The Progression of Chrysler

stever

Glad to see one company appreciates the value in older brandnames (don't get me started on the MKS, the CTS and their ilk).

"There are bets being taken everywhere," Manley said of the expectation Liberty will be dropped and Cherokee will be the name used worldwide, demarcating it as a stepping stone for buyers to progress to the Grand Cherokee.

"It certainly is a very, very well-known name. People who had Cherokees remember them incredibly fondly," Manley said. "It has huge name recognition and a big following."

Storied Jeep nameplates are poised for return (Detroit Free Press)

stever

"Jeep's biggest challenge in 2012 was keeping up with demand. Adding a third shift at its Jefferson North Assembly Plant in Detroit in November helped. It is exploring ways to expand Wrangler production in Toledo."

Chrysler's Jeep brand sold 701,626 SUVs globally in 2012, its best year ever (Detroit Free Press)

andre1969

I like the name Cherokee, but wonder...is it politically incorrect nowadays? Chevy took a lot of flak way back in 1959 for calling a truck "Apache". Isn't "Cherokee" sort of the same wavelength?

I'm surprised names with "Grand" in them still work. I associate them with the 1970's mainly. "Grand Prix", "Grand LeMans", "Grand Marquis" and if you get a little sloppy..."Gran Torino", "Gran Fury".

But, I guess the Grand Cherokee has done well enough over the years, that the name hasn't been tarnished.

stever

It's a storied name that's been "borrowed" by a lot of companies. Not as bad as that DC football team or the Cleveland mascot if you ask me.

In other news, "Fiat, Chrysler and Guangzhou Automobile Group Co. are getting closer to reaching an agreement to produce Jeeps in China for the Chinese market, an Italian newspaper reported Sunday."

Fiat, Chrysler deal to build Jeeps in China nears (Detroit Free Press)

stever

Chrysler reports $1.7 billion net profit for 2012 (Detroit Free Press)

stever

The Fiat-Chrysler group released a new product plan for the North American market Wednesday that calls for the introduction of 47 new or significantly refreshed models over the next four years — including six Alfa Romeos.

Fiat-Chrysler plans to introduce 47 new or refreshed models over four years (Detroit News)

stever

"Chrysler Group told analysts on Wednesday that it plans to add five additional Fiat models to its U.S. portfolio and that it has canceled several Fiat-based models that had been slated to be sold in the United States as Chryslers and Dodges.

The re-engineered heavy-duty Ram and chassis cab have been pushed back to 2014, one year later than originally planned. What is believed to be a compact, front-drive, Fiat-based van has been delayed one year, until 2015. The truck is slated to compete with the Ford Transit Connect."

Chrysler Group Shakes Up Future Vehicle Strategy

stever

"The federal safety agency issued a recall request letter proposing that Chrysler recall approximately 2.7 million Jeep Grand Cherokee in model years 1993 to 2004 and the Jeep Liberty in model years 2002 to 2007 to fix fuel tanks that could leak and cause fires in rear-end collisions.

“Chrysler Group has been working and sharing data with the Agency on this issue since September 2010,” Chrysler said in a statement. “The company does not agree with NHTSA’s conclusions and does not intend to recall the vehicles cited in the investigation. The subject vehicles are safe and are not defective.”

Chrysler rejects feds request to recall millions of Jeeps (mlive.com)

stever

"Federal safety regulators have asked Chrysler to recall the 1993-2004 Jeep Grand Cherokee and 2002-'07 Jeep Liberty. Last June, NHTSA expanded its investigation into Chrysler fires and upgraded the matter to an engineering analysis, citing 15 deaths and 41 injuries allegedly caused by rear crashes in some Jeep models. The focus was originally on the 1993-2004 Jeep Grand Cherokee, but the investigation now includes 1993-2001 Jeep Cherokees and 2002-'07 Jeep Libertys."

