Fiat kills the Viper

[Thunder22]

and a few other cars.

Out - GC, commander, Dakota, Sebring, Viper, Avenger, Patriot, Compass,

In - Fiat 500, Alfa MiTo

Alfa Romeo will return to the US in 2012.

Article is on WSJ.com for subscribers only.

I'm surprised that they killed the Viper and didn't spin it off. Sad day for American Muscle car fans.

[E61Silver]

Are they killing the minivan all together or just a particular model?

[AzNMpower32]

I'd consider an Alfa Romeo MiTo, but really, the Brera is the Alfa I want. That car looks sweeeet.

[Thunder22]

Originally Posted by E61Silver

Are they killing the minivan all together or just a particular model?

I'm going to go out on a limb here and say that they're killing the minivan all together, considering that there is only 1 model.

[chilliwilli]

Assist:

Fiat Models to Drive Chrysler - WSJ.com

Wonder what they have in store for the JC SRT8 series.

[Thunder22]

Originally Posted by chilliwilli

Assist:

Fiat Models to Drive Chrysler - WSJ.com

Wonder what they have in store for the JC SRT8 series.

Thanks, I didn't post it because it's subscriber only and didn't want to read posts like the one I'm writing right now lol.

[motordavid]

Because it's raining & 50 here, and I have a boringazz life, here is the
C&P for those that are too cheap to subscribe to the WSJ...

I am also very surprised they didn't keep the Viper or, sold it to
some other mfg'er.


OCTOBER 27, 2009 Fiat Models to Drive Chrysler

New Lineup Will See Return of Alfa Romeo, End of Many Chryslers, Dodges and Jeeps



By KATE LINEBAUGH and NEAL E. BOUDETTE

Agence France-Presse The Alfa MiTo



Four months after exiting bankruptcy, Chrysler Group LLC is about to unveil a product road map that relies heavily on vehicles from Italian partner Fiat SpA while abandoning many of the U.S. car maker's own models.

The plan, due to be revealed Nov. 4, involves the return of Fiat's premium, sporty Alfa Romeo brand to the U.S. starting in 2012, according to people briefed on the plans. Chrysler also will introduce to Americans the 500, Fiat's tiny car that is popular in Europe.

Fiat and Chrysler also are working on several new vehicles with Fiat technology for the U.S., including a midsize Chrysler sedan slated to be released in 2012, according to these people.

Meantime, Chrysler is preparing to phase out many current models, including a number of Dodge cars, the Dodge Grand Caravan minivan and several Jeeps.

The sweeping changes represent a big gamble for Chief Executive Sergio Marchionne, who has staked his reputation on the turnaround. Mr. Marchionne, who revamped Fiat as its CEO, appears to be creating a lineup that stays true to Chrysler's strengths in blue-collar muscle cars and pickup trucks while adding European-styled vehicles to attract a new, more white-collar customer.

But Mr. Marchionne's challenge is to keep the company afloat until 2012, when the bulk of the new offerings will arrive. Chrysler is faced with shrinking market share and an aging product lineup. While Chrysler doesn't disclose its finances, Fiat has said repeatedly it won't inject any money into the U.S. company despite receiving a 20% ownership stake under its bankruptcy reorganization. Instead, Fiat is contributing technology and management expertise.
Shifting Gears at Chrysler

See which models are in and which are out.
View Slideshow



Sandro Campardo/Keystone via Associated Press The new Alfa MiTo sub-compact hatchback, displayed at the Geneva International Motor Show in March, will be the first of the Alfa Romeo models to arrive in the U.S., starting in 2012.





"The biggest issue this company has is getting through the next few years," said Rebecca Lindland, an auto analyst at IHS Global Insight. "They are going to have a hard time maintaining market share let alone increasing it."

Chrysler spokesman Gualberto Ranieri declined to comment on the product plan, due to be disclosed in a six-hour presentation next week by Mr. Marchionne and senior executives to analysts and media at Chrysler headquarters in Auburn Hills, Mich.

For the next two years, Chrysler will have to rely mostly on its current models. It is banking on two revamped vehicles due out next year, a refreshed Jeep Grand Cherokee and Chrysler 300 sedan, as well as boosting marketing spending on Jeep.

