Report: Chrysler wants to shed units

AUBURN HILLS, Mich., Aug. 29 (UPI) -- U.S. automaker Chrysler LLC has proposed shutting down or selling its non-core businesses, a published report said Wednesday.

The newly independent Auburn Hills, Mich., company has proposed in its contract talks with the United Auto Workers shedding its Mopar unit, a maker of high-performance and specialty auto parts, and Chrysler Transport, which manages deliveries of supplies to Chrysler plants, The Wall Street Journal reported.

The UAW opposes the divestitures, people familiar with the matter told the newspaper.

Mopar and Chrysler Transport together employ almost 1,300 workers.

It was unclear if the asset divesting would be part of the final UAW agreement, the newspaper said.

UAW and Chrysler representatives declined to comment.

Chrysler said in its February restructuring plan it was considering the sale of non-core businesses, including transportation services.

A sale or divestiture would put Chrysler, controlled by private-equity firm Cerberus Capital Management LP, along the same path as rivals General Motors Corp. and Ford Motor Co. The two have recently sought to shed assets and build up cash as they seek to shore up their North American auto operations.