In Q1 2011, Net Revenues increased 35 percent to $13,124 million compared to Q1 2010. The increase was primarily due to increased volumes and positive pricing and mix resulting from the successful reception of the 16 all-new or significantly refreshed products in the marketplace.

The Company posted a Modified Operating Profit of $477 million in Q1 2011 (3.6 percent of Net Revenues) compared to $143 million (1.5 percent of Net Revenues) in Q1 2010. The Q1 2011 improved operating performance was primarily attributable to increased volumes and positive pricing and mix, partially offset by increased advertising investments and industrial costs associated with the volume ramp up of newly launched models.

"Chrysler Group’s improved sales and financial performance in the first quarter show that our rejuvenated product lineup is gaining momentum in the marketplace and resonating with customers," said Sergio Marchionne, Chief Executive Officer, Chrysler Group LLC. "These results are a testament to the hard work and dedication of our employees, suppliers and dealers, all of whom are helping Chrysler create a new corporate culture built on the quality of our products and processes, and simple, sound management principles. We remain focused on delivering great products to our customers and continuing to achieve the sales and financial targets outlined in our 2010-2014 business plan," added Marchionne.

Modified Earnings Before Interest, Taxes, Depreciation and Amortization (Modified EBITDA) was $1,171 million, or 8.9 percent of Net Revenues, reflecting a $384 million improvement from Q1 2010. Interest Expense in Q1 2011 was $348 million, including non-cash interest accretion of $58 million. Interest Expense in Q1 2010 was $311 million, including non-cash interest accretion of $56 million. Net Income in Q1 2011 was $116 million compared to a net loss of $197 million in Q1 2010.

Cash at March 31, 2011, was $9.9 billion compared to $7.3 billion at December 31, 2010, and $7.4 billion at March 31, 2010. An additional $2.3 billion remains available to be drawn under Chrysler Group’s U.S. Treasury and Canadian governments’ loan agreements, bringing total available liquidity to $12.1 billion at March 31, 2011. Free Cash Flow for the first quarter totaled $2.5 billion reflecting primarily the improved cash from operations as a result of increased shipments, partially offset by capital expenditures.

Gross Industrial Debt at March 31, 2011, totaled $13.3 billion, slightly higher than the $13.1 billion at December 31, 2010. Net Industrial Debt decreased to $3.4 billion at the end of Q1 2011, a $2.4 billion improvement from December 31, 2010, primarily due to the increase in cash.

Worldwide vehicle sales of 394,000 in Q1 2011 represented an increase of 18 percent (60,000 vehicles) compared to 334,000 vehicles in Q1 2010. The improvement reflected greater availability at dealerships of the 16 all-new or significantly refreshed products launched in 2010 and was boosted by successful launch campaigns, along with an improving U.S. automotive industry. This contributed to an increase in Chrysler Group’s U.S. market share to 9.2 percent in Q1 2011, compared to 9.1 percent in the same period of 2010. Canadian market share increased to 14.7 percent for Q1 2011 compared to 13.7 percent for Q1 2010. Worldwide vehicle shipments in Q1 2011 were 485,000, an increase of 28 percent versus the 380,000 vehicles shipped in Q1 2010. U.S. vehicle shipments in Q1 2011 totaled 358,000 compared to 268,000 vehicles in Q1 2010. U.S. dealer inventory increased to 302,000 vehicles at March 31, 2011, primarily to fulfill dealer orders and consumer demand for the new and significantly refreshed 2011 model year products that began production in late Q4 2010. Days supply is at 67 days. 3 | P a g e

Corporate

On April 12, Chrysler Group announced that Fiat’s ownership interest in the Company increased from 25 percent to 30 percent upon the Company’s achievement of the second of three performance-related milestones outlined in an amendment to its June 10, 2009 LLC Operating Agreement. The second milestone required Chrysler Group to achieve cumulative revenues of more than $1.5 billion attributable to Company sales made outside of Canada, Mexico and the United States after June 10, 2009, and to enter into agreements related to the distribution of Chrysler Group vehicles in Europe and Brazil, and the pooling of Chrysler Group and Fiat vehicle fleets in the European Union for CO2 emissions ratings. It also provided for compensation to the Company for the use of its technology by Fiat or its affiliates outside of North America.

