Wednesday, September 2, 2009

Chrysler To Report 15% Drop In August Sales

Chrysler Group LLC will report a 15% drop in its year-over-year U.S. August sales as the lack of inventory hindered potential purchases.
Chrysler 300c

... a contract by Chrysler LLC for ...

The auto maker is expected to say that it sold 93,222 vehicles compared with 110,235 in August 2008, according to a company official. Chrysler sales, however, did increase 5% over its July results. Full details will be released later Tuesday.

Dealers for the third largest U.S. based auto maker found that they couldn't fill orders as consumers flocked to showrooms amid the federal government's "Cash for Clunkers" program.

The program, which started in late July, offered as much as a $4,500 rebate for those who traded in their old gas guzzlers and bought new. Chrysler, earl on, matched the offer on all of its vehicles.

Demand quickly outstripped supply since most of Chrysler's plants sat idle for almost three months as the auto maker dealt with its bankruptcy process. Chrysler ultimately merged most of its assets with Italian auto maker Fiat SpA (FIATY).

"We are totally out of minivans and have only a sprinkling of the other models," said Joe Kramer, vice president of Armory Automotive in Albany, NY.

Chrysler is now using overtime and additional shifts to boost output as inventory levels now stand at an historic 28-day supply.

The company will offer $4,500 of consumer cash or zero-percent financing for up to six years on some 2009 models and consumer cash of as much as $2,000, on some 2010 models.

 

No comments:

Post a Comment