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Chrysler earns $1.7B in 2012, revises product plans for US

Hot on the heels of Ford's earnings announcement for the year that was, Chrysler today reported a 2012 net income of $1.7 billion, up substantially from the comparatively minuscule $183 million profit earned in 2011 when it repaid its US government loans.
Chrysler's good year ended with an excellent fourth quarter that saw net income rise 68 percent from $225 million in 2011 to $378 million. Where are all those extra earnings coming from? Market share, which Chrysler saw increase to 11.4% last year on sales of 1.65 million vehicles. In fact, the Auburn Hills, MI-based automaker out-paced the industry's market growth of 13 percent last year with sales up 21 percent for the year.
The company also revealed an updated product plan for its Chrysler Group and Fiat brands that looks all the way out to 2016. It's an updated version of the plan introduced in 2009 shortly after Fiat took control of the American automaker, and includes such new additions as an Alfa Romeo model, likely the 4C, to be introduced in the US this year, as well five more Alfa models by 2016. Likewise, Fiat will be growing by an additional seven models in the coming few years.

FCA and Cummins named in diesel emissions class-action lawsuit

Chrysler is now the first United States-based carmaker to be sued for allegedly skewing emissions results. In a move that sounds eerily similar to the troubles of European manufacturers, Chrysler is claimed to have hid diesel engine characteristics causing emissions as much as 14 times higher than permitted by regulations. According to Bloomberg, the lawsuit alleges that Chrysler, together with its diesel engine partner Cummins, has concealed the nitrogen oxide output of certain Ram vehicles produced between 2007 and 2012. The NOx pollutants were meant to be broken down in a process called regeneration in the truck's NAC system, or NOx Absorption Catalyst, which predated the 2013-introduced SCR, or Selective Catalytic Reduction system. By design, the NAC captures and stores NOx emissions, converting them to nitrogen and oxygen through a catalytic process. The lawsuit claims the Cummins engine's system has a limited capacity to store the emissions, and as a result the pollutants escape, increasing emissions, worsening fuel consumption and wearing down the catalytic converter. The later, cleaner SCR system uses a urea-water injection, and it gradually replaced the NAC on Cummins 6.7-liter engines, as it was first implemented in 2011 and made standard in 2013. As Bloomberg notes, the model years of Ram trucks involved in the lawsuit predate the earliest Volkswagen "Dieselgate" models by two years. The lawsuit, filed on behalf of 500,000 truck owners, accuses Chrysler and Cummins of fraud, false advertising and racketeering. As an underlying motive, the filing mentions a 2001 change in EPA emissions standards. Announced to become effective in 2010, the EPA requirements drove Chrysler and Cummins to try and reach those already by 2007. However, the NAC system is said to have fallen short of these goals, and the filing claims that Chrysler and Cummins chose to "rig" the engines instead. The affected vehicles predate the 2014 merger of Chrysler and Fiat. FCA US has released a statement regarding the lawsuit, saying it will contest the lawsuit "vigorously". News Source: BloombergImage Credit: Getty Editorial Government/Legal Green Chrysler Dodge RAM Emissions Diesel Vehicles FCA cummins diesel

Chrysler to replace transmissions on 159 2014 Ram 1500s

Some recalls we report on are bigger than others. This one involves a big vehicle, but only 159 of them. No, not 159,000. Just 159.
The vehicle in question is the Ram 1500 - specifically the 2014 model, and more specifically than that, those made over the course of 12 days in late January and early February of this year. According to the statement below, Chrysler was notified by one of its transmission suppliers that a small shipment of gearboxes might have difficulty shifting into Park.
Although the Auburn Hills, MI-based automaker says it is unaware of any accidents or injuries having resulted from the issue, and has not received any specific complaints, it is notifying the owners of the 159 trucks in question to bring their pickups in for service and, if necessary, to have the entire transmission replaced.