Monday, August 9, 2010

Chrysler Showing Signs of Improvement

A year after emerging from bankruptcy protection, Chrysler is stanching its losses and seeing demand for its cars and trucks rise. But it's far from healthy, and its CEO says the company has more tough work ahead.
Chrysler Group LLC said Monday that growing car and truck sales helped it narrow its second-quarter loss to $172 million, compared with a first-quarter loss of $197 million.
The U.S. and Canada are Chrysler's primary markets, and both have seen higher demand for cars and trucks since a recession-driven slump last year. Chrysler's revenues rose 8.2 percent to $10.5 billion compared with the first quarter, largely because of a jump in sales. But many of those sales were to rental-car, government and corporate fleets, which are less profitable than sales to individual buyers.
Chrysler was in bankruptcy protection for much of the second quarter last year. Since leaving Chapter 11 last June, it has been run by Italian automaker Fiat SpA.

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