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January 1, 2003: Chrysler sales fall, slogan changed

Faced with falling sales, Chrysler has modified its unsuccessful "Drive=Love" compaign slightly to make their point more clear - if you drive it, you will love it. The campaign will now be "Drive & Love" instead of "Drive = Love." Meanwhile, the contract with Celine Dion will start showing itself in new commercials.

December 30, 2002: NY state senator requests no new Ford squads

After yet another fatal accident involving a Ford Crown Victoria squad car, a New York state senator has publicly asked the state police not to buy any more of the vehicles until the safety issues have been investigated and resolved.

As a side note, Connecticut, which used Fords even before GM stopped making the Caprice, appears to be trying out Dodge Intrepid squads.

December 30, 2002: Rumor: 2004 production dates

"Mr. Source" predicted:

Another reader suggested "I show 1/2/03 as the Grand Cherokee Laredo/Limited start date and 2/03/03 for the Overland."

Meanwhile, it appears that the SRT-4 is in production (thanks, "2002SXT") and ready to ship - and that the diesel Liberty is a go, with 5,000 units to be made (though we do not know when). The diesel Liberty trades off far better gas mileage (from about 20 to 30 mpg) for about two seconds longer in the 0-60 sprint, without adding much noise.

December 23, 2002: Chrysler working on new automatic transmission?

Examination of patent applications shows a number of innovations which may indicate that Chrysler is, and has been, working on a brand new automatic transmission. For example, patent 0020162721 describes a clutch system which has superior lubrication and cooling (for greater longevity), as well as fewer moving parts and less overall length and weight.

We are currently seeking volunteers with engineering experience who can help us to put together the pieces. (We suspect Chrysler's competitors have already done this.)

It should be noted that Chrysler applications are filed from Auburn Hills (DaimlerChrysler Intellectual Property) while Mercedes applications are filed from Washington, DC (CROWELL & MORING LLP).

December 23, 2002: New sliding doors in the works?

Chrysler has filed a patent application for a new type of power sliding door which is safer (stops automatically when a fuel door or person is blocking it), more convenient (doesn't need to be slammed shut), and more efficiently packaged. This may show up in the next-generation minivan, though companies file many patents that never materialize into actual products.

December 23, 2002: Rumor: Pacifica schedule

This is unconfirmed and posted in the Allpar forums by "eddievader." Quoted verbatim:

Windsor assembly now builds 1325 minivans per day. This timeline will show the ratio of Pacificas to minivans.

January 13 1:265
January 20 1:133
February 3 1:65
March 3 1:6
March 24 1:4
April 21-----full production 1:3 (441 pacificas a day)
April 14-launch front wheel drive pacifica.

The plant can raise the pacifica to caravan mix to 2 out of every 5, if sales increase.

December 20, 2002: Chrysler takeover lawsuit moves on

Detroit News has an article exploring the current status of the Kerkorian lawsuit against DaimlerChrysler. Depositions will continue through mid-January, and will include Juergen Schrempp, Robert Eaton, and presumably James Holden, Hilmar Kopper, and others. At issue is whether anyone really intended the takeover to be a "merger of equals," as it was billed in public statements and SEC filings, or whether it was all pretense, as Juergen Schrempp later bragged. Many investors say they would not have agreed to a takeover, while others are demanding the acquisition fee which applies to takeovers but not mergers.

Bob Eaton's testimony will be crucial, since he referred to a "merger of equals" in public but received $70 million in profit on the deal. Bill Vlasic and Bradley Stertz, who wrote a book about the deal, have had their notes subpoenaed, since they were close to key players throughout the deal.

The Kerkorian lawsuit would give the wealthy greenmailer $8 billion in damages and takeover premium, and also break up DaimlerChrysler again. DaimlerChrysler stock now is worth less than either Chrysler or Mercedes stock then, and Chrysler has fallen from being one of the most admired automakers.

December 20, 2002: Ford settles another Explorer lawsuit

Ford agreed to pay $51.5 million to settle lawsuits by all 50 states, based on their advertising of the Ford Explorer, which depicted it being driven at dangerous and inappropriate speed with the disclaimer, in fine print, "Professional driver. Closed course." As part of the settlement, Ford will share its Belt-Minder technology with the government [which presumably would allow other automakers to use it], and add "Do not attempt" to their fine print, without overtly warning of the dangers of flipping over.

December 19, 2002: John Fernandez heading Motorsports - expect wins

John Fernandez, who worked closely with Carroll Shelby during his 30 years at Chrysler, will be heading up Dodge Motorsports. He had started and headed the PVO team, partly (as far as we can tell) as a way to keep the 70 Team Viper engineers together, and was also involved in turning the LeMans Vipers into a stunning success. Fernandez also worked on the Neon, Omni GLHS, Shelby Lancer, and other Mopar sport compacts. He said that the "one team" approach to NASCAR, where the four teams racing Mopars share their secrets of success, was working well, and expects to have a better season in 2003. Dieter Zetsche is reportedly very interested in having Dodge win the Winston Cup for cars in 2003, and is following motorsports closely.


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