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Chrysler sales drop 30 percent but improve over September

by Bill Cawthon on

Chrysler Group LLC today reported a 6 percent increase in total U.S. sales compared with September 2009. Chrysler and Dodge brands reported month-over-month increases.

Chrysler Group reported total U.S. sales for October of 65,803 units, an increase of 6 percent compared with September and a decrease of 30 percent compared with the same time period in 2008. The company finished the month with 159,428 units in inventory, representing a 68-day supply. Inventory is down 60 percent versus October 2008 when it totaled 395,996 units. Overall industry figures for October are projected to come in at an estimated 10.4 million SAAR.

“The industry showed signs of improvement this month with increasing sales, which is a trend we expect to continue for the remainder of the year,” said Fred Diaz, President and Chief Executive Officer-Ram Brand and Lead Executive for the Sales Organization, Chrysler Group LLC. “Chrysler Group expects to get its fair share of the increases as November and December traditionally are two of the best months for SUV sales, and the Jeep® brand offers customers the best SUVs in the marketplace.”

October Brand U.S. Sales Highlights
— Dodge Car Brand sales (26,265 units) increased 24 percent compared with September 2009
— Six out of nine Dodge Car Brand vehicles posted sales increases compared with the previous month: Dodge Avenger, up 48 percent;
Dodge Challenger, up 35 percent; Dodge Viper, up 47 percent; Dodge Journey, up 23 percent, Dodge Nitro up 26 percent and Dodge Grand Caravan, up 119 percent
— Dodge Avenger and Dodge Grand Caravan post year-over-year sales increases of 13 percent and 8 percent respectively
— Chrysler Brand vehicles post a 42 percent increase (12,815 units) compared with September 2009
— Chrysler Sebring sales (2,219 units) increased 75 percent versus September 2009
— Chrysler Sebring Convertible sales increased 77 percent versus the previous month
— Ram Truck Brand saw Dodge Dakota sales increase 29 percent versus September
— Production of the all-new 2010 Ram Heavy Duty pickup has begun, and trucks will start arriving in U.S. dealerships just in time for the holidays
— Three Jeep Brand vehicles saw retail sales increases in October compared with September 2009. The three vehicles are: Jeep Compass, Jeep Patriot and Jeep Commander
— Mopar U.S. net sales were down 6 percent compared with September 2009, reflecting challenging market conditions
— In October, Mopar announced hundreds of new products, including: live mobile TV with up to 20 channels and, for racing and off-road enthusiasts, new crate engines, long blocks and aluminum HEMI engine blocks (December availability)
— The brand also announced the opening of the Mopar eStore later this month at www.mopar.com, where consumers will have the opportunity to conveniently order parts and accessories online and have them delivered directly to their doorstep by the nearest dealer

Incentives

Chrysler Group LLC today announced it was furthering its “Invest in America” partnership with more than 2,000 credit unions in the United States by offering preferred pricing on eligible Chrysler, Jeep, Dodge and Ram Truck vehicles through Nov. 30 to the more than 90 million credit union members.

In addition, Chrysler Group LLC announced the following incentives, valid through Nov. 30, 2009.

2010 Model Year Vehicles

Chrysler Brand: Chrysler brand announces a variety of incentive programs to fit almost any need offering consumers various combinations of attractive financing rates and consumer cash.
— Starting November 4, Chrysler offers attractive financing rates, including 0 percent interest for up to 48 months, along with a no-cost service/maintenance program for three years/36,000 miles
— The no-cost maintenance program includes full mechanical coverage, most scheduled maintenance, including oil changes, roadside assistance, trip interruption and alternate transportation when the vehicle is being serviced. Consumers should visit their local Chrysler, Jeep and Dodge dealer for full details of the no-cost maintenance program

— Qualified consumers can choose low APR financing, including 0 percent for up to 48 months, on select 2010 model year vehicles through GMAC Financial Services, or consumer cash of up to $2,500

Jeep Brand: Beginning today, the Jeep brand announces the following incentives:
— Starting November 4, Jeep offers attractive financing rates, including 0 percent interest for up to 48 months, along with a no-cost service/maintenance program for three years/36,000 miles
— Qualified consumers can choose low APR financing, including 0 percent for up to 60 months or consumer cash of up to $3,000
— Current Jeep vehicle owners also are eligible for $500 Owner Loyalty Bonus Cash

Dodge Car Brand: Dodge Car Brand is offering consumers:
— A combination of attractive financing rates as low as 0 percent for up to 48 months and consumer cash of up to $1,000
— Low financing rates for qualified customers, including 0 percent financing for up to 48 months or consumer cash of up to $2,000

Ram Truck Brand: Ram Truck Brand is offering consumers:
— A combination of attractive financing rates as low as 0 percent for up to 48 months and consumer cash of up to $1,000
Low financing rates for qualified customers, including 0 percent financing for up to 48 months or consumer cash of up to $3,500

Chrysler, Jeep, Dodge and Ram dealers continue to offer competitive lease rates on all 2010 model year vehicles. Featured vehicles with special lease rates through Nov. 30, 2009 are: Chrysler Town & Country, Dodge Journey, Jeep Liberty and Wrangler and Ram 1500.

