Chrysler loses $4 billion

But the automaker claims it's finally turning a corner

Chrysler reported that it lost $4 billion since exiting bankruptcy protection last summer, but CEO Sergio Marchionne says the company did turn a profit in the first quarter of 2010 and could break even this year. Market share in both Canada and the U.S. were also up from the last quarter. A big chunk of the loss ($2.1 billion) was attributed to a payment to the United Auto Workers’ health care fund. Chrysler still faces a tough road as it continues to reposition itself and merge operations with partner Fiat SpA.
Marchionne, who also acts as CEO of Fiat, said the company plans to market the Jeep brand globally, integrate the Lancia and Chrysler brands with 18 new models and launch an Alpha Romeo branded SUV in North America in 2012. The first Fiat car under the partnership, the 500, is slated to go on sale in the U.S. later this year.

Wall Street Journal

Looking for more?

Get the best of Maclean's sent straight to your inbox. Sign up for news, commentary and analysis.