Automotive Update: Third Quarter 2009Deloitte Corporate Finance LLC |
This quarter’s Automotive Update, produced by Deloitte Corporate Finance LLC (DCF), summarizes the most recent transactions along with information on the most active buyers, current transaction valuation multiples and an overview of the public market’s perception of the industry.
This quarter’s highlights include:
- The 2009 seasonally adjusted annual sales rate of 10.2 million through Q3 is untenable for the domestic manufacturers, as most are not currently structured to realize a profit at current sales volumes according to J.D. Power and Associates.
- An industry turnaround is underway, as U.S. automotive industry’s breakeven point is anticipated to be approximately 11 million vehicles in 2010, down from 13 million vehicles in 2009, according to a recent study published by J.D. Power and Associates.
- Despite a depressed M&A environment in 2009, the revival of M&A activity is expected to remain largely strategic, with investment in core business lines and technology driving corporate development strategies in 2010 and beyond.
Download the Automotive Update below.
Automotive Update
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