Chrysler not speeding plans for new cars, despite investor concerns

Alisa Priddle/ The Detroit News

Dearborn Chrysler Group LLC does not intend to speed up plans for new cars despite media reports that investors see a high degree of risk in an automaker that has been so dependent on truck sales.

Chrysler will stick to the timetable laid out in November 2009 as part of its five-year business plan, Ralph Gilles, senior vice president in charge of design and the Dodge brand, said this morning at the Wards Auto Interiors Conference here.

Chrysler CEO Sergio Marchionne and Chief Financial Officer Richard Palmer have been meeting with investors across the country to refinance debt to repay its high interest government loans. They want to raise billions of dollars in loans and establish a revolving line of credit to repay the $7.5 billion to the governments of the United States and Canada by June. A further $1.27 billion will come from Fiat SpA, which is buying an additional 16 percent stake in Chrysler to raise its holdings to 46 percent now and 51 percent by year end.

Tags: Media Reports