Chrysler LLC Statement Regarding Q2 and 1/2 Year Financial Performance

[VenSeattle]

Chrysler LLC Statement
Company's Second Quarter and Half Year Financial Performance
Aug. 1 /PRNewswire/
Link to Press Release

AUBURN HILLS, Mich., Aug. 1 /PRNewswire/ -- The following can be
attributed to Ron Kolka, Executive Vice President and Chief Financial
Officer, Chrysler LLC.

"Chrysler LLC today announced that in spite of the severe economic and
industry challenges, we continue to perform ahead of our financial plan for
the second quarter and first half of 2008. The Company measures its
financial performance against two primary financial metrics:
Cash/Marketable Securities and EBITDA (earnings before interest, taxes,
depreciation, amortization and restructuring charges). As of June 30, 2008,
the Company had Cash/Marketable Securities of $11.7 billion, (including
$2.3 billion in Restricted Cash and excluding $2.3 billion in VEBA*
assets), well ahead of its plan and down slightly from year-end 2007. As
well, for the six months ended June 30, 2008, Chrysler posted an EBITDA of
approximately $1.1 billion, well ahead of plan.

"The Company remains ahead of its financial plan due primarily to
Chrysler's fast response to the deteriorating market conditions and its
cost reduction initiatives launched in 2007, focused largely on
restructuring its operations. Those efforts have kept the Company ahead of
the overall market developments.

"Chrysler's negative product mix, largely driven by trucks and SUVs,
was off-set in the first half with a positive mix which includes the
effects from substantially reduced fleet sales; the effects of new products
-- the all-new Chrysler and Dodge minivans, Dodge Journey and Jeep Liberty
and the elimination of unprofitable models (Chrysler PT Cruiser
Convertible, Pacifica and Crossfire and the Dodge Magnum)."

* Voluntary Employee Benefits Association

[01LightningGal]

"I'm............... dreaming................ of a white................. Christmas.................."

When you have to prove nothing, you can say anything you want.

Ron needs to talk to the dealerships, and convince them of how great they are doing.

[CMG]

They seem to claim they are profitable, and actually are portraying they MADE money...

http://www.detnews.com/apps/pbcs.dll/artic...UTO01/808010433

Mind you, anything can be spun any way, but on the surface it seems Chrysler is doing OK in a very bad time. So far anyways.

[CMG]

"I'm............... dreaming................ of a white................. Christmas.................."

When you have to prove nothing, you can say anything you want.

Ron needs to talk to the dealerships, and convince them of how great they are doing.

I have no pity for the dealerships as they MARK UP the selling price of the new Challenger $20,000 over sticker price and such.....

:AH-HA_wink:

If I was in "dire straights" I would be moving stock in quantity... don't ya think?

[PurdueGuy]

If I was in "dire straights" I would be moving stock in quantity... don't ya think?

Well, there's two sides to that - get every penny you can at the risk of offending some people, or let some potential immediate profit go in exchange for public goodwill that you hope will turn into future car sales. Squeezing every penny can be awfully tempting, doubly so if you're unsure if there will be a future of the company to build sales for...

[CMG]

Well, there's two sides to that - get every penny you can at the risk of offending some people, or let some potential immediate profit go in exchange for public goodwill that you hope will turn into future car sales. Squeezing every penny can be awfully tempting, doubly so if you're unsure if there will be a future of the company to build sales for...

I'm sure the upcoming Camaro will be marked up at first when it debuts, but somehow I don't think you'll attribute it to

Squeezing every penny can be awfully tempting, doubly so if you're unsure if there will be a future of the company to build sales for...

:AH-HA_wink:

That Chrysler article is just more spin, a year or two down the road is when I'll think it's safe to make a judgement, as the companies are all putting their best face on right now it seems.