Chrysler will be American on outside, lots of 'Fiat' on inside

November 4, 2009 - 3:21 pm ET

DETROIT -- Chrysler Group's new vehicles will be American on the
outside with a lot of Fiat on the inside. In a wide-ranging presentation
today, Chrysler executives unveiled a two-pronged strategy for the next five
years. The U.S. automaker will rework many current vehicles next year while
working on new vehicles with Fiat powertrains and platforms for the
following few years.

Chrysler's dismal U.S. sales in October -- down 30 percent, for a 22nd
straight month of decline -- underscored the urgency to improve the group's
vehicles.

"There is no 'business as usual' at Chrysler," said Chairman Bob
Kidder. "There is an incredible commitment and energy for change."

Here are some product highlights unveiled so far in a scheduled
seven-hour presentation that began this morning:

In 2012-2013, the Dodge car brand plans:

• A new vehicle for North America in the C segment, which encompasses
cars such as the Ford Focus. The car would be based on a Fiat platform.

• A hatchback smaller than the C vehicle, imported from a Fiat
factory.

• A new sedan on a Fiat platform to replace the Avenger sedan.

New Dodge crossover

In the meantime, Dodge plans a full-sized seven-passenger crossover
for the fourth quarter of 2010. The brand also plans updates next year for
the Avenger, Journey crossover, Caravan minivan and Charger muscle car.

In addition, production of the Dodge Viper will end next summer, and
an unnamed sports car will be added in 2012.

The Dodge brand will pursue a new lifestyle mission, de-emphasizing
its traditional pitch to performance-minded males.

This leaves the new Ram truck brand to build a brawny image for pickup
and work-vehicle enthusiasts. The Ram might even produce a heavy-duty
18-wheeler, said Ram brand CEO Fred Diaz.

But the Chrysler Group's larger challenge in the coming years is to
meet the federal fuel economy standard of 35.5 mpg for the 2016 model year.
That's where Fiat engines and powertrains come in.

Chrysler will use a Fiat diesel engine along with a 1.4-liter inline
four-cylinder. The inline-four will appear first in the U.S. version of the
Fiat 500 in the fourth quarter of 2010.

Chrysler will align its engineering organization to Fiat Group, making
the most of common platforms, systems and components between the two
companies, said Scott Kunselman, senior vice president of Chrysler Group
engineering.

Shared platforms

By 2014, Chrysler will share three platforms with Fiat, increasing
Chrysler's average models per platform from about two in 2010 to three in
2014. During that period, average volume per platform will increase to
305,000 units from 125,000. In the process, four platforms will be
consolidated, Kunselman said.

While Chrysler's task ahead is huge, CEO Sergio Marchionne tried to
allay fears about the company's finances.

Chrysler has improved its cash position since Fiat S.p.A. took the
company out of bankruptcy in June, said Marchionne, who also is CEO of Fiat.

"Some of you have been surmising we're burning through cash," he told
the assembled analysts and reporters. "This is not true."

The company had $5.7 billion in cash on hand at the end of September,
up from $4 billion when Fiat took over in June.

Rick Kranz, Jason Stein, Chrissie Thompson and Bradford Wernle
contributed to this report

 

I hope it all works. I'd hate to see Chrysler disappear. Just
wouldn't seem right.

 

<snip>

But I don't *like* the outside of any of the current Chrysler/Dodge
vehicles.

Perce

 

I like the looks of the Avenger, Sebring and Charger. Watch 'NCIS",
they use Chargers exclusively, pretty neat.

 

NCIS Los Angeles


LL Cool J drives a SRT Challenger


watch some old re-runs of NCIS from about 3-4 years ago and you'll see them
driving a Dodge Stratus

 

Yes, at least one show has some "good" cars to drive! The first couple
of seasons they were driving Intrepids, then moved on to other Dodge
nameplates. Love it when Gibbs drives the hell out of what looks like a
Charger with a Hemi!

 

Another update for the minivans? They just changed them two years ago! No
wonder American car companies can't be competitive...they feel the need to
re-invent their car models every other year...

Wesley