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Cutting-edge Fiat technology to play a key role as Chrysler gets ready to launch 24 new vehicles during the next 48 months with eight of these new products due to arrive in the next year and a half.

Technology sharing with Fiat would provide tremendous advantages to Chrysler because Fiat is a recognized leader in developing technologies to reduce emissions and increase fuel efficiency. Among the 10 top selling brands in Europe, Fiat brand has the lowest level of CO2 emissions

Chrysler has continued to make substantial investments in new products and technology and will launch 24 new vehicles during the next 48 months with eight of these new products due to arrive in the next year and a half.

According to Chrysler's viability report, the US automaker and Fiat's portfolio ranges overlap only in midsize segments and mean that Fiat's small platform technology, small gasoline and diesel engines and light duty dual clutch transmission will eliminate the need for Chrysler to develop or purchase similar components. Meanwhile, according to the viability plan, Chrysler's 4-cylinder World Gas Engine and Phoenix V6 are powertrains are attractive to Fiat for potential product line extension.

Fiat’s product portfolio is predominately mini, small and compact cars which represent almost 60 percent of the company’s global sales. Alternatively, Chrysler’s product portfolio is dominated by minivans, mid and large sport utility vehicles, and trucks which represent over 50% of its sales. Under the alliance Chrysler would gain immediate access to substantially all of Fiat’s vehicle platforms, including small, fuel-efficient cars for the U.S. market.

Benefits From Technology Sharing

Technology sharing with Fiat would provide tremendous advantages to Chrysler because Fiat is a recognized leader in developing technologies to reduce emissions and increase fuel efficiency. Among the 10 top selling brands in Europe, Fiat brand has the lowest level of CO2 emissions.

Examples of Fiat advanced technologies available in 2009-2012 to Chrysler will include the new Small Gasoline Engine, 1.4-1.8l turbocharged technology to reduce CO2 emissions to less than 100g/km. Multiair: this innovative intake valve electronic control system reduces fuel consumption by up to 6 percent while improving dynamic response of the engine. The next-generation 'Multijet 2' which makes advances in direct injection diesel technology enable significant reductions in NOx and soot emissions and reduced combustion noise. Tetrafuel meanwhile has been designed for flex-fuel markets like Brazil, it is the first-ever engine capable of being powered by four different fuels – CNG, pure petrol, pure ethanol (E100) and E25 ethanol/gasoline blend.

Fiat will help Chrysler meet new Safety, Regulatory, Environmental Requirements

There are a growing number of regulatory requirements regarding both vehicle safety and environmental issues. Chrysler expects to meet or exceed all existing or currently proposed U.S. Federal vehicle regulatory requirements and comparable requirements applicable in key markets outside the U.S. For the 2009 model year, over 88 percent of Chrysler’s vehicles achieved five stars for frontal crash tests, 86 percent achieved the highest rating for side-impact protection. The addition of Fiat vehicles and technologies to Chrysler’s portfolio will accelerate the Company’s ability to meet regulations.

Chrysler Product Launch Schedule

Chrysler has continued to make substantial investments in new products and technology and will launch 24 new vehicles during the next 48 months with eight of these new products due to arrive in the next year and a half. This means the Company will renew more than 60 percent of its total sales volume in key market segments, with vehicles that include the next-generation Jeep Grand Cherokee, Dodge Charger, Dodge Durango, Chrysler 300 and several exciting new small cars.

Electric drive will be a primary path to developing clean vehicles for all Chrysler product lines. Led by Chrysler’s internal advanced alternative propulsion vehicle development team called “ENVI,” the Company is making rapid progress and will have 66 ENVI advanced propulsion electric-drive vehicles in fleet service this year. The first Chrysler electric-drive vehicle will be available for retail customers in 2010, with additional models in production by 2013.