A group of activist dealers rejected in the Chrysler and General Motors bankruptcies is contemplating going back to Congress to seek justice after a federal audit questioned the criteria used to terminate dealers, as well as the automakers’ claims the moves were necessary to help restore profits.

The report issued today said GM failed to apply the criteria uniformly. It also said cost savings were not the reason for the dealership closings, even though GM and Chrysler told Congress the terminations would speed recovery from their 2009 bankruptcies.

The report found that Chrysler, which made decisions on a case-by-case basis, followed the criteria for targeting dealers for termination. But it criticized Chrysler for not providing dealers with an appeals process. GM, however, did not follow this criteria.

Chrysler said that same month it was offering new franchises to 50 dealers who applied for arbitration, in addition to 36 previous offers or new agreements. Chrysler terminated 789 dealers in June of 2009 and said in January that 409 had applied for arbitration.

Chrysler, in a statement today, continued to defend the terminations, calling it “rightsizing” the dealer network.
“This optimized dealer network is already contributing to improved vehicle sales for Chrysler and will be a vital part of the Company’s success as we continue to deliver outstanding products to our customers,” the statement said.

Rightsizing…hmm. Regardless of the outcome, w hope that Chrysler sticks to their plan of reopening their dealerships, maybe all of them one day.

Source: Automotive News

“For a while, it was the best-selling Chrysler-brand vehicle,” said Jim Hall, managing director of 2953 Analytics, a Birmingham consultancy. In fact, the numbers show this as fact. Chrysler will have sold more than 1.3 million PT Cruisers when production ends on July 9. That means that there is a huge following for the design – maybe enough that Chrysler should do a next-generation version.

The Chrysler PT Cruiser went on sale in the year 2000 – at the height of America’s SUV craze. The vehicle, though much smaller than any SUV, became popular for a nostalgic look, cargo space and for being easy to drive. It broke the mold for that time in automotive industry.

If Chrysler executives had followed up on the PT’s initial success, they could have turned the car into an icon for the company. Instead, they left it alone as a singular sensation that bore no relationship to any other Chrysler vehicle. That alone made it a cult favorite.

PT Cruiser also became successful as a rental car. Companies like Hertz and Enterprise have ordered thousands of Cruisers over the years to rent to customers. For now, you can check out the final PT Cruisers at dealerships near you, after that – Hertz.com.

Chrysler is working to bring back their “ENVI” division – who introduced the world to several hybrid and electric cars years ago. With help from Fiat, Chrysler’s new owner, they plan on breathing new life into those vehicle technologies.

According to Automotive News, “Chrysler’s senior vice president for powertrain technologies, Paolo Ferrero, reiterated his company’s plans to bring an all-electric Fiat 500 onto the market by 2012. He also revealed details for a test fleet of Dodge Ram plug-in hybrids and hinted that there will be a full line of electric vehicles in Chrysler’s lineup. These are the two extremes [the Fiat 500 BEV and Dodge Ram plug-in hybrid], let’s say,” Ferrero said in an interview. “We have an electrification strategy, but we cannot yet disclose it.”

Chrysler’s green strategy also encompasses alternate fuels. One popular alt-fuel, compressed natural gas (CNG), is a topic of discussion around the division. Chrysler’s parent Fiat has extensive experience in building and selling CNG-powered vehicles, something that could be transferred over to Chrysler’s future lineup.

story: greencarreports

Details are sketchy at best, but so far we know Chrysler’s Nassau will feature new exterior styling and an improved interior. The base 173 hp (129 kW / 175 PS) 2.4-liter four-cylinder engine will carry over, but the 235 hp (175 kW / 238 PS) 3.5-liter V6 will be replaced by the 280 hp (209 kW / 284 PS) 3.6-liter Pentastar V6.

The 2011 Nassau will be launched later this year, and is a welcomed upgrade to the Sebring platform. Once a popular 4-door sedan by the American auto maker, Sebring (and its twin Dodge Stratus) came under fire in their latest version – critics have bashed it for being poorly constructed and “ugly.” Poor Sebring, only trying to be a fine American automobile. Good night, sweet prince. We now welcome Nassau.

