Chrysler profit falls 65 pct. on lower shipments

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Associated Press

Posted on April 29, 2013 at 9:01 AM

Updated Monday, Apr 29 at 9:02 AM

DETROIT (AP) — Chrysler says its first-quarter net profit fell 65 percent as it shipped fewer older vehicles in preparation for several key product launches.

Revenue fell 6 percent to $15.4 billion.

The company says vehicle shipments fell 6 percent to 574,000. That's mainly because the company ended production of the Jeep Liberty midsize SUV last year. Chrysler is preparing a Toledo, Ohio, factory to make the Jeep Cherokee, which will replace the Liberty later this year.

Launches of the 2014 Grand Cherokee and 2013 Ram Heavy Duty trucks also cut into shipments, which cut revenue.

The profit decline comes even though Chrysler's sales were up 8 percent worldwide in the first quarter at 563,000 cars and trucks.

The company predicted a strong performance in the second half of the year.

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