Importing foreign-made Fiats in the meantime in any significant number is unlikely because they would need to be modified to meet U.S. safety and environmental standards, a costly and sometimes difficult process. Unfavorable exchange rates also make European imports uneconomical other than for luxury brands.

Analysts worry that Chrysler's market-share erosion will continue as consumers appear to favor smaller cars -- not the trucks and sport-utility vehicles that make up the bulk of Chrysler's offerings. Chrysler's share of the U.S. market fell to 8.3% in September from 11.1% a year ago, according to Autodata Corp.

Chrysler's decision to increase the number of brands runs counter to the current industry trend. General Motors Co. cut back to four brands from eight under its own bankruptcy to reduce development and marketing costs. Ford Motor Co. jettisoned its Jaguar and Land Rover and plans to sell Volvo. Yet both Ford and GM have many more new products coming out in the near future than Chrysler, which could further hurt that company's sales, analysts say.

"What everyone is counting on is enough of an uptick in sales that will heal everybody fairly quickly," said David Cole, chairman of the Center for Automotive Research in Ann Arbor, Mich. After cutting costs sharply in bankruptcy, Chrysler "may not have a lot of smash hits but I think there is a core market there that can be profitable for them."

Chrysler received a $9 billion U.S. loan as part of its reorganization. The company's cash position has improved since then, according to a person familiar with the car maker, as production of vehicles restarted in full.
Changing Direction

AFP/Getty Images The Fiat 500



Alamy The Fiat 500D 1962





Under the new product plan, Chrysler will drop several Dodge products, including the Caliber compact, Nitro SUV and Avenger sedan, but will keep the Dodge Challenger, a muscle car, and the full-size Charger sedan.

"I like that plan a lot. Dodge can be the performance brand. They don't have to be something to everyone, but they have to start being profitable," said Ms. Lindland of IHS Global Insight.

Many Chrysler and Jeep models also will die. The Jeep Commander is slated to end next year. By 2012, the Chrysler PT Cruiser, Chrysler Sebring midsize sedan and Jeep Compass and Jeep Patriot SUVs all will exit the market. The auto maker also plans to phase out the Grand Caravan in the next five years, leaving the Chrysler Town and Country as the company's only minivan.

Mr. Marchionne aims to introduce the Fiat 500 subcompact to the U.S. in 2011 and will build the model in Mexico, said a person familiar with Chrysler's thinking. The 500 is viewed by some as Fiat's answer to the Mini Cooper made by BMW AG.

The Alfa Romeo products will be launched in 2012 with the MiTo subcompact, followed by a midsize sedan in early 2013 and the Alfa Milano midsize model, according to this person. All three will be made in North America.

Chrysler plans to introduce a new midsize sedan and compact in 2012 as well as a compact Jeep a year or two later. All three will be based on Fiat underpinnings.

Reintroducing Alfa Romeos to the U.S. will come with challenges, including defining the brand to a public that has a low understanding of it or even may hold the brand in low regard. Alfa Romeo pulled out of the U.S. market in the mid-1990s.
"Bringing in the Alfa name I'm not sure how that is going to help Chrysler," said Adam Lee, president of Lee Auto Malls in Maine. "I'm just not convinced that people in this country have a warm spot in their heart or feel intellectually that it is a good product."

But Alfa will give Chrysler a premium product it hopes can compete with Audi or Infiniti, producing higher profit margins.

Printed in The Wall Street Journal, page A1

[X5rolls]

Sad day for the Viper - I don't understand as it was making a small profit and represented supercar capabilities. My guess is it's a combination of not enough profit and either the Ferrari guys want to kill as they want all budget for 200mph cars and or there isn't a need in Fiats mind for it since they have Ferrari.

[Thunder22]

Originally Posted by X5rolls

Sad day for the Viper - I don't understand as it was making a small profit and represented supercar capabilities. My guess is it's a combination of not enough profit and either the Ferrari guys want to kill as they want all budget for 200mph cars and or there isn't a need in Fiats mind for it since they have Ferrari.

I'm assuming that Fiat will use the Alfa Romeo models as "draw 'em in" cars. Sad.

[E61Silver]

Originally Posted by Thunder22

I'm going to go out on a limb here and say that they're killing the minivan all together, considering that there is only 1 model.

From MD's post :

The auto maker also plans to phase out the Grand Caravan in the next five years, leaving the Chrysler Town and Country as the company's only minivan.