2009 Model Year Vehicles
A limited number of 2009 model year Chrysler, Jeep, Dodge and Ram vehicles are available with a combination of consumer cash and attractive financing rates.

Chrysler Group LLC U.S. Sales Summary Thru October 2009

-------------------------------------------------------
Month Sales   Vol %           Sales CYTD     Vol %
Model         Curr Yr  Pr Yr Change       Curr Yr    Pr Yr  Change
-----         -------  ----- ------       -------    -----  ------
Sebring             2,548  3,772    -32%       19,979    65,200    -69%
300                 2,914  3,415    -15%       32,236    55,222    -42%
Crossfire               0    253   -100%          499     1,819    -73%
PT Cruiser            135  3,145    -96%       16,895    45,490    -63%
Aspen                  54  1,045    -95%        5,906    18,726    -68%
Pacifica                0    606   -100%        1,955     6,227    -69%
Town & Country      7,164  7,667     -7%       68,879   102,954    -33%
CHRYSLER BRAND   12,815 19,903    -36%      146,349   295,638    -50%
--------------   ------ ------    ---       -------   -------    ---
Compass               327    855    -62%       10,352    23,244    -55%
Patriot             1,148  3,252    -65%       26,744    50,596    -47%
Wrangler            5,305  6,292    -16%       70,350    71,427     -2%
Liberty             2,725  3,918    -30%       35,378    58,211    -39%
Grand Cherokee      3,256  5,638    -42%       43,146    62,971    -31%
Commander             739  1,405    -47%        9,582    24,059    -60%
JEEP BRAND       13,500 21,360    -37%      195,552   290,508    -33%
----------       ------ ------    ---       -------   -------    ---
Caliber               583  4,438    -87%       30,397    78,507    -61%
Avenger             4,221  3,723     13%       31,552    57,551    -45%
Charger             4,864  6,255    -22%       50,974    86,475    -41%
Challenger          2,398  3,014    -20%       21,276    11,457     86%
Viper                  28     87    -68%          395       959    -59%
Magnum                  0     56   -100%          113     6,833    -98%
Journey             3,678  4,380    -16%       41,520    40,007      4%
Caravan             9,020  8,369      8%       73,932   110,767    -33%
Nitro               1,426  2,457    -42%       15,071    32,528    -54%
Durango                47    984    -95%        3,463    18,323    -81%
DODGE BRAND      26,265 33,763    -22%      268,693   443,407    -39%
-----------      ------ ------    ---       -------   -------    ---
Dakota                515    957    -46%        9,409    22,583    -58%
Ram P/U            12,262 17,626    -30%      155,467   213,684    -27%
Sprinter              446    921    -52%        5,849    12,229    -52%
RAM BRAND        13,223 19,504    -32%      170,725   248,496    -31%
---------        ------ ------    ---       -------   -------    ---
TOTAL CHRYSLER
GROUP LLC       65,803 94,530    -30%      781,319 1,278,049    -39%
TOTAL CAR     17,556 25,014    -30%      187,423   365,115    -49%
TOTAL TRUCK   48,247 69,516    -31%      593,896   912,934    -35%
Selling Days           28     27                  257       257
------------           --     --                  ---       ---
Source: Chrysler Group LLC

Bill Cawthon grew up in the auto industry in the 1950s. His Dad worked for Chrysler and Bill spent a number of Saturdays down on the plant floor at Dodge Main in Hamtramck. Bill is also the U.S. market correspondent for just-auto.com, a British auto industry publication, and a member of the Texas Auto Writers Association, which has named the Jeep Grand Cherokee the “SUV of Texas” several times and named the Ram 1500 as the “Truck of Texas” two years running.

Bill has owned five Plymouths (including the only 1962 “Texan”), one Dodge and one Chrysler and is still trying to figure out how to justify a Wrangler. He also has owned at least one of every 1:87 scale model of a Chrysler product. You can reach him directly at (206) 888-7324 or by using the form.


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