CHRYSLER ACCESSORIES & PARTS

Chrysler Group LLC reached a $212 million profit in the third quarter, and this can't even be compared to the $84 million net loss the company faced during the same July-to-September period last year. The Chrysler's revenue rose 19% (to app. $13.1 billion), which was driven by demand for the new and refreshed vehicles, including the Jeep Grand Cherokee, Chrysler 300, and Dodge Journey, the company introduced for the 2011 and 2012 model years. This second quarterly profit means that Chrysler is recovering after the bankruptcy, and is heading to the first annual net profit since 2005.

The global sales of the Fiat-controlled Chrysler reached 496,000 for the 3rd quarter, which is up 24% from a year earlier. The boost allowed the company to adjust the expected net income for 2011 to $600 million, up from the previously estimated $200-500 million. Chrysler also expects to generate $1.2 billion in cash flow in 2011, up from prior guidance of $1 billion. These results will also improve overall results of Fiat, which would have reported a loss without Chrysler. Analysts, however, are not that impressed by the Chrysler's profit, and are actually alarmed by debt and cash consumption of both Fiat and Chrysler. The total debt of the Italian automaker jumped to $8.2 billion at the end of September 2011 from $3.4 billion reported in June 2011. According to Fiat, the increase of debt was caused by seasonal factors and payments to Canada and the US Treasury.

Sergio Marchionne announced that positive financial results and increased sales achieved by Chrysler go in line with the plan that was laid out in November 2009. Chief Executive also stated that the company continues to be focused on both financial performance and production of quality cars and trucks.

Since the gasoline price reached the mark nearly $4-per-gallon, Chrysler added a fuel-efficient Cylinder Deactivation System to the three SRT performance vehicles. 2012 models of Chrysler 300 SRT8, Dodge Charger SRT8 and Jeep Grand Cherokee SRT8 will be equipped with engines producing more power, though burning less fuel on the highway than their predecessors. When driving on the highway, in certain conditions, the system shuts off four cylinders on the 470-hp, 6.4-liter Hemi V-8 engine.

The CEO of the SRT brand said that nowadays there is one critical question for the Chrysler brand, it is how to sell vehicles with SRT engines. The cylinder deactivation technology was the first answer to this question, it allows to increase fuel economy 13 percent on Grand Cherokee and up to 25 percent on the 300 and Charger from the 2010 versions with a 425-hp, 6.1-liter Hemi V-8.

The prices for the following vehicles are: Charger SRT8, $46,620; 300 SRT8, $47,995; Grand Cherokee SRT8, $55,295; and Challenger SRT8, $44,820. The SRT vehicles will be available at the dealership in the third quarter.

Chrysler's officials confirmed that the company successfully repaid the loans from U.S. and Canadian governments. In general the automaker has repaid somewhat around $7 billion of loans, fees and interests. This also includes company's alternative loan sources with significantly lower rates in comparison with U.S. Treasury Department. At the present moment there is a visible positive dynamics in the company's development due to several factors like recovering economy and new ownership by Fiat. With the situation like this Chrysler expects more interest from the consumers, which will enhance the automaker's positions on the North American market.

President Obama did not leave this event without attention later that day:
"Chrysler's repayment of its outstanding loans to the U.S. Treasury and American taxpayers marks a significant milestone for the turnaround of Chrysler and the countless communities and families who rely on the American auto industry,"

Fiat S.p.A. has announced that it will pay $1.27 billion to increase its stake in Chrysler Group LLC to 46 percent. The Italian automaker plans to push its holding to 51 percent by the end of the year, which would be two years ahead of the original schedule.

Fiat CEO Sergio Marchionne intends to purchase an additional 16 percent interest in the Detroit Big Three automaker in the second quarter, after Fiat pays off the loans provided by the federal treasury to rescue Chrysler two years ago. The Italian company may get further 5 percent and reach a 51 majority later this year if it meets certain targets agreed with the U.S. government. In particular, one of the requirements is that Chrysler must assemble a Fiat-derived car in the U.S. that gets 40 miles per gallon.

“Fiat, together with Chrysler, will create a stronger automobile group, with a full range of products, present in every market around the world and able to compete with the best,” Fiat chairman John Elkann said in a statement.

Chrysler announced yesterday that its US sales rose 23 percent in the first quarter of 2011 to 287,000 new vehicles. The first-quarter success gives a boost to Marchionne’s ambition of increasing Chrysler's global sales to 2 million units this year. "Chrysler is undergoing an extraordinary industrial and financial turnaround and Fiat is ready to take control, in order to bring even greater stability and strength," Chief Executive of both groups said in the statement.

Attempting to catch up with GM and Ford in production of hybrid vehicles, Chrysler will “electrify” its flagship sedan 300 in 2 years. Besides, a new hybrid minivan model will join the Chrysler 300 in 2013.

According to Chrysler CEO Sergio Marchionne, the automaker is confident about launching a hybrid version of 300 in 2013. The car is likely to be equipped with Chrysler’s new Penastar V6 powerunit, which currently sits under the hood of numerous vehicles across the Chrysler family. The Penastar V6 is expected to Make a pair with an electric motor. When it comes to hybrid vehicle, it’s natural to put fuel-efficiency higher than performance, so beast HEMI V8 engine is not likely to be used in the new 300.

The company hopes that its new take on low-petroleum vehicle will do better than previous Chrysler hybrids that were cast off soon after the automaker went broke in 2009.