Press Release

Chrysler Announces Establishment of Sales Unit in Korea

09/23/96

Chrysler Corporation Assumes Distribution in Korea; Appoints President

AUBURN HILLS, Mich., Sept. 19 -- Chrysler Corporation
announced today that it will be expanding its presence in
Korea by establishing Chrysler Korea Sales Limited (CKSL) as a
wholly-owned subsidiary for importation and distribution.

CKSL, based in Seoul, will be responsible for appointing dealers,
setting up a sales and service infrastructure, and coordinating
marketing activities.

"Chrysler is committed to establishing operations in Korea," said
Ronald J. Gardhouse, General Manager for Asia Pacific Operations. "The
recent reduction of import duties and taxes is an important first step
to make the Korean market more attractive and viable for importers
like Chrysler."

Chrysler was previously represented by Woosung Department Store, one
of 17 companies in the Woosung Group, one of Korea's
conglomerates. Since their appointment in 1992, Woosung developed a
network of 22 dealers throughout Korea. Chrysler was the number one
importer in 1995 with sales totaling 1,119 units.  Year-to-date
Chrysler sales have already exceeded 1,500 units with a calendar year
target of 2,500 vehicles.

To oversee the new organization, Chrysler has appointed Wayne Chumley
as president of CKSL. Chumley was most recently Chrysler's Service
Manager for the Pacific Sales Group, based in Tokyo, assisting
distributors throughout the region with service related activities.

He joined Chrysler in 1986 as the District Service Manager in the
Dallas, Texas zone office in the United States after 10 years with
International Harvester in various sales, marketing and service
positions.

"Chrysler made the decision to take over its distribution to get
closer to the market and our consumers and to respond quickly to
changing market conditions," Gardhouse said. "As the eighth largest
automotive market in the world, it makes good business sense to invest
in a market that has the potential for future growth. Our sales growth
demonstrates that Korean consumers appreciate the innovative styling,
performance and safety of Chrysler vehicles."

CKSL will absorb some of Woosung's existing dealers as well as appoint
new main dealers with territorial exclusivity to invest in the retail
network expansion. In addition, CKSL plans to expand and improve the
current after- sales network.

Sales of existing inventory will begin in October with imports of 1997
model year vehicles starting in December. Chrysler currently sells the
three models in the Jeep(R) line -- the Wrangler, Cherokee and Grand
Cherokee -- and the Chrysler Caravan, Grand Caravan, Vision, Stratus
and Neon passenger vehicles.

CKSL expects to sell around 4,000 units in 1997.

Separately, Chrysler also announced today the opening of a Southeast
Asian Regional Headquarters in Singapore. The headquarters, Chrysler
Southeast Asia Pte. Ltd, will be managed by Michael Morton, President
and Managing Director. The office will be responsible for implementing
business strategy in 15 Southeast Asian markets, including Thailand,
Malaysia, Indonesia, the Philippines and Singapore.