Chrysler LLC Posts Best Retail Month of the Year; Reports May 2009 Sales

AUBURN HILLS, Mich., June 2, 2009: Chrysler LLC today reported May U.S. total sales of 79,010 units, representing the best retail sales month of 2009 and a retail performance that was better than the industry average. Compared to May 2008, retail sales decreased 30 percent. During the month of May, Chrysler LLC did not produce any vehicles for fleet sales which resulted in a fleet sales reduction of 90 percent year-over-year for the same period.

"We are pleased that consumers responded to Chrysler's reorganization by purchasing our products, resulting in our best retail sales month of the year," said Jim Press, Vice Chairman and President - Chrysler LLC. "Overall our sales were above expectations during this month of transition."

On June 1, the U.S. Bankruptcy Court approved the sale of the majority of Chrysler LLC's assets to a new company, Chrysler Group LLC in alliance with Fiat S.p.A.

"The uncertainty that has been surrounding Chrysler for the last few months is coming to an end, and a vibrant, new company is beginning to take shape," Press added. "One that will better serve our customers and dealers with a broader and more competitive lineup of environmentally friendly, fuel-efficient, high-quality vehicles."

May Sales Highlights

  --  May was the best retail sales month of 2009, with 74,741 retail units
      sold.
  --  Chrysler's retail market share is higher than May of last year and
      also stronger than last month
  --  Jeep Wrangler continued its strong upward sales trend for the fifth
      month in a row, with May retail sales up 4 percent year-over-year
      compared to May 2008 and up 8 percent compared to the previous month.
      Wrangler also increased its share of the segment for the fifth month
      in a row
  --  Chrysler brand retail sales improved 32 percent compared to the
      previous month
  --  Dodge brand retail sales increased 23 percent compared to the previous
      month
  --  Jeep brand retail sales were up 21 percent compared to April 2009

"May was a very encouraging retail month for Chrysler and the industry," said Steven Landry, Executive Vice President North American Sales and Marketing, Service and Parts - Chrysler LLC. "Retail sales for the industry came in stronger than expected and our retail performance during our restructuring was even stronger than the industry, giving us improved share and optimism that the market is showing signs of life."

Compared to the same time period in 2008, Chrysler LLC's total sales decreased 47 percent. The Company finished the month with 260,407 units representing an 86 day supply. Inventory is down 37 percent compared with May 2008 when it totaled 412,009 units.

Product Redistribution

Chrysler is taking actions to assist in the redistribution of remaining eligible inventory of dealers who had their sales and service agreements rejected. The inventory from the rejected dealers will be matched with dealers who are moving forward with the new company and need to replenish their inventory or acquire inventory for additional brand lines they may add.