Reports GM Could Stay Out of Early Bidding for Chrysler

According to reports from Reuters, General Motors (NYSE: GM) is not likely to make a first-round bid for DaimlerChrysler's (NYSE: DCX) Chrysler unit. The reports said GM is more likely to watch from the sidelines and may consider buying various Chrysler assets that buyout firms do not want. With GM staying out of early bidding, this would leave auto-parts supplier Magna Intl. (NYSE: MGA) and various private equity firms as the bidders when proposals are due Friday.

Dow Jones Reports Magna Int'l (MGA) has Contacted Major Labor Unions as Part of Due Diligence Process For Possible Acquisition of Chrysler (DCX)

Dow Jones report says Magna Int'l (NYSE: MGA) has contacted major labor unions as part of the due diligence process in a decision on whether or not to bid from DaimlerChrysler's (NYSE: DCX) Chrysler unit.
The report cites Canadian Auto Workers President, Buzz Hargrove, saying Magna has entered into discussions with the union regarding the study of Chrysler.

Analyst Notes Rumors Magna International (MGA) Could Be Interested in Chrysler group

In a note this afternoon from KeyBanc on Magna International (NYSE: MGA), analyst Brett Hoselton notes that a source at Toronto's Financial Post said MGA may be considering acquiring the Chrysler group from DaimlerChrysler (NYSE: DCX). The analyst views this as a low probability event.

Magna International is an auto-parts maker based in Ontario.