Reuters reports:

Hyundai made a proposal to Chrysler earlier this year under which the U.S. automaker would build a truck for Hyundai based on Chrysler’s Ram truck platform… Chrysler Chief Executive Sergio Marchionne rebuffed Hyundai’s initial approach in February… saying the automaker needs to focus on its established turnaround plans under Fiat SpA. But Hyundai continues to look at truck options and could come back to Chrysler, according to two of those with knowledge of the talks, who were not authorized to discuss the matter because the closed-door discussions were preliminary.

Ram sales were down 23 percent last month, down 20 percent calendar-year-to-date, and down 24.3 percent in rolling 12-month totals. Hyundai is doing just fine without a pickup. Chrysler may have been crazy to turn down a shot at easy volume (that might have gone to Nissan), but Hyundai would be crazier still to ask a second time. After all, Volkswagen’s Chrysler rebadge, the Routan minivan, has sold only 14,580 units in the last 12 months.

Chrysler crowed over its 9.1 percent market share in its Q1 results conference call yesterday, and though CEO Sergio Marchionne refused to be pinned down on an exact time frame, an IPO this year looks more likely than ever. Similarly, BusinessWeek reports that GM’s Ed Whitacre has hinted that a Q1 profit is likely, as is an IPO in Q4 of this year or early next year. This improvement in both bailed-out automakers was underlined by former Presidential Auto Task Force head Steve Rattner, who said the two firms were “meeting expectations,” at a Detroit-area conference. But Rattner also put his expectations into some context by saying

When we did this restructuring we never expected a full recovery of our investment. If it ends up costing us $10 billion we should consider it a success. For about $10 billion we avoided economic and human calamities… I would suggest that that’s a pretty effective cost of government stimulus

That assessment is down considerably from Rattner’s last prediction, which expected a taxpayer profit on the auto bailout.

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Sergio Marchionne is still taking questions during Chrysler’s Q1 conference call, so while you wait for the latest on Chrysler’s predicament, take a look at the product end of the turnaround plan. Chrysler will launch three new products by the end of September. Between October 1 and December 31, Chrysler is re-launching 10 new or refreshed products… that’s one new launch every ten days. In the middle of the holiday shopping season, when cars are usually crowded out by more gift-able purchases. It’s going to be a Chrysler-lanche… but will anyone notice? [Full PDF presentation from today’s call here].

To say that Chrysler’s 25 percent year-over-year sales increase last month came as a surprise would be pushing the boundaries of overstatement. Chrysler’s sales and market share have been in decline for a long time, but over the past several years, the tailspin seemed to have become terminal. So, how did the Pentastar (barely) make its 95k minimum volume level and increase sales by 25 percent over April 2009? Fleet sales, for one thing: according to The Freep, TrueCar.com estimates that a full 40 percent of Chrysler’s April sales went to fleet customers.No wonder made a big deal about publicly finding Jesus on the fleet sales issue… at the end of the month (to say nothing of the conspicuous absence of retail sales numbers in its April report and massive increase in Sebring sales). And the bad news doesn’t end there. Not only did Chrysler top all automakers in per-vehicle incentives last month according to Edmunds’ monthly True Cost Of Incentives index with $3,374 on the average Mopar’s hood, they’re actually increasing incentives even further.

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Chrysler saw its sales increase 25 percent last month, for its best year-over-year performance in “almost five years,” according to the company. On the other hand, sales improved only 3 percent compared to last March’s results and only barely met Chrysler’s 95k minimum sales goal (at 95,703 units). Still, this is the best sales news the company has had since well before emerging from bankruptcy. For those who think Chrysler has a shot at survival, this is the first evidence in a long time that actually supports their optimism.

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The AP [via Google] reports that NHTSA’s investigation of the pedals manufactured by CTS that were behind Toyota’s recent unintended acceleration recall has widened to include 2007 model-year Dodge Calibers. Dodge built 161,000 Calibers in the 2007 model-year, but according to Chrysler Group complaints of sticking accelerators only cover about 10,000 vehicles built between March and April of 2006… even though all 2007 model-year vehicles were built with CTS pedals. So what’s the difference between vehicles made in that five-week period and the rest of the 2007 model-year? According to Chrysler spokesfolks:

We have data that is telling us that there were a certain amount of complaints during that time period

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One of the strangest phenomena of the revived retro muscle car wars is the renewed emphasis on V6 performance. Once derided as “Secretary Specials,” the V6 versions of the Ford Mustang and Chevy Camaro now make upwards of 300 horsepower, while earning EPA highway ratings that surpass the 30 MPG mark. But if these latter-day pony cars herald a new era of performance and practicality, the V6-powered Dodge Challenger is as retro as its 1970-again styling.

