Chrysler loses $370 million in 2Q
But excluding the costs to refinance its debt and repay its loans to the U.S. and Canadian governments, Chrysler said it would have earned a profit of $181 million in the second quarter.
The company lost $172 million during the same period last year.
Sergio Marchionne, CEO of Chrysler and Fiat, said the repayment of the company’s government loans was a major step forward for the company that will save its interest expenses by about $350 million annually.
“We’ve paid back everybody," Marchionne said. “We are in the process of rebuilding the financial viability of Chrysler. I think we made good progress in the second quarter."
Marchionne said today that Chrysler remains on track to earn a profit of $200 million to $500 million this year.
Chrysler’s revenue during the second quarter increased 30% to $13.7 billion. The company said its revenue increased because its sales and market share increased.