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Chrysler banks $507 million in Q2, trims 2013 earnings forecast

Chrysler has some good news and some bad news. First, profits were up 16 percent over the second quarter of 2012, bringing the Auburn Hills, Michigan-based manufacturer $507 million on the back of strong demand for trucks and SUVs (a recurring theme this quarter, particularly in the US). Q2 revenue was up as well, from $16.8 billion in 2012 to $18 billion in 2013. The bad news is that the Pentastar's overall earnings forecast for net income in 2013 has been trimmed from $2.2 billion to between $1.7 and $2.2 billion, according to Automotive News.
In addition to the adjusted net income forecast, Chrysler tweaked its operating profit from $3.8 billion to between $3.3 and $3.8 billion. This has gone largely unexplained by Chrysler, perhaps hoping the news of a three-percent increase in its transaction prices for Q2 will allow it to sweep this adjustment under the rug.
The star of the show for Chrysler has been its US sales, which saw a 10-percent jump, both bettering the industry average of eight percent and improving over the same stretch of 2012. As with the increase in transaction prices, Chrysler has the new Ram pickup and Jeep Grand Cherokee to thank. Perhaps most worrying from this report, though, is that every brand in the automaker's stable saw an increase in sales... except for the Chrysler brand itself.

Watch dual-engined Dodge SRT4 do a FWD burnout, a RWD burnout, then AWD launch

There's something fantastically insane about racers who go out on their own and build something unique. Just take this crazy video from last year of a twin-engine Dodge SRT4 at a drag strip that can burn the rubber at either end – or both ends – at a moment's notice. With tires sticking out way past the fenders, a massive cooling system at the front and no back window to speak of, this Dodge is clearly meant solely for speed. Though it's real party trick is being able to spin the front or rear wheels independently. The setup makes for three quite showy burnouts. When it came time to actually get down the track, things got somewhat awkward. Like other twin-engine creations we've seen, the separate powertrains make for some odd sounds and a weird look launching down the strip. Still, there's no doubt that the engineering behind this Frankenstein is very impressive. Scroll down to see this monster in action and another of it in a very mismatched race last year. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.

Dodge and Jeep recalling 895k SUVs for possibility of headliner fires

Dodge and Jeep are announcing recalls of a total of 895,000 Durango and Grand Cherokee models worldwide from the 2011 through 2014 model years. There's a possibility that the wiring in the sun visor can short circuit and cause a fire. It specifically affects vehicles built between January 5, 2010, and December 11, 2013, and there are approximately 651,000 of them in the US, 45,700 in Canada, 23,000 in Mexico and 175,000 outside of North America.
Screws that fasten the sunvisor to the headliner may pierce wires in the visor, if the part has been removed or serviced, potentially causing a fire risk. If the wires short circuit, they could overheat and potentially combust. The automakers report three injuries caused by this defect, and according to the investigation by the National Highway Traffic Safety Administration, "there may be a total of 52 unique fire incidents."
To fix the problem, Dodge and Jeep will inspect the vehicles for suspect wiring, and all of the models, whether damaged or not, will get a new sun visor spacer with a wire guide to stop the possibility of short circuits. According to the automakers' announcement, "this condition is not present in vehicles which have not had the headliner or vanity mirror serviced." They will notify affected owners, and repairs will begin in August.