Chrysler Refuses To Recall 2.7 Million Jeeps, Despite Pressure From Feds

Next up - arguments over bean-counting the cost of a recall vs the cost of a wrongful death suit.

berri

I think Marchionne is doing a good job resurrecting Chrysler, so I hesitate to second guess his decisions. I also don't know if he really wants a dragged out court battle, or is looking to negotiate a smaller recall with less financial repercussions. However, I'm not sure about this decision. You can win a battle (in court), but lose the war (consumer perception). Ram and Jeep are leading Chrysler's turn around. Court battles can go on a long time and we're already seeing pictures of burning Jeeps and burned out hulls in the media, and as the battle drags on I suspect injured consumers (especially children) from accident fires (related or not) may make it into this media coverage. I think more than a few consumers are leery of Chrysler Corp. quality and longer term durability, so this media coverage could reinforce those views and also affect buyers who are undecided. I know GM once got a court victory on pick up truck recalls. It saved them some money I suppose, but Ford still leads in sales. Speaking of the latter, I believe they initially resisted a recall on the Explorer blaming Firestone, but quickly retreated and replaced the Firestone tires on their own (and Firestone is no longer a major tire brand in the marketplace).

Generally, unless NHTSA made serious errors, substantially deviated from it's normal courses of action, or had egregious behavior, it is probably going to result in the court affirming the recall. That means appeals which will result in even more time for media coverage. If Chrysler gets a conservative judge and wins, that victory might also be Pyrrhic. Some may well perceive it as big business and corporate money trumping the little guy buyer. I doubt it will keep NHTSA from doing future recalls and may inadvertently result in NHTSA retreating to very narrow, strictly quantitative measures in future recall decisions which isn't necessarily to the industry's advantage.

stever

The scuttlebutt is that Chrysler can't afford the recall, which could run to a half-billion dollars and they are just barely hanging on by a thread as it is.

stever

"Chrysler obviously calculated the risks and benefits and concluded that the cost to repair these vehicles isn't as expensive as the potential long-term damage that could come from bad PR," said Michelle Krebs, Edmunds senior analyst."

Chrysler Backpedals, Agrees to Recall of Jeep SUVs

andres3

Ahhh, good to know they only did the right thing because they have some smarter accountants than before. Glad to know it had nothing to do with a culture of standing behind your own product.

How's Edmund's long term Dodge Dart tester's original windshield doing these days? Any better than my '95 Dodge windshield?

stever

Have you been following that saga? The latest news wasn't great.

2013 Dodge Dart: Replacement Windshield AWOL

Part of the delay is going through a warranty claim instead of filing an insurance claim.

andres3

Not all insurance claims are handled any faster. I was once with an insurance company that purposely dragged its feet for so long I was unable to get repairs started for a month after I would have liked to have gotten them started.

stever

All depends I guess. I had a windshield replaced ~2.5 years ago in the driveway by a mobile service. No deductible. It was almost 2 years before it stayed outside the garage in the rain long enough that I realized it leaks. :sick:

Reuters says Fiat is trying to buy some more VEBA shares they have an option on. Sergio wants full control.

stever

A reporter would like to speak to a recent buyer of a car from a manufacturer that is widely considered "American"--e.g. Ford, Chevy, Dodge, Chrysler, Cadillac-- who has not previously owned an "American" car. If this is you, please send your daytime contact info to pr@edmunds.com no later than Monday, July 1, 2013 no later than noon Pacific.

stever

"Hall said Chrysler is still having trouble launching new vehicles and wants to focus its investment and attention on getting right critical high-volume cars like the replacement for the Chrysler 200 that is due out next year."

Chrysler to extend production of Avenger, Wrangler, Caravan (Detroit News)

stever

"Chrysler and majority owner Fiat plan to build a new plant in Guangzhou, China, to produce Jeep SUVs, according to China’s Xinhua News.

The new plant in Guangzhou will be capable of producing 160,000 Jeep SUVs annually and represents an investment of about $774 million, according to the report.

Chrysler is likely to produce the Jeep Cherokee SUV in China.

Chrysler has been raising Jeep production at assembly plants in Toledo and Detroit."

Fiat plans to build new Jeep plant in China (Detroit Free Press)

stever

Been lots of rumors and speculation and now Chrysler files for initial public stock offering. (Detroit News)

Fiat isn't happy since they want their control of Chrysler to wind up as a merger.

stever

Chrysler's inability to get new vehicles into production and on sale is becoming a concern. The U.S. auto market is experiencing an historic sales recovery, but Chrysler showrooms contain too many warmed-over versions of old vehicles while competitors pack their dealerships with all-new models.