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Back in February, we took note of Chrysler’s “principled” stand on new-product secrecy, concluding:

Let’s face it: Chrysler needs buzz, hype, awareness, some kind of excitement surrounding its future generally and its forthcoming products in specific (if only in the irritating “teaser” format) almost as much as it needs anything else. Because as things stand right now,the baseline perception of Chrysler is of a dying company with nothing to offer. In this light, Chrysler’s principled rejection of hype is far more likely to be interpreted as keeping rushed semi-refreshes under wraps so they won’t be mocked to death by the time they go on sale. If that’s not the case, Chrysler has nothing to lose and everything to gain by building consumer awareness of new products. If it is, well, the truth will out sooner or later.

And apparently we’re not the only ones who think so. In fact, if the Detroit News is to be believed, literally everyone seems to think that Chrysler needs to start being more open, not only about its forthcoming products, but at every level of its business. (Read More…)

The last ten years have not been kind to Fiat’s Alfa-Romeo brand, as 2009 sales levels fell to about half their 2000 volumes. Having put Alfa on “strategic review” and stuffed it into a “brand channel” with Maserati and Abarth, CEO Sergio Marchionne has had a change of heart, and is now “determined” to build the brand into a “full-line premium carmaker.” According to Automotive News [sub]’s coverage of Fiat’s five year plan presentation, that means committing to a US presence targeting 85,000 annual sales by 2014. For a sense of scale, the Alfa brand sold a grand total of 103,000 units globally last year. And Alfa is going to have to kick ass around the world to meet Sergio’s goals. By the time Marchionne expects American Alfisti to buy 85k units each year, he wants the brand’s global sales to have increased nearly five-fold to half a million units. Ambitious doesn’t even begin to describe it…

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It’s a good thing I came across this car. There’s a point in life where one starts to prune away the excess, getting rid of the stuff in the closets and basement that hasn’t been used in thirty years or more. And I admit that’s what I had done with the Dodge Royal Monaco: it just kind of got swept away with the detritus of the seventies. If one is going to have room for  new car facts and impressions, it’s cars like this that get hauled off to the memory dump first. (Read More…)

For a moment, turn away from the uncertain prospects of Chrysler’s Fiat-directed future and consider the subject of this review as nothing other than one entry in the popular five-door hatchback segment of the North American compact car market.

That’s what I had to do, anyway, in order to rationalize driving and writing about a vehicle that a lot of folks would justifiably consider to be a loser car from a loser car company. The question is, is it really?

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Thinking about a Dodge Neon racking up 500k miles is a bit like imagining Britney Spears celebrating a golden wedding anniversary. Dodge Neons just don’t come to mind when thinking about hi-mileage cars. But with a bit of dedication and understanding, cars with a rep seem to run forever for the right owner.  Here’s a 1998 Dodge Neon R/T (no less) with 446,000 miles on it, and that was last July. And that’s with the original engine, no less, in case you were wondering. OK, there is a bit of a secret to the owners’ success: it’s their sixth Neon, so they’re familiar with all their hidden warts. (Read More…)

Chrysler fan site Allpar.com got its paws on a list that it says depicts Chrysler’s upcoming production plans. If true, this list confirms that many of Chrysler’s refreshed products won’t be hitting the streets until 2010 is nearly over, and that the debuts will come thick and fast. So don’t expect much to improve in the way of sales for Chrysler until at least December. Even then, every other TV ad will have to be for a Chrysler, Jeep or Dodge if the firm hopes to educate the buying public about these re-launches. The chances are good that Chrysler will survive until December, barring any supplier issues, recalls or further sales dips. Come December, when we have seen and driven this new generation of Fiat-refreshed products, we’ll have an idea of Chrysler’s chances of survival until 2013, when the next wave of fully Fiat-developed projects arrive. This should be interesting.

Chrysler sold exactly 399 more vehicles in February than it did in February of 2009, which would be a respectable performance if the comparison weren’t with one of Chrysler’s worst months on record. GM may be tentatively nosing its way out of the bottom of a sales trough, but Chrysler is treading water at unsustainable levels (CEO Sergio Marchionne has said he “needs” Chrysler to sell 1.1m units in the US this year). Considering that a huge amount of Chrysler’s sales release [PDF format here] is spent detailing the company’s many consumer incentives, Marchionne’s goal of turning ChryCo into a 1.1m-unit, incentive-less juggernaut seems less realistic with every passing month.

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Well, the death of the Sebring name anyway. The Detroit Free Press reveals some of the first details about Chrysler’s all-important refresh of the Sebring/Avenger, a vehicle that CEO Sergio Marchionne recently admitted (in what was surely a Lutzie-award-worthy understatement) is “not the most loved car by car enthusiasts.” The biggest detail: it won’t be named Sebring. This shouldn’t come as much of a surprise, considering that the Sebring’s issues are less related to a tepid reaction from the enthusiast market, and have more to do with the fact that even the least car-literate Americans recognize the Sebring name as a symbol for all that is wrong with America’s auto industry.

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