Source: WCF

This three year alliance between Chrysler and the space agency intends on creating lighter-weight materials, more dexterous, even human-emulating robots along with advanced batteries that ease drivers’ worries about running out of power during longer trips.

Both industries have been performing a variety of research for almost a year, in areas such as materials engineering, robotics, radar and energy storage technology. Already in the production phase is an infant car seat that uses video and biotelemetry technology to monitor your child’s comfort and health.

Chrysler joined up with NASA to built Redstone rockets for the Mercury project back in 1961.

But fear not, Fiat-Chrysler has appointees its first North American chief to flip this company around, Laura Soave.

Laura has her work cut out for her – according to CNN Money; “Chrysler’s sales to consumers have plunged more than 44% so far this year…Toyota’s retail sales fell less than 14%, even though Toyota stopped selling its best-selling models for more than a week in January, and has been hammered by a constant drumbeat of bad news ever since.” So yes, even the struggling bad-PR machine Toyota, which has cars that attempt to kill drivers, is doing better than Chrysler. Ouch.

Soave will be charged with leading the introduction of Fiat 500 in the North American later this year. As Head of Fiat Brand for North America, Soave will be directly responsible for ensuring that Fiat is properly integrated into Chrysler’s current North American distribution chain and she will be in charge of all marketing activities.

Sources: LeftLaneNews | CNN Money

“Fiat 500 on sale in U.S. at end of the year”

That’s 1 – 2 years sooner then we thought Fiat vehicles would be on sale at Chrysler lots in the States. Fiat may have to adapt their tiny city cars to go along with US highway safety standards and fuel economy. Still, this is very exciting news!

But fear not, sports fans – 1200 people may be out of work by year’s end – but millions of government funds are being used to give Chrysler a slot during Super Bowl XLIV night. I mean, where else did they get the cash?

“Chrysler will be the only U.S. automaker to advertise in this year’s Super Bowl, forking over millions of dollars to restore its image following its bankruptcy and the federal bailout that followed. A 60-second spot is the longest and the most expensive ad available during the Super Bowl. The 30-second spots are more common, and are selling for about $3 million each according to Dana McClintock a spokesman for CBS, which is airing this year’s Super Bowl. It isn’t clear exactly how much Chrysler is paying, but CBS said on Thursday that it was close to selling out.”

Sources: Freep | CNN Money

Fiat-Chrysler also plan on dropping Fiat’s little 500 model to the US in coming years, along with hybrid EV variants of both models.

Lancia already grabbed attention with its 2009 Geneva Auto Show debut, and is touted by Fiat as “an environmentally friendly car concept, being luxurious but accessible, spacious but compact, sparkling but frugal in consumption. At Geneva, Lancia is further enhancing its “green” credentials by presenting, as a world preview, a dual-power LPG and gasoline range. Known as “Ecochic”, the range includes the Musa and Ypsilon models fitted with the 1.4 liter twin-fuel engine producing 77 HP…”

Stay tuned, and keep an eye open on Chrysler Dodge Jeep Ram dealerships near you later this year – as Chrysler Lancias will most likely be popping up.

Chrysler has announced an extended holiday shut down at some North American factories as it retools for new vehicles to be produced in 2010. Although the shutdown will reduce overall supply, Chrysler is in desperate need of a lineup refresh. Chrysler’s Belvidere, Illinois plant will extend its holiday shutdown through the week of January 4th. The Belvidere plant produces the Dodge Caliber and Jeep Compass and Patriot, all of which are due for a refresh.

In Ontario, Canada, Chrysler will close its Brampton and Windsor plants through the week of January 11th. The Brampton plant is ramping up to produce new versions of the Dodge Charger and Chrysler 300 while the Windsor plant is preparing for heavy updates to Chrysler’s minivans. Chrysler will also add a week shutdown at its Toluca, Mexico plant during 2010 so that plan can prepare for production of the Fiat 500.

Via LeftLaneNews