On April 21, Fiat announced its commitment to exercise its call option to increase its ownership interest in Chrysler Group by 16 percent in the event that Chrysler Group refinances and concurrently fully repays its loans from the United States and Canadian governments during the second quarter of 2011. Fiat’s ownership interest will increase to 51 percent upon the Company’s achievement of the final performance-related milestone which is expected in the fourth quarter 2011.

Product

The January North American International Auto Show in Detroit brought the world premiere of the all-new 2011 Chrysler 300 sedan and introduction of the new, redesigned 2011 Jeep® Compass. The Company followed with the worldwide debut of the new 2011 Chrysler 200 Convertible in Chicago in February, and the Jeep brand celebrated its 70th anniversary at the Geneva Motor Show with the introduction of a line of special 70th Anniversary Edition models. The brand also showcased a new diesel powertrain for the all-new Jeep Grand Cherokee, as well as a new Jeep Compass with diesel and gas engine options, both for international markets. At the New York Auto Show, Chrysler Group introduced the all-new 2012 Jeep Grand Cherokee SRT8®, the all-new 2012 Chrysler 300 SRT8 and the new 2012 Fiat 500 Cabrio.

In February, the Chrysler brand chose one of the world’s most watched televised sporting events, Super Bowl XLV, to launch a new brand positioning advertising campaign with an unprecedented two-minute commercial featuring internationally known Detroit musician, Eminem. The spot, showcasing the new Chrysler 200 and tagline, "Imported from Detroit," garnered worldwide media coverage, more than 10 million views on YouTube and was voted the "Best Super Bowl Ad" by YouTube’s Ad Blitz. Both Edmunds.com and Kelly Blue Book reported significant increased consideration for Chrysler Group products and online traffic for the Chrysler 200 following the Super Bowl. The commercial heightened consumer awareness of the Chrysler 200, contributing to sales increasing 191 percent in March 2011 versus February 2011.

The all-new Jeep Grand Cherokee, which has captured 29 awards since its 2010 introduction, continued to garner significant international accolades. New honors included Car and Driver’s "2011 Editors’ Choice Awards/Mid-size SUVs"; "4x4 of the Year" from 4x4 Australia Magazine; "Best Imported 4x4 (between 40,000 and 60,000 Euros)" by Auto Bild Allrad; Kelley Blue Book "2011 Top 10 Family Cars"; MotorWeek’s "Drivers’ Choice Award"; and various "Best SUV" picks from automotive journalist groups including the Northwest Automotive Press Association and Rocky Mountain Press Association. Jeep Grand Cherokee sales were up 64 percent in Q1 2011 compared to Q1 2010.

Kelley Blue Book also selected the all-new 2011 Chrysler 300 as one of the "2011 Top 10 Family Cars" and TrueCar.com named the vehicle "One of the Ten Winning Cars for 2011." Additional awards in Q1 2011 included the 2011 Dodge Durango picking up the "Drivers’ Choice Award" from MotorWeek magazine; the Ram 1500 receiving both Car and Driver’s "2011 Editors’ Choice Awards/Pickups" and Consumer Guide’s "Best Buy" in the large pick-up truck category; and The Car Book picking the 2011 Chrysler Town & Country as a "2011 Best Bets."

The first Fiat 500 Prima Edizione special-edition models were delivered to customers throughout the United States and Canada in the first quarter. The limited-edition 2012 Fiat 500 models were offered to Fiat enthusiasts, as a reward for their years of steadfast loyalty, and represent the first Fiat vehicles to be sold in the U.S. since 1983.

The targets for 2011 are confirmed as follows: