Chrysler Offers $2.99 A Gallon Gas Deal

Gas Price Tied To Special Credit Card For New Buyers; Automaker Will Foot The Difference For 3 Years

(CBS/AP)  Chrysler announced Monday an offer that caps the price of gasoline at $2.99 a gallon for three years for people who buy or lease new vehicles from Wednesday through June 2. The offer is based on 12,000 miles of driving per year at the vehicle's rated fuel economy.

Customers will get a card for buying gas that is linked to their own charge account, Chrysler said. The customer will be billed $2.99 a gallon, and Chrysler will pay the rest.

Actual savings depend on what happens to gas prices over the next three years, but based on the $3.61 a gallon average price reported Monday by AAA, someone buying a 2008 Chrysler PT Cruiser, which gets an estimated 21 miles per gallon in city driving, would save $355 a year.

"It's a way to give (customers) peace of mind," Steven Landry, executive vice president for North American sales, said in a conference call Monday evening. "We want to get everybody through these challenging times."

Chrysler LLC Chairman and Executive Bob Nardelli also announced Monday the automaker should be able to meet its job-cutting goals without antagonizing the United Auto Workers.

As part of the efforts to trim the payroll, Nardelli said Chrysler will try to move workers currently in jobs banks into openings created at factories where large numbers of workers took buyouts or early retirement packages.

Workers in jobs banks get most of their pay while on layoff.

The company is working to reach its job-cutting goals through means other than layoffs, Nardelli said.

He said Vice Chairman Tom LaSorda and his management team have not missed a target, "and I'm confident that they'll be able to achieve that ... objective in a very cooperative way."

Chrysler announced in November plans to cut up to 11,000 jobs, including 8,000 to 10,000 hourly and 1,000 salaried positions.

Speaking to reporters at an event held to honor Chrysler employees who have served in the military, Nardelli called proposals by presidential candidates for a holiday on the federal gasoline tax a short-term solution.

"If you look at the bigger picture - from an energy standpoint, from an environmental standpoint and from an economic standpoint - one would certainly suggest trying to encourage consumers to be more cognizant of not only miles per gallon but the number of miles they're driving," he said.

The former CEO of The Home Depot Inc. also recommended that the federal government create an incentive for people to buy domestically produced cars such as hybrids Chrysler plans to launch later this year.

[mediamomma]

Well, that''s all fine and dandy for the people who can afford to buy or lease new cars, but what about the rest of us?

[ponco seno]

If OBAMA wins the election, Gas will drop below $3 bucks. U watch...

[inventagod2]

*** polish, get your polish here!
Bright and shiny, just hao you want them!

[rowdytexan2]

Posted by RealityToday at 12:50 PM : May 06, 2008

Oh, you think so, is he going to issue ALL of a credit card like Chrysler did and pay for it himself???

Yeah right!

[tomanyt]

Like this stunt is going to make people want to buy a piece-o-*** like a Chrysler.
If this is what they have to do to sell a car, they need to close up shop and go home.

[pandamonium6]

Do the Math...

If you bought a brand new Toyota Corolla vs a brand new PT Cruiser - even with the gas savings from Chrysler, the Corolla would still cost you a net $796 per year LESS to own and operate than a PT Cruiser... That is because the Toyota is cheaper to purchase up front (based on sales prices in my market) AND the Toyota gets 60% more miles per gallon.

[rf35]

It''s sad that we now consider $2.99 per gallon a good price for gas. Chrysler should offer this to owners of ALL Chrysler vehicles still under warranty. To do less shows no caring for their customers, just a marketing ploy for increasing short-term sales figures.
"We want to get everybody through these challenging times."
Correction: "We want to get everybody [to buy a Chrysler during] these challenging times."

[tvgenius]

Yeah, because Toyota''s not having to foot the bill for years of former employees'' health benefits and pensions, long after they don''t work there, and having to pay them ridiculous salaries because the workers feel entitled to it. Then they go crying when they get laid off after the companies can''t afford the union''s demands.

[walt1944-2009]

Chrysler has announced that it will pay for gasoline up to $2.99/Gallon for the next 3 years for anyone who leases a NEW Chryler product by June 2.

However, as with anything offered to the consumer by Corporate America, there are restrictions, some of them being that you can only drive 12,000 miles per year (residents in California put that much mileage driving to work and back A MONTH!).

Also, the program will be linked to your credit card meaning if Chrysler doesn''t pay, YOU DO, and BIG OIL still gets its PROFIT! If you don''t have a credit card, TOO BAD!!!

