Chrysler joins auto incentive program
DETROIT (AP) – DaimlerChrysler AG’s Chrysler Group began offering employee discounts to all consumers Wednesday, following the lead of General Motors Corp. and Ford Motor Co. Chrysler is also offering cash incentives on top of the lower prices. Under the program, which runs through Aug. 1, Chrysler is offering some Chrysler, Dodge and Jeep vehicles at the employee rate plus up to $3,500 cash back. Excluded from the program are the 2005 Chrysler 300, Dodge Magnum, Dodge Sprinter, Dodge Viper, Jeep Liberty Diesel, all 2006 models and all SRT models.
The employee discount rate is equivalent to 4 percent to 5 percent off the dealer invoice price, Chrysler spokesman Jason Vines said. The Dodge Caravan minivan, which usually starts at $19,095, will start at $15,530 under the discount program, thanks to the employee pricing and a $2,000 cash incentive. The Dodge Ram 1500 pickup, which usually starts at $21,455, will start at $15,565 under the program with employee pricing and $3,000 cash.
Chrysler said last week that it planned to match GM’s employee discount plan, which began June 1 and has been extended until Aug. 1. GM’s sales jumped 41 percent in June thanks to the discount. Gary Dilts, Chrysler’s senior vice president of sales, said the GM discount hurt Chrysler’s truck sales, which were up 2 percent in June compared to 68 percent for GM.
Dilts said customers were attracted to the GM discount program because of its clear message.
Ford announced Tuesday that it also would allow customers to buy vehicles at employee rates through Aug. 1. Ford’s promotion excludes the Ford Mustang, Ford GT and Ford Escape hybrid.
Chrysler shares rose 5 cents to $40.15 in Wednesday trading on the New York Stock Exchange. GM shares fell 31 cents to $34.46 and Ford shares slipped 7 cents to $10.33.
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On the Net:
Ford Motor Co.: http://www.ford.com/
General Motors Corp.: http://www.gm.com
Chrysler Group: http://www.chrysler.com