Chrysler loses $197 million

In yet another example of stunning performance, Chrysler posted a net loss of $197 million in the first quarter of 2010. That’s on top of the $3.8 billion that Chrysler has lost since it exited bankruptcy protection.

Through the vagaries of accounting that only accountants and perhaps leprechauns can understand, Chrysler did manage to generate $1.5 billion in cash during the same period. Along the same lines, their total debt was reduced from $5.4 billion to $3.8 billion.

So in short, Chrysler lost more money, yet is sitting on more cash, and less debt. I’m honestly not sure if they’re in a better or worse situation than before. In any case, they’re still losing money. I don’t see that turning around until the new product starts hitting dealers later this year – at the earliest.

Published on April 21, 2010 in Chrysler

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