Chrysler Group LLC, the third largest automaker in the U.S., suffered loss of 690 million dollars in the first quarter of 2014 after buying out the shares of United Auto Workers trust, the Detriot News reported Monday.
Revenue of the Auburn Hills-based automaker rose 23 percent to 19 billion dollars and sales rose 10 percent to 621,000 vehicles from January through March, but that wasn't enough to offset the 1. 2-billion-dollar unfavorable charges.
Though shipments of the Chrysler 200 began a week ago, Chrysler Group LLC believed that the shipments of new Chrysler 200 midsize sedan are unlikely to have a great effect on the company's earnings until the third quarter.
Chrysler Group maintained its 2014 forecast for earnings between 2.3 billion dollars and 2.5 billion dollars, excluding special items, on net revenue of about 80 billion dollars.
In January, Fiat bought the remaining shares owned by the trust and became the sole owner of Chrysler. The newly merged company, Fiat Chrysler Automobiles, is expected to be listed on the New York Stock Exchange in the fourth quarter.