Finally, Chrysler will not pay for repairs to a vechile by a driver who buys gas from dealers selling "watered-down" gas to consumers (which makes EVERY gas station suspect!).

Chrysler sees this as another triumph for Corporate America!

Where is Lee Iococca when you need him????

SIG HEIL, BUSH!!!!
sig heil, more of the same, McCain!!!!

Finally,

[michellem99-2009]

HA HA. no way.

[inventagod2]

It won''t be funny, but when McCain raises gasoline to $15 /gallon, it will bankrupt Chrysler...

[dredre2k]

Chrysler, how about offering more gas-friendly vehicles? Subsidising the gas of your guzzlers isn''t the way to go! Why not make hybrid versions of the Caliber, Charger, Magnum... etc? ... While we''re at it, why don''t you invest that money you have for gas on Hydrogen and Electric cars? Innovation will get us out of this mess.

[bgwinnett]

Is this compensation for making awfully styled cars no one would be seen dead in? If so they should be paying you to drive them instead.

[mjm121]

However, as with anything offered to the consumer by Corporate America, there are restrictions, some of them being that you can only drive 12,000 miles per year (residents in California put that much mileage driving to work and back A MONTH!).

Posted by walt1944 at 01:32 PM : May 06, 2008

__________

Really Walt1944? 12,000 miles a month? Did you do the math on that? Sure would suck to have to drive 300 miles to work each day and 300 miles back.

Granite, I undertand your point, but making statistics up isn''t exactly going to help your point

[beehive21-2009]

When Bush(ChevronTexaco)is out ,gas shall plummet.The puppetboy ,whom we like, don''t get me wrong idea, was swept into greed by thirty years of greed preceding , him.The People have there eye on you.

[eferrell1]

By the way, you''ve still got to figure out a way to pay for the car. People aren''t buying cars because of the total economic picture, not just the price of gas. This is just a ploy to get sales figures up. Chrysler does not care for the consumer. If they did they would find a way to build a more fuel efficient car.

[obamaslady]

Well isn''t that just so sweet of them! How do they expect us to pay for the new car? What happens after the three year expiration date? Are we then supposed to pay $7 per gallon (which is what it will be by that time)? The same old tricks to fix the same old problems with the same old solutions - can''t ask for more than that cause you surely will NOT get more than that! Good try Chrysler - no thanks, can''t afford it!

[obamaslady]

BTW. what kind of gas mileage did you say your products get? I remember 20 years ago when mileage of cars were supposed to be increased to about 40 mpg, and I am still waiting for that R&D to come to fruition! What is the standing on that? Got any other ideas?

[edward1975-2009]

Maybe we should elect Chrysler as president, they don''t have a problem getting gas down below $3.00. And that''s without the lame take the tax off plan.

[mjm121]

Seems to me there are more pressing issues. Who cares? No need to get all bothered by this, it''s just business. It''s done ALL the time. Ever see a commercial and actaully read the fine print? This is nothing new...

next...

[mjm121]

If they did they would find a way to build a more fuel efficient car.


--------------------------------------------------------------------------------

Posted by EFerrell1 at 02:02 PM : May 06, 2008


Clearly not reading the whole article. It says Chrysler is planning on releasing their line of Hybrids later this year

[mediapreachr]

Chrysler is in the gutter-look up Google to see who owns it now.

[georgew1956]

its nice to see all you gm and ford employees writing in

[quetzalcrist]

Had they offered better products in the past instead of playing catch up,
they would not be facing a massive corporate welfare now.
Id never give up my Murano for a Chrysler,

[jpporter]

Obama''sLady

Bush deep-sixed all those liberal fuel economy targets as soon as he got into office. Yay, W!!!

We don'' need no steekin'' mileage. Gimme my Hummer and $120-per-barrel oil.

And we don'' need no steenkin'' environment. Who needs live penguins when we got them dancin'' cartoon ones!

Long live Dubya!

- just being sarcastic and cynical -

[jpporter]

Now if only Chrysler could build a vehicle that was worth driving.

[kevsan1]

Typical negativity from posters! Do some digging before you spout off. All the car companies have low MPG cars, just they usually have a manual transmission and most lazy, fat, uncoordinated Americans don''t know how to drive a stick. If you can type a computer keyboard and use a mouse to post here, you should be able to drive a stick (barring physical challenges).

I think what Chrysler is doing is a great idea. It won''t break the bank for them, it will sell some more cars and keep people employed. Michigan has been in this "recession" for 5 years now, no thanks to the rest of the US. Now it''s your turn! Enjoy!

[rushlimpdrug]

"Typical negativity from posters! Do some digging before you spout off. . . "
Posted by kevsan1 at 04:01 PM


Get real.

