By MARY FERGUSON TORONTO (UPC) — Chrysler Corp. president Lee Iacocca said Thursday the three American auto makers would be forced to merge by the 1990's if high interest rates were allowed . restricting economic growth. Iacocca told reporters competition in the auto industry could be wiped out by President's Ronald Reagan’s “disastrous” tight money policy, which he said has kept interest rates too high and restricted con- sumer spending. “By 1985 to 1990 there will be an amalgamation of the three American companies. No question about it,” Iacocca said. He said “There is a confluence” in the auto industry that could result in “five major auto holding companies in the "90’s and that will be it.” “We would need three or four black (profitable) quarters before we would talk amalgamation,” he said. LOSING SHIRTS “It's difficult to talk about merging with anybody when to continue a Sunday News; Nevennber't 1981 everybody is losing their shirts.” Hours after Chrysler announced a third quarter loss of $149 million, Iacocca told the Luncheon that the American automaker had survived by “pulling «itself up by the dootstraps.” “We are ready to go. Unfortunately, the economy is not.” The American executive said the banks “should ‘tilt money away from those whose investments create no jobs, and toward those which do.” The U.S. Federal Reserve Board and the. Bank of Canada should “establish a policy of informal credit guidance of credit con- servation. They should nudge the banking com- munity into supplying credit at more favorable rates to job-creating industries such as cars and housing.” TAX COMMODITIES Iacocca said the U.S. government could lower its budget deficit by imposing user taxes on all com- modities except the essentials of food and housing, slap short-term taxes on consumer items and increase surcharges on imported oil. Fast, foolproof, Super-accurate The first to have the Car-O-Liner on the North Shore, Peter Brand Motors is a leader in auto body repair with the most modern equipment And experienced in operating it No matter what model car you own, bring your bodywork to us for the best service on the North Shore Insurance Claims and Private Work Peter Brand Motors 1519 Clyde Ave . West Vancouver 922-3231 Empire Club. But, the most urgent step the Reagan administration must take, -he said, would be to make credit available for the purchase of cars and housing. “There's plenty of demand for automobiles,” he said. “The pent-up demand for new fuel efficient cars is growing higher every year. “People need new cars. All we have to do now is get out of the way of that demand and allow’ con- senting adults to engage to commerce.” will flx it Come in fora Nor Est ‘DRIVE IN SERVICE 6 DAYS A WEEK Just of Pemberton 1175 Weat 14th St. NV Mon.-Fri. 8:00 - 6:30, Sat.6:00-3:30 - Ford. Motor Co. o! Looking at the world through a foggy windshield? It is not only inconvenient. its dangerous Your car heater won't last forever if you are getting Into your car on these cooler fall mornings a finding that your windows will not clear up, it could well be due to a leaking heater This has the effect of a steaming kettle beneath your dashboard, and no amount of wiping and fiddling with your defroster heater check-up and enjoy clear sailing this fall and winter We carry a full line of new heaters Radiators 984-0374 Ltd. reported Wednesday a consolidated after-tax loss of $57.8 million, $6.97 per share, for the nine months of 1981 compared with a loss of $51.8 million or $6.24 -per- share in the same _ 1980 period. Consolidated net sales for the period were $5.6 billion, © up by $895 million from the same 1980 period. The consolidated after-tax : loss in the third quarter was $33.1 ‘million, or $4 per share, compared with a third quarter 1980 after-tax profit of $300.000. Consolidated net sales in the quarter werd $2 billion, up 13 per cent or $225 million from the same 1980 period. - The deterioration in after- tax income reflected pri- marily lower income tax recoveries against operating losses in Canada in 198! and income tax recoveries recorded in 1980 relating to prior year’s losses in South ° Africa and Australia, a spokesman said. Sales by Canadian opera- tions in the third quarter i 1176 Weet tan St NV "were: $1.3. billion, : up $59 thillion from 1980. Sales of the company’s subsidiaries in Australia, . New Zealand and South from $12.95 Monthly Rates 980-1515 708 Marine Dr. were a record $759 million; up 28 per cent from last- year, the spokesman said. _ SERVICE: CENTRE. OMOTIVE INDUSTRY check this out: yw Change oil and filter, lube chassis Check all levels and fluids, safety inspection of wipers, belts and hoses, check exhaust system, pressure test cooling system and check antifreeze level. Mount and balance snow tires Check tire pressures and tire wear, inspect valves. ™ Check Front & Rear Brakes Check all braking systems, service and adjust if needed. Full ignition and tune-up Includes scope test, ignition, reptace piugs, etc., service emission system, test charging system, change fuel filter and air filter if re- quired. Front End Alignment Check front end suspension, adjust steering box, center steering wheel, road test Wash and vacuum Steam clean engine if required: lube all door hinges and focks, all done by qualified trained mechanics plus parts : & fluids (CBC repairs full collision repairs . }3l toreign & domesti 1 sanguin blvd ‘ undercoating & we eran 4 4 i tl | WITH ETC! ? , a § a Ritchie Service Centre 1525 Welch Street, N.V.