Chrysler sales down 47% (with chart)

Chrysler today reported total November 2008 U.S. sales of 85,260 units, down 10% versus October 2008 (94,530 units), and down 47% from the same month last year. Fleet sales decreased 63% versus last November, as planned, and retail sales were in line with the retail industry (down 36%).

“2008 will go down as unlike any other year in the industry, and thus, comparisons to 2007 sales have become irrelevant,” said Jim Press, Chrysler LLC Vice Chairman and President. “In this environment, we need to evaluate sales based on month-to-month trends, with the last two months of the year being especially important to determine if we have established a base for sales in 2009. Our goal is to fight to maintain our share of the retail market month-to-month by keeping a strong advertising and incentive presence in the marketplace and finding financing solutions for our customers, roughly 75% of whom finance their vehicles with dealer assistance.”

November’s industry sales declines reflect the combined impact of weak consumer confidence and tight credit, and highlight the need for government action. This week Chrysler LLC will present its Viability and Accountability Plan in detail to Congress regarding the Company’s request for an immediate working capital bridge loan.

Sales for the new 2009 Dodge Ram 1500 increased as it makes its way to dealerships across the country. Sales of the 2009 model for the month reached 1,958 units. Compared to October 2008, total Dodge Ram sales were down 12% (15,538 units), performing better than the industry overall.

Jeep® Liberty sales in November increased 6% (4,171 units) compared to October 2008 (3,918 units).

The new Dodge Challenger continues to draw attention. Sales reached 3,364 units in November, a 12% increase over October 2008 sales.

The Company finished the month with 399,724 units of inventory, or a 117-day supply. Inventory (in number of units) is down 17% compared with November 2007, when it totaled 480,424 units, though days supply is up.

An incentive plan will focus on aggressive cash rebates up to $6,000 on 2008 models, up to $3,000 on 2009 models and discounted APR financing that drive lower monthly payments. In several markets some 2008 model year vehicles are available with a 0% APR for up to 72 months; and 2009 model year vehicles are available with an APR as low as 1.9% for up to 72 months.