People know krap when they see it.

I for one would rather drive toilet seat strapped
to a briggs and stratton engine than drive
some of the stuff coming out of the chrysler sewer pipe.

[endofempire]

prfesser: It is exactly that attitude that will continue to push America farther and farther into the quagmire it is in. Don''t buy American... It is your prerogative, but then again, don''t complain when your job is subbed out to a foreign call center who can do your job for 1/20th of what you make.

[aggiekat2004]

Hey QuetzalCrist,

I''d never give up my Murano for a Chrysler, either!

Although a Dodge Ram Diesel 4x4 saved my life once...but I couldn''t afford to drive it now.

American car companies still build crummy cars. I blame it on the unions.

[tylenol6]

These are the members of congress who receive BIG OIL
contributions.


The "SLICK TWELVE" are:

1. Rudy Guiliani (R) $649,608
2. Mitt Romney (R) $441,263
3. JOHN MC CAIN (R) $283,285
4. HILLARY CLINTON (D) $276,150
5. Bill Richardson (D) $199,275
6. Fred Thompson (R) $163,754
7. BARACK OBAMA (D) $ 157,390
8. Kay Bailey Hutchinson (R-Tex) $300,161
9. John Cornyn (R-Tex) $180,000
10. Dennis Hastert $134,600
11. John Kyle (R-Az) $133,700
12. Heather Wilson (R-MN) $144,000

[tylenol6]

These are the members of congress who receive BIG OIL
contributions.


The "SLICK TWELVE" are:

1. Rudy Guiliani (R) $649,608
2. Mitt Romney (R) $441,263
3. JOHN MC CAIN (R) $283,285
4. HILLARY CLINTON (D) $276,150
5. Bill Richardson (D) $199,275
6. Fred Thompson (R) $163,754
7. BARACK OBAMA (D) $ 157,390
8. Kay Bailey Hutchinson (R-Tex) $300,161
9. John Cornyn (R-Tex) $180,000
10. Dennis Hastert $134,600
11. John Kyle (R-Az) $133,700
12. Heather Wilson (R-MN) $144,000

[tylenol6]

These are the members of congress who receive BIG OIL
contributions.


The "SLICK TWELVE" are:

1. Rudy Guiliani (R) $649,608
2. Mitt Romney (R) $441,263
3. JOHN MC CAIN (R) $283,285
4. HILLARY CLINTON (D) $276,150
5. Bill Richardson (D) $199,275
6. Fred Thompson (R) $163,754
7. BARACK OBAMA (D) $ 157,390
8. Kay Bailey Hutchinson (R-Tex) $300,161
9. John Cornyn (R-Tex) $180,000
10. Dennis Hastert $134,600
11. John Kyle (R-Az) $133,700
12. Heather Wilson (R-MN) $144,000

[tylenol6]

These are the members of congress who receive BIG OIL
contributions.


The "SLICK TWELVE" are:

1. Rudy Guiliani (R) $649,608
2. Mitt Romney (R) $441,263
3. JOHN MC CAIN (R) $283,285
4. HILLARY CLINTON (D) $276,150
5. Bill Richardson (D) $199,275
6. Fred Thompson (R) $163,754
7. BARACK OBAMA (D) $ 157,390
8. Kay Bailey Hutchinson (R-Tex) $300,161
9. John Cornyn (R-Tex) $180,000
10. Dennis Hastert $134,600
11. John Kyle (R-Az) $133,700
12. Heather Wilson (R-MN) $144,000

[jboxton]

They are desparate. The quality of cars they produce sucks so they finance anyone with a pulse and have to resort to this stuff to sell their ***.

[trenticus-2009]

2.99 a gallon a deal??? Boy Chrysler has been de-sensitized to the cost of fuel. So I guess they see ANYTHING under 3.00 a deal. Keep the wool. My eyes are wide shut!

[dylanxxv]

Well isn''''t that just so sweet of them! How do they expect us to pay for the new car? What happens after the three year expiration date? Are we then supposed to pay $7 per gallon (which is what it will be by that time)? The same old tricks to fix the same old problems with the same old solutions - can''''t ask for more than that cause you surely will NOT get more than that! Good try Chrysler - no thanks, can''''t afford it!

Posted by ObamasLady at 02:10 PM : May 06, 2008


Try getting a job...And why does it matter what gas prices will be after the 3 years is up? If it''s $7.00 a gallon as you say, then that''s what you will pay...

[dylanxxv]

Well, that''''s all fine and dandy for the people who can afford to buy or lease new cars, but what about the rest of us?

