Chrysler

NEW YORK, June 4 -- In what is expected to be the last hurdle in Chrysler's effort to emerge from a rapid bankruptcy reorganization, a three-member federal appeals court panel is scheduled Friday to hear arguments on whether the automaker can sell itself to a new company run by Italian manufacturer Fiat. A federal bankruptcy judge approved the government-orchestrated deal this week, but the closing is being delayed after three Indiana pension and construction funds that hold about $42 million of $6.9 billion in secured loans to Chrysler filed...

ENGINE STALLS: U.S. auto safety regulators are investigating 54 complaints that the engines can stall without warning in three Chrysler and Dodge brand cars. RISKY RIDES: The probe covers more than 192,000 Chrysler 300C luxury cars, Dodge Charger muscle cars and Dodge Magnum wagons from the 2006 model year. Investigators will check how often the problem happens and determine if a recall is needed. ADVICE: Chrysler spokesman Eric Mayne said Tuesday that the company is cooperating in the...

The Obama administration last night planned to send Chrysler into bankruptcy, replace chief executive Robert L. Nardelli and pump billions of dollars more into the effort, all in hopes the company can emerge from court proceedings as a reenergized competitor in the global economy. Government officials clung to 11th-hour hopes last night that bankruptcy could be averted, but talks broke down with Chrysler's creditors. A bankruptcy filing could happen as soon as today. The U.S. government's attempt to save the automaker amounts to...

TRANSPORTATION Chrysler recalls 469,000 Jeep SUVs Chrysler is recalling 469,000 Jeep SUVs worldwide because they can shift into neutral without warning when started. The recall affects 2005 to 2010 Grand Cherokees and 2006 to 2010 Commanders. U.S. safety regulators said cracks in a circuit board can cause a faulty signal when the SUVs are started. If the vehicles shift into neutral, they can roll away. Chrysler said the problem has caused 26 crashes and two injuries.

The rescue of troubled automaker Chrysler hinges on the government's ability to persuade its creditors to make significant concessions. Some of those creditors are resisting, even though they've received billions in federal assistance themselves, including: J.P. Morgan Chase $25 billion Citigroup $45 billion Goldman Sachs $10 billion Morgan Stanley $10 billion

Fiat chief executive Sergio Marchionne said he will not be the executive to turn around Chrysler, despite his company's decision to take a stake in the troubled U.S. automaker. "I have absolutely no intention of running Chrysler," he told analysts on a conference call yesterday. "I am going to be involved . . . But it's not going to be a direct operating responsibility for Chrysler. " Chrysler agreed on Tuesday to grant the Italian automaker an initial 35 percent foothold in the company in exchange for the use of Fiat's technology, small cars...

German automaker Daimler said yesterday that the sale of its remaining stake in Chrysler has been complicated by the "exaggerated demands" of Cerberus Capital Management. The price tags Cerberus put on Daimlers' 19.9 percent stake in Chrysler "exceed the value of Cerberus' investment in Chrysler," an 80.1 percent stake purchased for $7.2 billion last year, Daimler said in a statement yesterday. Cerberus fired back in a statement saying the lengthy negotiations are the result of Daimler's own misconduct.

The ailing Chrysler yesterday agreed to give Fiat a 35 percent stake in the company in return for access to the Italian automaker's line of small cars and international sales network. The alliance of the two companies provides no cash to Chrysler, but the company's chief executive, Robert L. Nardelli, told stakeholders in a letter that he hoped the deal would bolster the automaker's case for an additional $3 billion of federal loans by strengthening its offerings. The nonbinding agreement is subject to approval by the...

NEW YORK, June 1 -- The lightning-speed journey of Chrysler through bankruptcy court has come to a conclusion, with a federal judge approving the government-orchestrated sale of the American icon to a new company run by Italian carmaker Fiat. U.S. Bankruptcy Judge Arthur Gonzalez's ruling -- delivered in a 47-page opinion late last night -- effectively marked the end of an era for an American industry icon and represented a success for the Obama administration, which played a key role in crafting...

