DaimlerChrysler Sees Bidders and Excludes Kerkorian

Washington DC April 11, 2007; The AIADA newsletter reported that DaimlerChrysler AG said its executives will meet in New York this week with bidders for the German automaker's Chrysler unit, but it appears that billionaire Kirk Kerkorian's Tracinda Corp., which is interested in both the automotive business and Chrysler financial, isn't among those invited.

According to the Wall Street Journal, people familiar with the matter said Tracinda isn't being taken as seriously as the other bidders so far because it is behind in the process and has asked for terms that other bidders haven't requested.

Tracinda asked Chrysler to shoulder a share of the U.S unit's $15 billion in unfunded pension liabilities and retiree health care costs. Tracinda also sought exclusive rights to conduct due diligence for 60 days, but Chrysler sees this as too long and states that other bids are more advanced and better than Tracinda's offer.