler-Benz for a total of $7.4-billion. Taking Daimler's continuing 20% stake, that values Chrysler (including Jeep and Dodge) at $9.25-billion. In 1999, Daimler-Benz forked out $36-billion for Chrysler. That's some depreciation curve.

Two new companies have been formed from the break-up fo DaimlerChrysler; Chrylser LLC and Daimler AG, efectively returning to the status quo ante of 1999. The Cerberus investment includes taking on Chrysler's $18-billion healthcare and pensions costs, but it's sweetened a little by a $1.5-billion payout from Daimler that should clear most of Chrysler's current debts.

According to Daimler spokespersons, Chrysler and Mercedes will continue to collaborate on existing technology and purchasing agreements, but crucially, there was no mention of any future projects, meaning that Chrysler must fund its future model development programme itself.