At a meeting with executives from four of the nation's largest banks earlier this month, the chief of the government's auto task force, Steven Rattner, delivered a message that shocked some in the room. To save Chrysler, he told them, the four banks and several other financial firms would have to surrender their claims to most of the $7 billion the automaker owed them. And what would the banks get in return for this sacrifice? Nothing. "People's jaws just dropped," said a person familiar with the discussions.

DETROIT — Chrysler is recalling 469,000 Jeep SUVs worldwide because they can shift into neutral without warning on startup. The recall affects 2005 to 2010 Grand Cherokees and 2006 to 2010 Commanders. U.S. safety regulators say cracks in a circuit board can cause a faulty signal as the SUVs are being started. If the vehicles shift into neutral they can roll away. Chrysler says the problem has caused 26 crashes and two injuries. Chrysler will notify owners and dealers will...

When the all-new Dodge Dart debuted at last year's Detroit Auto Show , the media was excited. It marked the revival of a once-loved nameplate and the first major collaboration between Chrysler and its new Italian owners (since the Dart is based on a Fiat platform). And for a reasonably priced compact sedan, the 2013 Dart offered a range of options to please driving enthusiasts. The reception from the general public, however, has been more muted -- so much so that, according to AutoNews , Chrysler executives have...

Chrysler is recalling certain 2013 model-year Dodge Durango crossover SUVs that may have incorrect seating capacity information labels. A notice on the National Highway Traffic Safety Administration (NHTSA) website puts the number of vehicles potentially affected at 734. The 2013 Dodge Durangos involved in the recall were built from April 27, 2012 through September 14, 2012. The problem The NHTSA bulletin says that the labels might overstate the...

As a child, cars fascinated me. I read all the auto magazines I could get my hands on. There was a time when I could identify any car on the street just by the headlights. After college, I went to Detroit to work for Chrysler and start what I thought would be a lifelong career in the auto business, designing cars and engines. My goal was to become the next Lee Iacocca [known for engineering the Ford Mustang and later running Chrysler]. Unfortunately,...

Mitt Romney spoke to supporters in the Ohio town of Defiance last week, but his words came from the twin cities of Duplicity and Deception. "I saw a story today that one of the great manufacturers in this state, Jeep, now owned by the Italians, is thinking of moving all production to China," the Republican presidential nominee proclaimed, referring to the automaker President Obama saved from dissolution with taxpayer funds. "I will fight for every good job in America. " The truth, however, was roughly...

As Kelsey Mays detailed in an earlier review , Chrysler redesigned its 300 full-size sedan for the 2011 model year, bringing the car up to date in all ways except one: Its automatic transmission continued as a five-speed. Now for 2012, the V-6-powered 300 offers a new eight-speed automatic. (See other specs compared .) I'll devote this review to our impressions of the new transmission and the line's new top trim level, called S, and to clarifying the baffling combination of available drivetrains and trim levels.

Chrysler on Monday reported its first quarterly profit since its 2009 bankruptcy , a milestone in what company officials describe as the automaker's long-term recovery. The profit of $116 million for the first quarter compares with a loss of $197 million for the corresponding period last year. Simply put, the company is doing better because it is selling more cars; worldwide vehicle sales rose 18 percent over the first quarter of last year. The company's market share in the United States rose to 9.2 percent from...

NEW YORK, May 1 -- Chrysler early last year was so flush with cash and optimism that the firm's owners decided to repay a $3 billion loan to its lenders, believing that a turnaround for the company was just about to begin. Now days after Chrysler's historic bankruptcy, those owners, who work at private-equity firm Cerberus Capital Management, consider that repayment a misstep. Keeping the money might have spared Chrysler from taking billions of dollars in government aid and perhaps even prevented the storied automaker from winding...