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Chrysler bankruptcy could delay 2010 and 2011 model year vehicles

by Drew Johnson

Chrysler claimed that it would be business as usual while the automaker was under protection of Chapter 11 bankruptcy, but it looks as though the company's operations could be disrupted for the next two model years.

Chrysler idled its production plant as a part of its Chapter 11 filing, but it looks as though that decision could affect the company's future models. Frank Ewasyshyn, Chrysler's manufacturing chief, revealed today in bankruptcy court that Chrysler's shutdown will likely impact the rollout of the company's 2010 and 2011 model year vehicles.

Ewasyshyn explained that once Chrysler's factories resume production, they won't be able to simply switch over to the automaker's new models. Instead, plant workers will have to finish vehicles and parts currently in queue, delaying 2010 model year vehicles.

Chrysler's 2011 model year vehicles could be in jeopardy too, according to Automotive News. In order to start production on time for the 2011 model year Chrysler must order its tooling from suppliers now, but many suppliers are hesitant to ship to the bankrupt automaker for fear of not receiving payment. Chrysler currently owes its suppliers more than $1.7 billion.

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