Chrysler LLC Integrates Human Resources, Employee Relations and Communications; Nancy A. Rae Appointed Executive Vice President

- Nancy A. Rae Appointed Executive Vice President - Human Resources and Communications

- John S. Franciosi, Senior Vice President - Employee Relations Announces Retirement

- Al Iacobelli - Vice President of Employee Relations realigned to report to Nancy Rae

- Lori McTavish Appointed Executive Director - Communications

AUBURN HILLS, Mich., July 2 -- Chrysler LLC today announced the appointment of Nancy Rae, Executive Vice President - Human Resources and Communications to lead the integration of the Company's Human Resources, Employee Relations and Communications functions into one organizational structure. Rae was formerly Senior Vice President -- Human Resources and Corporate Communications.

"In alignment with Chrysler LLC's long-term strategy, to create organizational synergies and to provide a greater focus on our strategic levers of Leadership Development, Operational Excellence, Labor Cost Management and the Management of Human Capital, we are pleased to appoint Nancy to lead this important effort," said Bob Nardelli, Chairman and CEO, Chrysler LLC. "With more than 30 years of Company experience, she is a true leader in transformational change."

To facilitate the acceleration of the organizational realignment of Human Resources and Employee Relations, John Franciosi announced his intention to retire September 30, 2008.

"John has made significant contributions to this Company during some of its most challenging times," said Nardelli. "We appreciate the leadership he has demonstrated during his 31 years of dedicated service."

"During times of great change, we have appreciated our working relationship with John and his contributions to Chrysler," said General Holiefield, Vice President, United Auto Workers, responsible for Chrysler LLC. "We look forward to a productive relationship with the Company in the future."

With Franciosi's departure, Al Iacobelli - Vice President of Employee Relations, is realigned to report to Rae. The position of Senior Vice President - Employee Relations will be eliminated. Reporting to Iacobelli are:

-- James Fenton who is appointed Director - Labor Economics & Benefit Finance

  --  Fred Martino-DiCicco, Director - Employee Relations Operations
  --  Glenn Shagena, Director - Manufacturing HR/ER
  --  Angel Munoz, Director - Chrysler de Mexico HR/ER
  --  Michael Brown, Director - UAW / Chrysler National Training Center
  --  Michael Jessamy, Director - Health and Safety

In addition, Lori McTavish is appointed Executive Director - Communications, and continues to report to Nancy Rae. McTavish was formerly Director - Corporate and Internal Communications. In this position, McTavish will be responsible for developing and executing Chrysler LLC's communications strategy and initiatives for all internal and external audiences for all aspects of the Company's corporate, product and brand, design, advanced technologies, and sales and marketing messages. Reporting to McTavish are:

  --  Richard Deneau, Director, Product and Brand Communications
  --  William Dawson, Senior Manager, Executive Communications

-- Shawn Morgan, Senior Manager, Corporate Business Affairs Communications

-- Stuart Schorr, Senior Manager, Sales, Dealer and Mopar Communications

Chrysler LLC, headquartered in Auburn Hills, Mich., produces Chrysler, Jeep(R), Dodge and Mopar(R) brand vehicles and products. Total sales worldwide in 2007 were 2.7 million vehicles. Sales outside of North America were the highest ever with an increase of 15 percent over 2006. Its product lineup features some of the world's most recognizable vehicles, including the Chrysler 300 and Town & Country, Jeep Wrangler and Grand Cherokee and Dodge Challenger and Ram. The Chrysler Foundation, the Company's philanthropic arm, annually supports hundreds of charitable organizations in the United States and throughout the world. In 2007, the Foundation gave approximately $21 million in charitable donations.