Chrysler’s management team announced a shakeup on Monday as two recently appointed CEOs have left the company. Fiat Group SpA CEO Sergio Marchionne, who took over control of Chrysler in June, also announced that they are splitting the Dodge brand into two groups — cars and trucks.
Peter Fong, president and CEO of the Chrysler brand and Michael Accavitti, president and CEO of the Dodge brand have both abruptly left the company. Fong left for personal reasons, while Accavitti left to pursue other interests, according to a Chrysler statement. Sales of Chrysler Group LLC vehicles (Chrysler, Dodge and Jeep brands) have …read more

Despite hopeful rumors that Chrysler had changed its mind about closing down a plant in Sterling Heights, Michigan, Chrysler Group LLC and Fiat SpA CEO Sergio Marchionne has confirmed the plans to shut down the plant. The plant, which will be completely shut down by the end of 2010, employs 1,300 workers.
In the two years leading to Chrysler’s April 30th bankruptcy filing, Chrysler shed 35,000 jobs in an attempt to cut costs as Chrysler and other automakers feel the heat of the recession. Hundreds of workers and their families turned out to rally against the closure of the plant and …read more

While General Motors and Chrysler are both in the midst of bankruptcy and their futures are in doubt, Ford Motor Company has been relatively healthy. Over the weekend, Ford received honors from the Ideal Vehicle Awards.
The awards, which are based on research by AutoPacific, take into account what vehicle owners think of their automobiles.
Said George Peterson, AutoPacific’s President: “In today’s economy, car buyers take many factors into consideration – styling, safety features, fuel economy and more. IVA winners deliver the most of what consumers are really looking for in their vehicles.”
Ford won the award for the top-rated mainstream brand. It …read more

Lee Iacocca, regarded as one of the best CEOs of all-time due to his work with Chrysler in the 1980s, says that General Motors should try to pay back the United States federal government as soon as possible.
Why?
“They’re on you day and night,” said Iacocca to the Associated Press. “Their oversight is just too extreme. That’s why our 10-year loan, we paid it back in three years. We couldn’t stand the government. The bureaucracy kills you.”
Many businesses that have received federal bailout have used that same logic. In the financial industry, where companies received billions of dollars in bailout funds, …read more

The current national economic climate has forced a number of large corporations to file for bankruptcy including Chrysler, General Motors, Six Flags and Eddie Bauer. While it may make sense for these corporations to keep quiet during bankruptcy proceedings, the opposite is actually the reality. After filing for bankruptcy, companies need to actively and powerfully launch marketing campaigns.
The main reason that marketing is so important to these companies is to downplay the bankruptcy and make it seem like everything will be just fine. To the average consumer, “bankruptcy” is a very scary word and could lead to confusion and distrust …read more

If you are looking for a new car, you might be able to find a startlingly good deal at your local Chrysler dealership this week. According to Chrysler officials, about 800 dealerships nationwide have been informed that they will no longer be able to sell new cars after next week.
 
Fortunately for the bargain hunter in need of a car, this means that you can expect huge discounts from car retailers who need to get rid of their new cars before they are stuck with them. Chrysler, Jeep, and Dodge vehicles are all expected to receive these discounts. Also ending this …read more

Chrysler is all set to sell most of its assets to Fiat and wanted to complete the deal prior to this weekend. However, that’s not happening after the deal between the two companies ran into a roadblock.
A threesome of Indiana construction and pension funds will fight the deal in a court of appeals on Friday. The three funds believe that the deal between Chrysler and Fiat is unfair in favor of unsecured stakeholders over secured debtholders.
The three Indiana funds in question are the Major Moves Construction Fund, the Indiana Teacher’s Retirement Fund and the Indiana State Pension Fund.
While the three …read more

Troubled automaker Chrysler has just submitted proposals to the U.S. Department of Energy worth a total of $448 million. These proposals outline Chrysler’s plan to research the technology that would make producing a fleet of electric vehicles and plug-in hybrids possible.
If the proposals are approved, Chrysler will pay $224 million and would invest in a new technology and manufacturing center in Michigan that would be dedicated to the development of these vehicles. The complex should be complete by 2010 and would be capable of producing upwards of 20,000 cars each year.
Bankrupt since April 30, Chrysler hopes to turn its fate …read more

Chrysler retired salaried workers were afraid their current healthcare benefits would not transfer to the new company that is being formed by the sale of Chrysler to Fiat. A group representing the retirees asked permission to form a committee to take part in the Chrysler bankruptcy process, but U.S. Judge Arthur Gonzales denied the motion for the committee on Thursday.
The attorneys for Chrysler said the committee wasn’t necessary because benefits would continue under the new company. And though that’s not guaranteed, Gonazles agreed that the committee wasn’t necessary as the decision about the benefits would be made by the Fiat …read more

Ford Motor Company, the automaker based in the United States, has made almost $1.5 billion by selling 300 million shares. With a price tag of $4.75, Ford says that the money raised will help the company make the needed adjustments in its business model to once again be able to make a healthy profit.
Compared to the rest of the automakers in the United States, Ford has been a shining beacon of hope. While companies such as General Motors and Chrysler make headlines for the wrong reasons, Ford has been able to survive without any federal bailout money. Most industry experts …read more