Chrysler extends downtime at plants

The Canadian Press While GM and Ford increase production, Chrysler Group is shutting its two Ontario assembly plants and four others in the U.S. for extra downtime after a dismal sales performance in November, the Globe and Mail reports. The shutdowns at Chrysler’s Brampton and Windsor plants in Ontario include the three days before Christmas and the first two weeks of January. A pickup truck plant in Michigan will shut for almost a month, while one factory in Illinois and two in Ohio will close three days early for the Christmas break and will stay shut the first week of January, industry sources familiar with Chrysler’s plans told the paper. The cutbacks come after a 25 per cent drop in the company’s sales last month from year-earlier levels, which was actually better than the 38 per cent decline in the first 11 months of 2009. Ford said last week that it will boost first-quarter production by 58 per cent, while GM announced a 75 per cent jump. Chrysler spokesman Max Gates said the holiday break will begin early at some plants and will be extended at others. Chrysler has vowed to keep inventories under control, reduce incentives, and refresh or redesign 75 per cent of its vehicles by the end of next year under its new owner, Fiat SpA. That plan will lead the company to break even in operating profit next year and on a final profit basis in 2011, the company reiterated. But those financial numbers are underpinned by expectations that Chrysler will reverse its U.S. market share losses and jump to 13 per cent of the market by 2014 from less than nine per cent this year. The three cars made in Brampton, the Chrysler 300, Dodge Charger and Challenger, slumped 44, 38 and 39 per cent respectively last month.

The Canadian Press

While GM and Ford increase production, Chrysler Group is shutting its two Ontario assembly plants and four others in the U.S. for extra downtime after a dismal sales performance in November, the Globe and Mail reports.

The shutdowns at Chrysler’s Brampton and Windsor plants in Ontario include the three days before Christmas and the first two weeks of January.

A pickup truck plant in Michigan will shut for almost a month, while one factory in Illinois and two in Ohio will close three days early for the Christmas break and will stay shut the first week of January, industry sources familiar with Chrysler’s plans told the paper.

The cutbacks come after a 25 per cent drop in the company’s sales last month from year-earlier levels, which was actually better than the 38 per cent decline in the first 11 months of 2009.

Ford said last week that it will boost first-quarter production by 58 per cent, while GM announced a 75 per cent jump.

Chrysler spokesman Max Gates said the holiday break will begin early at some plants and will be extended at others.

Chrysler has vowed to keep inventories under control, reduce incentives, and refresh or redesign 75 per cent of its vehicles by the end of next year under its new owner, Fiat SpA.

That plan will lead the company to break even in operating profit next year and on a final profit basis in 2011, the company reiterated.

But those financial numbers are underpinned by expectations that Chrysler will reverse its U.S. market share losses and jump to 13 per cent of the market by 2014 from less than nine per cent this year.

The three cars made in Brampton, the Chrysler 300, Dodge Charger and Challenger, slumped 44, 38 and 39 per cent respectively last month..

The shutdowns at Chrysler’s Brampton and Windsor plants in Ontario include the three days before Christmas and the first two weeks of January.

A pickup truck plant in Michigan will shut for almost a month, while one factory in Illinois and two in Ohio will close three days early for the Christmas break and will stay shut the first week of January, industry sources familiar with Chrysler’s plans told the paper.

The cutbacks come after a 25 per cent drop in the company’s sales last month from year-earlier levels, which was actually better than the 38 per cent decline in the first 11 months of 2009.

Ford said last week that it will boost first-quarter production by 58 per cent, while GM announced a 75 per cent jump.

Chrysler spokesman Max Gates said the holiday break will begin early at some plants and will be extended at others.

Chrysler has vowed to keep inventories under control, reduce incentives, and refresh or redesign 75 per cent of its vehicles by the end of next year under its new owner, Fiat SpA.

That plan will lead the company to break even in operating profit next year and on a final profit basis in 2011, the company reiterated.

But those financial numbers are underpinned by expectations that Chrysler will reverse its U.S. market share losses and jump to 13 per cent of the market by 2014 from less than nine per cent this year.

The three cars made in Brampton, the Chrysler 300, Dodge Charger and Challenger, slumped 44, 38 and 39 per cent respectively last month.

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