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Posted by Will (in IL) on Monday, October 20, 2008 at 09:50:21 :
Monday, October 20, 2008
Transmission manufacturer ends deal with Chrysler
Associated Press
TIPTON, Ind. -- German manufacturer Getrag is without a primary customer for the transmissions it expected to make at a new factory in Tipton.
Chrysler LLC terminated a financing options agreement with Getrag over the weekend, the company said. Indiana economic development officials hope Getrag can find a new customer soon for dual-clutch transmissions that were to be made at the $530 million factory.
The failure of the joint venture has left Chrysler without its U.S. source of fuel-efficient transmissions. The Tipton plant was expected to produce up to 700,000 transmissions a year. And it comes just weeks after Chrysler sued Getrag, alleging that it misrepresented its ability to secure financing to build the Tipton plant.