GM may buy Chrysler

GM is reported to be in preliminary talks to buy Chrysler:

NEW YORK/DETROIT (Reuters) - General Motors Corp. (GM.N) is in preliminary talks to buy Chrysler, the struggling U.S. arm of DaimlerChrysler AG (DCXGn.DE) (DCX.N), a source familiar with the situation said on Friday.

The talks, described by the source as exploratory, were first reported on Friday by the trade journal Automotive News.

What a sad state the US auto industry has come to. Ford is near bankruptcy. GM isn't far behind. And Chrysler can't make it even when it's being managed by the Germans.