Business: AMC Liaison

A French connection—maybe

Can putting together two weaknesses make a strength? Profit-pinched American Motors Corp. has been openly looking for a foreign carmaker with which to form some kind of partnership. Last week AMC revealed the company that it is focusing on—not, as rumored, Peugeot, but the French government-owned Renault—and the terms of a "proposed affiliation" that left a great deal for AMC stockholders to desire.

The pact is very tentative: basically, a commitment to try to work out a formal deal. If concluded, that deal would combine the two companies' selling efforts in the U.S. (American Motors cars would appear in Renault...

Want the full story?

Subscribe Now


Learn more about the benefits of being a TIME subscriber

If you are already a subscriber sign up — registration is free!