Chrysler says exceeding financial targets - Dodge Nitro Forum
Chrysler/Dodge/Jeep News Find out the latest scoop here!

LinkBack Thread Tools Display Modes
post #1 of 2 (permalink) Old 12-21-2007, 07:30 PM Thread Starter
Super Moderator
rickaren's Avatar
Join Date: Nov 2006
Location: Indiana
Posts: 22,851
Chrysler says exceeding financial targets

NEW YORK, Dec 21 (Reuters) - Chrysler LLC on Friday called recent media reports about its financial picture inaccurate, saying the auto maker is exceeding most financial targets heading into 2008.

The company issued a statement after the Wall Street Journal reported that the company has slipped into a serious financial crunch just four months after Cerberus Capital Management LP rescued the auto maker. The newspaper said Chrysler Chairman and Chief Executive Robert Nardelli recently told employees the company is headed for a substantial loss this year and is scrambling to sell assets to raise cash.

But in a statement, Nardelli said the company has ample liquidity and is fully funded with working capital to meet present and future goals.

In a 13-hour meeting this week with parent company Cerberus, Chrysler's 2008 plan was unanimously approved, Nardelli said in the statement.

Chrysler says exceeding financial targets | Markets | Markets News | Reuters


Nitro Year: 2007 (1 of 91,815 sold in 07)
Nitro Model: R/T 4X4 Stone White
CAT-BACK Exhaust, CAI, Projector Head Lamps
Fully-Equipped w/all factory options
rickaren is offline  
Sponsored Links
post #2 of 2 (permalink) Old 12-21-2007, 08:28 PM Thread Starter
Super Moderator
rickaren's Avatar
Join Date: Nov 2006
Location: Indiana
Posts: 22,851
Robert Nardelli Responds to Media Reports

Posted Dec 21, 2007, 05:33 PM by Robert Nardelli

Chrysler Chairman and CEO Expresses Confidence in Chrysler's Operations, Products, Finances and Employees

* Long-term support from Cerberus Capital Management, L.P. and Daimler AG

Auburn Hills, Mich. - “There have been several recent media reports that have painted an inaccurate picture of Chrysler LLC’s current financial position. Therefore, the management of Chrysler and our parent company, Cerberus Capital Management, L.P., felt it imperative to correct the record since such misinterpretations and misperceptions are misleading and could leave the wrong impression in the minds of investors and other interested parties.

First and foremost, it is important to note that Chrysler is not only meeting, but, in many cases, exceeding its financial targets heading into 2008.

Importantly, Chrysler has ample liquidity. We are fully funded with working capital to meet our present and future needs and objectives. We are doing what any other prudent company is doing during this challenging economic environment. We are trying to instill a sense of urgency throughout the workforce, putting our capital to work effectively and efficiently, streamlining inventory, improving current products and developing new and innovative vehicles. Our dealer body is quite pleased that our inventory of vehicles was down another 4 percent in November.

In a 13-hour meeting this week with the Cerberus board of directors, Cerberus praised and was highly complimentary of Chrysler’s progress to date and unanimously approved our 2008 plan. We have a solid strategic direction to return the company to long-term profitability. We are on target and have the unwavering support of Cerberus, as well as our other key partner, Daimler AG.

Cerberus met with its investors last Thursday to share the progress that has been made and to convey to these investors that the company was meeting – and in many cases – exceeding – its targets. The report was well received.

Like many companies in today’s uncertain economic environment, Chrysler is moving aggressively to improve its business. We recognized in advance the increasingly competitive vehicle market heading into 2008. With that, we have been moving aggressively to make our company leaner. The steps we are taking include previously announced volume-related reductions at several North American assembly and powertrain plants and the elimination of four products from our lineup, which is very customary in the auto industry.

However, we are very excited about the new products coming in 2008. These include the legendary Dodge Ram pickup truck, the Dodge Journey crossover, the relaunch of the historic Dodge Challenger – which has already generated 8,851 customer orders – and two, all-new, large hybrid SUVs, the Chrysler Aspen and the Dodge Durango, demonstrating our support for the environment and more fuel-efficient vehicles.

For our current vehicle line-up we have already approved more than 260 line item improvements to enhance our products – most for the 2008 calendar year.

The recently completed national labor agreement with the United Auto Workers – which includes the establishment of an independent retiree health care trust – provides a framework to improve the long-term competitiveness of the company.

Since August and the first day of the new company, the management team has been working to improve Chrysler’s working capital, disposing of non-core (or non-earning) assets and reinvesting this cash into product development, new technology and new innovations for our customers.”

The following related statement can be attributed to Mark Neporent, Chief Operating Officer and General Counsel of Cerberus Capital Management L.P.:

"We remain extremely enthusiastic about our investment in Chrysler. Our underwriting assumed, and fully planned, that Chrysler would incur losses in the near term. Under the leadership of Bob Nardelli, Tom LaSorda and Jim Press, Chrysler is already on track to exceed its multi-year restructuring and recovery plan on virtually all key metrics. We met with the management team this week and fully endorse their strategic direction and their plan to meet the challenges of the current environment. We are confident that Bob, Jim and Tom are taking the right steps to bring Chrysler to profitability. Our mutual resolve to restore Chrysler to its leadership position as an iconic brand is unwavering."


Nitro Year: 2007 (1 of 91,815 sold in 07)
Nitro Model: R/T 4X4 Stone White
CAT-BACK Exhaust, CAI, Projector Head Lamps
Fully-Equipped w/all factory options
rickaren is offline  
Sponsored Links

  Dodge Nitro Forum > Dodge Nitro News & Polls > Chrysler/Dodge/Jeep News

Quick Reply

Register Now

In order to be able to post messages on the Dodge Nitro Forum forums, you must first register.
Please enter your desired user name, your email address and other required details in the form below.

User Name:
Please enter a password for your user account. Note that passwords are case-sensitive.


Confirm Password:
Email Address
Please enter a valid email address for yourself.

Email Address:


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
Thread Tools
Show Printable Version Show Printable Version
Email this Page Email this Page
Display Modes
Linear Mode Linear Mode

Similar Threads
Thread Thread Starter Forum Replies Last Post
Chrysler set to ax models rickaren Chrysler/Dodge/Jeep News 2 03-13-2008 04:17 PM
20 Years of Chrysler Concept Vehicles rickaren Chrysler/Dodge/Jeep News 0 05-25-2007 10:42 AM
Chrysler Group Sold rickaren Chrysler/Dodge/Jeep News 0 05-14-2007 08:02 AM
Chrysler on Verge of Sale to a Private Firm rickaren Chrysler/Dodge/Jeep News 0 05-13-2007 11:29 PM
Awards for Aftermarket Design - Chrysler Group HEMEEE Chrysler/Dodge/Jeep News 0 11-02-2006 10:24 PM

Posting Rules  
You may not post new threads
You may post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are On

For the best viewing experience please update your browser to Google Chrome