Everyone else is launching numerous new vehicles, said Michelle Krebs, senior analyst with Edmunds.com.

Every delay becomes more obvious and critical Krebs said. Chrysler is starting from behind because it was so badly neglectedwhen Daimler and Cerberus owned it.

Chrysler remains overly dependent on pickups, minivans, SUVs and big sedans, just like it was before Fiat's driven and charismatic chief Sergio Marchionne took charge."

Chrysler delays raise concerns (Detroit Free Press)

stever

If the IPO goes, you will be able to buy stock in the company next year.

CGC.

Which stands for Chrysler Grand Caravan.

stever

"Fiat will acquire the 41.46 percent stake in Chrysler from a retiree healthcare trust affiliated with the United Auto Workers union, which will receive $3.65 billion in cash for its stake. Additionally, once the deal closes, Chrysler has committed to giving the trust an additional $700 million.

The deal is a victory for Marchionne, who wants to merge Fiat and Chrysler and create a more competitive automaker with a broader global reach. But he has been at odds with the UAW trust for more than a year over the value of Chrysler."

Fiat reaches deal with UAW trust to buy rest of Chrysler (Reuters)

crkyolfrt

I wonder how much responsibility Marchionne can own for signing off on such a botched first year for the Dart in America? They made a number of glaring errors, but two biggies that come to mind is their most fuel efficient engine option required premium fuel in order to come anywhere close to the optimistic EPA put on the car. Plus the nationally advertised low entry price couldn't get you anywhere near that engine. And it was all compounded by an auto (the DSG) that worked miserably in real-world use. And the kicker?? That that was the only auto you could get when getting what was considered their premium engine in the quest for FE and go. Fail, fail, fail..

In the beginning, that car was supposed to have a ZF sourced, conventional 6 (or was it 7?) speed auto. Had it had that tranny, at least that would be one big negative addressed.

There is a reason you rarely see one on the road. In these parts it is an extremely rare sighting indeed..in any trim level.

stever

Steven Rattner, Obama's auto czar is tweeting "Chrysler equity value in 2009: $0. Today: $8.8 billion. Big win for UAW members and for American people"

Sergio probably enjoyed reading that one.

gagrice

Now we have only two Domestics Barely. As most of the D2 vehicles are built in Mexico or Canada. Bet Marchionne does not put up with any UAW crap.

**Chrysler has enjoyed great success under Fiat's ownership. It returned to profitability in 2011 and has been steadily improving sales and market share. Final 2013 sales figures are expected to show the company sold 2.6 million vehicles worldwide, up about 18% from 2012 and more than 70% from 2010, its first full year under Fiat's control.

The U.S. government also held a stake in Chrysler at the time it emerged from bankruptcy as compensation for the federal bailout the automaker received. But Treasury sold those shares back to Chrysler at a loss in 2011.**

stever

"The redesigned 2014 Jeep Cherokee shares a front-drive platform with several Fiat models. The redesigned 2015 Chrysler 200 and a subcompact Jeep model also share Fiat front-drive platforms with Fiat. Both are expected to debut in the first quarter of 2014. A small Ram van based on a Fiat model also is expected."

Chrysler Group Vehicles May Get Euro Flavor Under New Deal

crkyolfrt

@Stever@Edmunds said:
A small Ram van based on a Fiat model also is expected."

I'll bet that thing will do well here..that's been a huge void here for years. There are so many mini Sprinter-type vans running around England, it's the most common utility vehicle there is. Of course ours won't get the diesel options..

Ford seems to do well enough with their Transit here, but even it doesn't actually qualify as what I would perceive as a small Ram. A VW bus sorta style is what it sounds like it should end up being...maybe a tad smaller..

stever

Yeah, I think Ford was a bit surprised at how well the Transit Connect has sold. I'd be interested in a small van that got "good" mileage -- the VW microbus concept from early 2000's was way cool.

berri

So Fiat and Chrysler are now one. How many years do you give it until the Finance types spin the two off again?