Summary Box: Chrysler loss blamed on refinancing

Tuesday, July 26th, 2011 | Finance News

THE BAD: Chrysler Group LLC said Tuesday that it lost $370 million in the second quarter because of a one-time $551 million accounting charge for refinancing bailout debts owed to the U.S. and Canadian governments.

THE GOOD: Without the charge, Chrysler would have made $181 million because revenue was up 30 percent and U.S. sales rose 20 percent during the quarter. Chrysler also is getting higher prices for its cars and trucks.

THE FUTURE: Chrysler still expects to make $200 million to $500 million for the full year excluding the charge, and it plans to stick to its prices even if Japanese automakers offer discounts to regain market share.

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