Chrysler Group to Increase Young Card Production in the Second Half


Beijing morning news on August 13th, according to foreign media reports, according to a well-informed source said on Wednesday, Chrysler Group (Chrysler Group LLC) will produce more than the original plan of the light truck in the second half to meet the growth Demand.

The request was not disclosed by a named source today. The Chrysler Group plans to extend the working hours of its two factories and adjust another factory from double shifts to triple shifts in order to increase its dealer inventory. The Chrysler Group has not previously disclosed its work plan, and the source did not disclose the specific increase in the light truck output or percentage increase.

Analysts said that if the above plan is true, this increase in production will generate more cash for the Chrysler Group. According to the bankruptcy reorganization documents previously submitted by Chrysler Group, the group suffered a loss of US$16 billion in 2008, and the increase in output may help the group to achieve balance sheet and even profit.

John Casesa, a former Merrill Lynch analyst and now a partner in the New York consulting firm Casesa Shapiro Group, said: "The Chrysler Group will not significantly increase its output and will greatly improve its earnings performance."

U.S. government officials had previously stated that the Chrysler Group will be able to balance its revenue when American car sales reach the annual rate of 10 million vehicles. In the first six months of this year, car sales in the U.S. market have been lower than this level, but in July it hit an annual rate of 11.2 million vehicles.

The Chrysler Group sold 88,900 vehicles in the United States in July, up from 68,300 in June.



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