Chrysler plan to Congress

[Intrepidation]

We've already seen GM and Ford issue their pleas for government loans, and now it's Chrysler's turn. The only privately-owned automaker of the three released a 13-page document outlining the aid it seeks from the Feds and how it plans on spending our hard-earned cash. If you want to read the full text, it's available after the jump. But the condensed version follows.

Chrysler is requesting a $7 billion "secured working capital bridge loan" by December 31st, citing the collapse of the light-duty vehicle market, the U.S. financial crisis and the global downturn in the economy as reasons it needs cash. It estimates by the end of the year it will only have $2.5 billion in working capital in the bank and that's not enough to keep the lights on through January.

The Cerberus crew is touting its partnerships, including those forged between Nissan, along with future plans to share platforms, components and "factory rationalization." It's also citing more employee cutbacks, an annual salary of $1 for CEO Bob Nardelli, and lack of bonuses for 2009 as steps the automaker has or is taking to keep costs at bay.

The section on "Providing Cars and Trucks People Want to Buy" covers plans to bring 24 major products to market between now and 2012, including a range of hybrid and electric vehicles covering "Neighborhood" EVs, City EVs, Range-extended EVs and a battery-powered EV. The latter will be assigned to government and business fleets for evaluations purposes in 2009, with sales supposedly beginning in 2010 and 500,000 examples being produced by 2013. For 2009, 73% of Dodge, Jeep and Chrysler vehicles will boast improved fuel economy over their current counterparts, some of which will be Flex-Fuel capable and the automaker is on target to offer 50% of its fleet in FFV guise by 2012.

There's no mention of consolidating, selling or killing brands, further employee cuts or the reduction of Chrysler's bloated dealer network. We get the impression that Nardelli and Cerberus are saying "We've done all we can, we just need some cash." But draw your own conclusions – if you dare – after the jump.

http://www.autoblog.com/2008/12/02/chrysle...d-off/#comments

[Camino LS6]

They may get crucified over this.

[Sixty8panther]

Seems reasonable to me.

Nothing seems to point to delusional or outright stupid.

Foolishly optimistic?, maybe a few select parts.

[Camino LS6]

The problem is that next to Ford's and GM's plans, this one looks to be lacking.

Given the politicians' desire to scold...

[Satty]

Chrysler wants taxpayer dollars to strengthen their ties to Nissan? I doubt thats going to go over well.

[CMG]

Chrysler wants taxpayer dollars to strengthen their ties to Nissan? I doubt thats going to go over well.

Yeah, that's what I read!

Chrysler wants $7,000,000,000 to strengthen their ties to Nissan!

LOL

[BrewSwillis]

Chrysler wants taxpayer dollars to strengthen their ties to Nissan? I doubt thats going to go over well.

I believe that is intended to show how it plans on getting small cars out quickly, and how it already has some future business planned:

Chrysler continues to aggressively pursue strategic alliances and partnerships.

Examples include our manufacturing agreement with Nissan whereby Chrysler will provide 100 percent of Nissan's full size truck manufacturing in North America beginning 2011. At the same time Chrysler will purchase a compact, fuel efficient car from Nissan for global markets beginning in 2010. Chrysler also became the sole supplier to VW for all its Minivan production in North America. Chrysler has also entered into alliances with suppliers to develop innovative powertrain technology to support improved fuel economy.

[smk4565]

I don't think Chrysler has a future because their products are so uncompetitive. They also lag in fuel economy, interiors and reliability. The 300 is old news now and not selling, Jeep still has name recognition, but sales are slow, the Caravan and Ram don't make a company. Cerebus should break up the company and sell it in pieces. Sell the Ram and the factory to Nissan, etc.

[Intrepidation]

I don't think Chrysler has a future because their products are so uncompetitive. They also lag in fuel economy, interiors and reliability. The 300 is old news now and not selling, Jeep still has name recognition, but sales are slow, the Caravan and Ram don't make a company. Cerebus should break up the company and sell it in pieces. Sell the Ram and the factory to Nissan, etc.

Chrysler is working on new vehicles, which includes the new LY cars that will get better fuel economy, 8-speed automatics, and the all-new Phoenix V6 engines. The Phoenix series will replace all of Chrysler's other V6 engines, and be one of the most advanced engines in the world. Project D is going ahead, and they have a deal with Nissan to get a small, sub-Caliber car for the US market. There's also one of the 3 EVs which they plan to get to market, as well as redesigns of the Durango and GC (which will share a common platform).

Please, do some research before spewing out garbage. It saves the rest of us the time to correct you.

Edited December 4, 2008 by Dodgefan

[smk4565]

Those cars don't arrive for another 2-3 years, Chrysler may not make it that long. If the products are so great and the future looks bright, Cerebus should bail them out, not taxpayers.

[A Horse With No Name]

Cerebis isn't going to and things are going to get very, very ugly in Toledo, OH if the Jeep plants close.

Think about the people that are about to get out of work and the massive wad of absolute utter $h! that is about to fall down on this country, dude.

You (smk4565) seem almost happy that Chrysler is going by-by. While I'll admit Chrysler cars aren't my thing, I do believe in an open market and free competition. Killing off the domestics will mean much less competition and much less need for the Asians and Euro's to build solid, enjoyable cars.

Chris

[CMG]

I don't think Chrysler has a future because their products are so uncompetitive. They also lag in fuel economy, interiors and reliability. The 300 is old news now and not selling, Jeep still has name recognition, but sales are slow, the Caravan and Ram don't make a company. Cerebus should break up the company and sell it in pieces. Sell the Ram and the factory to Nissan, etc.

The new Ram isn't competitive at all... and neither is the best selling minivan.

Have you thought HUMMER also has "name recognition" but sales are also "slow"? LOL

Helloooooo?!?!

The economy isn't the brightest smk4565, and neither are.... (must resist! hahaha)

I'm thinking selling MORE domestic companies to foreign interests is NOT in the best interest of your economy, but who am I to judge?

LOL

Rethink, and post again!

[regfootball]

they need the 7 billion so nardelli's golden parachute far exceeds the one home depot gave him