5 Reasons to Consider a Chrysler
When talk turns to getting Detroit car companies out of the ditch and back on the road, exhibit A is usually General Motors, with its rising sales and successful stock offering. Meanwhile, Chrysler -- bailed out by Washington in 2009 and then taken over by Italian auto maker Fiat -- said this week it expects to return to profitability later this year and announced a January sales gain of 23%. Should you consider a Chrysler, Dodge, Jeep -- or even, dare I say it, a Fiat?
While I'm not ready to tell you to run straight to a Chrysler dealer, recent developments at the company seem hopeful. The biggest challenge is overcoming quality problems. In the most recent Consumer Reports reliability ratings, Chrysler ranked last among manufacturers. But that data involved 2010 models and older. The company's extensively redesigned 2011 lineup shows signs of improvement. Here are 5 reasons Chrysler brands may be worth consideration:
Safety Gains The Insurance Institute for Highway Safety announced last week that 2011 Dodge Charger and Chrysler 300 (below) models have been given the rating of Top Safety Pick for redesigned models after 
much lower ratings in previous years. Five other 2011 Chrysler products got the same designation in December. Good safety design is not equivalent to overall manufacturing quality, but it's a step in the right direction. In a recent Wall Street Journal profile, Chrysler and Fiat CEO Sergio Marchionne makes it clear he's focused on the nitty gritty, hounding engineers until they fix a problem with the door handle on the Charger. That's a good attitude to have at the top in aiming to cut defects in cars that come off the line.
Strong sales of redesigns The redesigned Jeep Grand Cherokee led Jeep brand sales, which rose 26% in 2010 over a year earlier. For January, Grand Cherokee sales are up 130% vs. a year ago with the 
old model. Reviewers say the Grand Cherokee pulls off an unusual combination: It's truly a rugged off-roader, but it has a luxury interior. This strong sales performance may could become viral if buyers who love their Grand Cherokees tell their friends and co-workers.
A new Fiat Young buyers targeted for sales of the Fiat 500 are not old enough to remember the reputation for mechanical problems Fiat had in the 
U.S. before it left 27 years ago. The stylish 500 (at left), already a hit among young professionals in Europe, will go on sale later this month and start at $15,500 -- the same range as small-car competitors such as Honda Fit and Ford Fiesta. Chrysler's marketing pitch will be that the 500 is not just a small car but an Italian fashion statement. In its initial review Edmunds' InsideLine.com called the 500 "a stylish car that won't grow tiresome once the novelty has worn off."
New models ahead The Chrysler 200 sedan and convertible(at right) -- a renamed, upgraded version of 
the Chrysler Sebring -- goes on sale shortly. The Sebring, a poor performer both on the road and in the showroom, never competed well with family sedans like the Toyota Camry, Honda Accord and Ford Fusion. The 200 has more power, a better six-speed transmission and new styling inside and out. Analysts expect a totally new Fiat-based model will replace the 200 within two years.
Future hybrid plans Chrysler currently makes no hybrid models, but CEO Marchionne has said he expects hybrid versions of the 300 and a minivan by 2013. Further ahead, Chrysler is working with the U.S. Environmental Protection Agency in developing a hybrid system that doesn't use batteries like conventional hybrids. Instead, it involves a hydraulic system similar to those already in use on hybrid buses. Energy generated by the braking system pumps fluid into a tank. Starting up from a stop, that fluid then moves hydraulic motors, which drive the wheels. The gasoline engine kicks in as needed at higher speeds. Chrysler says the system, which boosts overall fuel economy 30 to 35%, will be tested in a 2011 Town & Country minivan.
Whether Chrysler's revamping will pay off in the long run with greater reliability and consumer confidence remains to be seen. But the new management seems determined to upgrade and replace the moribund models it inherited.
Photos courtesy of Chrysler Group LLC
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