Posted by mediamomma at 12:42 PM : May 06, 2008


Whine, whine, whine...Buy a bicycle or walk...

[jaykay3141]

Let me see if I can figure this out. Chrysler produces:

Dodge Magnum - looks like the second runnerup in a low-rider wannabe contest, with a plastic interior to boot.

Chrysler 300 - didn''t the gangsters in Roger Rabbit drive a cartoon version of this monster?

The Caliber - a hunched-over lump that resembles a lifesize Tonka Toy

Nitro - a poor man''s Jeep with more muscle in its name than under the hood

and hardly anyone bought them, so now they''re trying to bribe the public with gas to feed these dinosaurs - not to mention sending even more bucks to Chavez, Putin, and the sheiks.

American workers CAN and DO build good, solid, long-lasting, efficient cars ... but they work in factories owned by Honda and Toyota. Will Detroit EVER wake up before there''s nothing left of our once-great auto industry????

[dylanxxv]

American workers CAN and DO build good, solid, long-lasting, efficient cars ... but they work in factories owned by Honda and Toyota. Will Detroit EVER wake up before there''''s nothing left of our once-great auto industry????

Posted by JayKay3141 at 09:00 PM : May 06, 2008

LOL...Did you see the latest ford commercial where they claim to now build cars that are equal to toyota in quality? You would think they would strive to be better, not equal...

[swwils]

That is a start,now get everyone else to tag along.Seems too me it would work,if all will play ball.Government will have to intervene,Stop the Fed from dropping the interest rate,I have seen too many of my friends loose their homes already.Get the gas low that is what the blue collar man,and woman want.

[nonayabiness]

Dominion Virginia Power is asking to raise power rates by 18.3%. How can we afford that? Gee, I wish I could get a 20% increase to pay for my increased fuel costs.

So, Americans, not only are we paying the $3.50 plus for our own needs, we are paying through the nose of companies who have no incentive to save on fuel costs because they can just ''pass it on'' to the consumer. We are paying WAAAAY more than $3.50/gallon.

[valentin73]

......ANYTHING TO SELL A ***, STINKING CAR......DON''T BELIEVE IT!!! THERE IS NO SUCH THING AS LOCKING THE PRICE OF GASOLINE OVER THE NEXT THREE YEARS.......YOU''LL PROBABLY END UP PAYING MORE FOR ''HIDDEN'' COSTS UP-FRONT. THIS IS JUST CLEVER MARKETING SCAM.

[lochlan-2009]

Solution to the gas pricing:

Charge an 80% tax on oil companies, (that will bring their profits down to what they were before the Bush Regime let them steal all that money from us). Then, have all gas stations sell their gas at 50% off, which they will be reimbursed on by the government.

[wardoglrs]

OPEC''s price is cheap its the Federal Reserve and the banks that create inflation. You should watch this vid by milton Freidman. Our own goverment is ripping us off intentionaly
wwwideachannel.tv

[buttonjockey]

I don''t think this is a good deal. Let''s see:

12000 miles for 3 years is 36000 miles. If the car gets 20mpg (pretty typical or even generous for a Chrysler) then that''s 1800 gallons of gas. If gas hovers near $3.50 per gallon, that''s $900 going back into your pocket. Not such a big rebate.

Instead, get a rice burner at 30mpg and drive 36000 miles. That''s 1200 gallons of gas at $3.50 which costs you $4200. But while your buddy in the Chrysler got $900 back, he spent 1800 x $3.50 or $6300 in the first place for a net cost of $5400.

Gas would have to average $4.50 a gallon for the Chrysler deal to beat driving a 30mpg car but then after 3 years near $4.50 per gallon, the Chrysler will be too expensive to drive and worth a lot less to sell.

[mjvw2]

Charge an 80% tax on oil companies, (that will bring their profits down to what they were before the Bush Regime let them steal all that money from us). Then, have all gas stations sell their gas at 50% off, which they will be reimbursed on by the government.
Posted by lochlan

Someone wasn''t paying attention in Econ class. Companies don''t pay taxes; people do. Taxes start out a cost to the company and all costs are built into the price. Then when you tax profits you tax those evil rich shareholders. By the way, the single largest Exxon shareholder is the United Police and Fireman''s Retirement Fund. Yes, those evil rich. How ignorant are you.

[algoresarse]

JUST CONSERVE GASOLINE...seeeeesh!!!

[stevedo5]

Here''s an idea! How about getting a few great mind''s together and building a quality transport that dosn''t use fossil fuel''s at all. Maybe somthing self generating or... Wait there''s no money in that. I beleive that there is greed problem in our fuel crisis among other area''s as well.